Certified Demand-Side Manager Exam Prep
Free practice questions

Free CDSM Practice Questions

10 exam-style questions with answers and explanations, straight from our 1,030-question bank. Tap an answer to check yourself. When you're ready, take the scored version in the free practice test.

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The CDSM exam has 120 questions and runs 4 hours.

These 10 free CDSM questions are organized by exam domain, so you can see how each part of the Certified Demand-Side Manager blueprint is tested. Reveal the answer and explanation under each question.

Domain 1: History of Demand Side Management (DSM), Demand Response (DR), and Load Management (LM) (11-17%)

Question 1

A utility analyst is explaining demand-side management (DSM) to a new program team. Which statement best distinguishes DSM from a general energy-efficiency initiative?

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Correct answer: A - DSM includes strategies that influence customer energy use, including efficiency and load management approaches

Question 2

A program manager compares two customer impacts. Customer A reduced total kilowatt-hours used over a month, while Customer B reduced peak demand during a utility system constraint. Which pairing is correct?

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Correct answer: B - Customer A demonstrates energy savings and Customer B demonstrates demand reduction

Question 3

A utility introduces a program that pays commercial customers to temporarily reduce consumption when wholesale prices are high. Which demand response category is being used?

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Correct answer: A - Economic/incentive demand response

Domain 2: Planning and Evaluating DSM, DR, and LM (24-36%)

Question 4

A DSM planner is comparing projects using present value analysis. Which factor causes future savings to be worth less than the same savings received today?

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Correct answer: B - Applying a discount rate to future cash flows

Question 5

A utility evaluates a rebate program and includes customer costs, utility costs, and energy-system benefits but excludes transfers between parties. Which cost-effectiveness perspective is this most consistent with?

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Correct answer: C - Total Resource Cost Test

Question 6

A program evaluation team finds that its savings estimate depends heavily on assumptions about customer behavior and baseline conditions. What should the team do before relying on the result?

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Correct answer: A - Validate the assumptions and review data quality limitations

Domain 3: Designing DSM, DR, and LM programs (16-24%)

Question 7

During DSM program design, a planner discovers that customers may receive incentives even though they would have installed the efficient equipment without the program. This issue is known as:

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Correct answer: B - A free rider effect

Question 8

A utility is creating a new incentive program. Which design activity should occur before setting final rebate levels?

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Correct answer: B - Determine eligible measures, baseline conditions, and program objectives

Question 9

A demand response aggregator enrolls many customers and coordinates their load reductions for utility needs. The aggregator is primarily acting as:

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Correct answer: A - A demand-side service provider coordinating customer resources

Domain 4: Implementing DSM, DR, and LM Programs (11-17%)

Question 10

A utility prepares a DSM filing for a regulatory commission. Which responsibility most appropriately belongs to the commission rather than the utility?

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Correct answer: B - Approving or reviewing regulatory filings under its authority

The rest of the CDSM blueprint

The CDSM exam also covers these domains. Drill them in the full free practice test:

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