Southern California Edison (SCE) has been advised by the CPUC that it had approved ConsumerPowerline’s contracts based upon the individual cost-effectiveness scores and the pay-for-performance demand response business model.

The California Public Utilities Commission (CPUC) has reviewed eight demand response contract proposals from SCE in January 2008, and scored each contract by how the solutions provided firm, reliable price responsive resources.

With the SCE contracts, ConsumerPowerline will provide demand response services to its electricity customers, enabling customers to participate and reduce their electricity consumption during critical times.

This process will reportedly help reduce energy usage on the grid, and in return, electricity end-users will receive payments for their participation. The capacity nominations under the SCE and ConsumerPowerline contracts will grow over time up to 95MW in the summer of 2012.