Introduction
The electric grid is built to serve the peak demand period, i.e. the few hours in a year when the most electricity flows through the grid. Since higher peaks drive the need for additional grid capacity, they can trigger costly infrastructure upgrades that are paid for by consumers in their electricity bills.
By reducing peak demand on the electric grid, load management measures like energy efficiency, demand response, and virtual power plants can reduce the amount of grid infrastructure needed to provide clean and reliable electricity. Massachusetts already has nation-leading load management programs, including Mass Save and Connected Solutions.
To understand the potential for load management to build on these existing programs to achieve further savings for ratepayers, DOER commissioned Energy and Environmental Economics (E3) and the Applied Economics Clinic (AEC) to prepare the Technical Potential of Load Management.
The study aims to answer three main questions:
Technical potential: What is the total potential for peak load reduction from different technologies (e.g. smart thermostats, energy efficiency, electric vehicles, storage, etc.)? How do these technologies “stack” in virtual power plants to address different grid needs?
Cost-benefit analysis: How much does this flexibility cost, and what benefits does it provide to ratepayers? What are the high-value opportunities to save money and empower customers to manage their energy usage?
Feasible potential: What incentives and barriers affect customers’ ability to participate in load management programs? Could changes in how the electric rid is structured or operated help reduce barriers to load management? How can DOER and other stakeholders help address these barriers?
Building on this technical study, DOER developed the Peak Potential Report, which lays out strategy and policy recommendations for unlocking the potential of load management.
E3 Technical Potential of Load Management Study Report
E3 Technical Potential of Load Management Summary Slides
DOER Peak Potential Report and Policy Recommendations
On December 17, 2025, DOER published these reports in draft form. After a public comment period, DOER will release final versions of both reports.
In addition to this report, DOER is releasing the technical potential and cost-benefit models that E3 developed to support this study, with the goal of supporting stakeholders in understanding and using the results of this study.
Opportunities for Input
DOER hosted a public workshop on January 20, 2026to present the policy recommendations from the Peak Potential Report.
DOER invites public comment on this report and its recommendations until February 9, 2026. Please submit comments via email to Charles Dawson, Energy Innovator Fellow at DOER: charles.dawson@mass.gov. DOER welcomes general comments on the report and recommendations as well as specific comments on the following:
- Standards adopted or under consideration in other jurisdictions for flexible equipment, particularly for heat pumps, window AC units, and EVSE.
- Opportunities to reduce customer supply rates using load management, particularly for municipal aggregations.
- Best practices for customer education, outreach, and marketing for load management programs.
- Incentives or other models to support adoption of load management technologies, including energy efficiency and behind-the-meter storage, for low- and moderate-income customers.
Past Workshops
Public Workshop 1 (July 30, 2025): Preliminary results on the technical potential for peak load reduction, including technical assumptions, modeling methodology, and results for 2030, 2040, and 2050.
Public Workshop 2 (September 10, 2025): Results on cost-benefit analysis and feasible potential, and discussion of barriers to accessing and participating in load management programs
| Date published: | July 7, 2025 |
|---|