Demand response (DR) programs are key for enhancing grid reliability and resilience, yet face significant participation hurdles in low-income and underserved multifamily communities due to connectivity barriers. Notably, 23% of U.S. households—and 43% in low-income areas—lack home internet access. Additionally, the absence of property-wide Wi-Fi in many multifamily communities further limits access to these essential programs.

The Austin Energy Smart Home Rewards Demonstration Program for Multifamily Properties addresses these challenges by deploying DER technologies, specifically cellular-connected water heater control devices integrated with smart thermostats. This approach enhances utility communication and community connectivity, thereby expanding DR participation and promoting grid stabilization. The program is designed for economically disadvantaged multifamily communities, focusing on efficiently managing the two largest energy loads in homes—water heating and HVAC.

The program has demonstrated strong results, achieving an 86% response rate to DR commands with a significant impact of over 1kW per device. These achievements are expected to provide financial and social benefits to marginalized communities, reinforcing this scalable and resilient model for transforming DR frameworks and enhancing sustainable community development.