A bill to amend the Federal Power Act to clarify the authority of the Federal Energy Regulatory Commission to prescribe just, reasonable, and not unduly discriminatory or preferential terms, conditions, and compensation applicable to wholesale demand response resource participation in organized wholesale energy, capacity, and ancillary service markets.

Amends the Federal Power Act to authorize the Federal Energy Regulatory Commission (FERC) to prescribe just, reasonable, and not unduly discriminatory or preferential terms, conditions, and compensation applicable to wholesale demand response resource participation in organized wholesale energy, capacity, and ancillary service markets.

Defines "demand response" as a reduction in customer consumption of electric energy from the expected consumption in response to either increased electric energy prices or to incentive payments designed to induce lower electric energy consumption.