Long Island Power Authority -
Peak Reduction Program


The program is a partnership between LIPA and Long Island businesses to assure that electric demand can be met on certain days during the summer months when customer demand for electricity might exceed supply available from the grid. Participating customers are asked to agree to a “contracted demand” which is the level of electrical demand the customer will shed when requested by LIPA.  All program participants are notified by LIPA at least four hours prior to a request to shed electric load between the hours of 2 PM and 6 PM. Customers who participate and successfully achieve their contracted demand reductions will receive a credit on their electric bill statement at the end of the year. If the customer uses on-site generation to participate in the program, the New York State Department of Environmental Conservation (DEC) requires the customer to register the generator with the DEC. The customer may be required to use ultra low sulfur diesel fuel when available. LIPA will reimburse the customer for the registration fee and the cost differential between standard fuel and ultra low sulfur diesel fuel.
LIPA’s program is separate and distinct from the New York System Operator’s (NYISO) Emergency Demand Response Program (EDRP).  This load reduction option gives LIPA ‘s Peak Reduction Program participants the opportunity to increase compensation levels by adding additional load shedding opportunities as a NYISO EDRP participant. 


All commercial/industrial customers who can reduce their electric demand by at least 50 kW on critical days when called upon to do so by LIPA.  


Frank Verderber
Economic Development Section Manager
Long Island Power Authority
25 Hub Drive
Melville, New York 11747
(631) 755-5354
LIPA Economic Development Infoline: (800) 528-2005

Go Back