What is the best description of demand response?

• A. Demand response is a type of transmission upgrade.
• B. Demand response involves consumers reducing or shifting energy use in response to price signals or grid conditions.
• C. Demand response means building more power plants.
• D. Demand response is about storing energy.

Answer: (B)

Demand response is a strategy where consumers adjust how much electricity they use in response to price signals or grid conditions to reduce or shift load. This helps balance supply and demand, especially during peak times or when the grid is stressed, and can lower overall costs and improve reliability. It can involve turning down or shifting usage—such as cooling or heating, water heating, or industrial processes—to off-peak times or during high-price periods, sometimes automated through smart devices or programs. This is different from building new transmission lines, adding more power plants, or storing energy, which are supply-side or infrastructure solutions.