NYISO · Practitioner reference · August 2026

What distributed flexibility earns in New York.

New York assigns each retail customer an ICAP tag from a single system peak hour. Among four rural cooperatives, only Steuben Rural Electric Cooperative runs a documented DER program.

August 2026 · Texture · Practitioner reference for cooperatives and municipal utilities

Halftone satellite map of New York labeled NY.

1 of 4

New York cooperatives with a documented DER program (Steuben REC)

$32.60

New York City capacity zone, per kW-month, summer 2026 record

43,463

Con Edison CSRP and DLRP customers in 2024, up from 6,404 in 2021

About this report

NYISO covers New York State only, about 19.9 million people. The six investor-owned utilities serve about 84 percent of distribution customers, LIPA about 14 percent, municipals about 2 percent, and cooperatives about 0.2 percent. In 2024, nine New York filers reported a demand-response or load-management program, together enrolling 182,373 customers and reporting 881.5 MW of actual peak demand savings. Combined CSRP and DLRP participation at Con Edison grew from 6,404 customers in 2021 to 43,463 in 2024 after AMI made households eligible.

Key findings

  1. Why is New York's single-hour capacity tag so high-leverage?

    New York assigns each retail customer an ICAP tag from usage during one hour: the single highest NYISO system peak hour of the prior year, effective each May 1 through April 30. PJM averages five summer hours and MISO uses a monthly coincident peak. The New York City capacity zone cleared a record $32.60 per kW-month for summer 2026, 67 percent above the zone's previous high and more than double the same period a year earlier, after clearing near $6 the preceding winter.

  2. Can New York cooperatives use NYSERDA storage incentives?

    Demand response in New York is funded through investor-owned utility delivery rates under Public Service Commission tariffs, which reach nobody else. NYSERDA's retail storage program requires that a project's value be monetized under an investor-owned utility tariff. No comparable aggregator framework applies to a cooperative or municipal system. Among the four cooperatives, only Steuben Rural Electric Cooperative runs a documented program.

Get the DER Value by Region: NYISO Report.

Frequently asked questions

Does NYISO have a coincident-peak transmission charge?

No. New York recovers high-voltage transmission through the Transmission Service Charge, calculated per unit of energy delivered, plus the NYPA Transmission Adjustment Charge assessed on all load statewide. Neither turns on load at a system peak, so the transmission peak-shaving lever that exists in PJM, ISO-NE, and ERCOT is absent here.

What is VDER in New York?

The Value of Distributed Energy Resources tariff, called VDER or the Value Stack, pays exported energy a Demand Reduction Value and a Locational System Relief Value. Each utility files a monthly statement naming the eligible substations and the MW still available at each. No other US region publishes a standing per-substation price for distribution deferral.

Who runs demand-response programs in New York?

All six investor-owned utilities filed a program in 2024, and so did LIPA. No municipal utility filed one. Among the four cooperatives only Steuben Rural Electric Cooperative runs a documented program. Combined CSRP and DLRP participation at Con Edison reached 43,463 customers in 2024, 36,288 of them residential.