Patent ID: 8849715

Claim:
A system for market-based financial settlement of transactions within an electric power grid network comprising: a settlement processor; at least one coordinator; a plurality of databases; and at least one active grid element; the settlement processor for market-based financial settlements comprising a server and/or a processor, constructed and connected via a network-based communication with a network with the at least one coordinator; wherein the coordinator(s) is constructed and connected via a network-based communication with the at least one active grid element that is registered to participate within the electric power grid; said coordinator routing messages from the at least one active grid element through the network connecting to the plurality of databases and wherein servers operating the databases exchange information associated with the at least one active grid element; a memory including instructions that when executed by the settlement processor performs the steps of: automatically generating a communication relating to each of the active grid element(s) using revenue grade metrology including a market-based financial settlement based upon a market price; determining the market price based on settlement and participation data for the at least one active grid element participation including electricity supply and electricity demand curtailment as supply at the active grid element location for a time interval, wherein the participation comprises the at least one active grid element communicating said participation data to the coordinator via the network in real-time; and providing the market-based financial settlement corresponding to the active grid element participation in the time interval of less than about 15 minutes.