System and method for using a network of thermostats as tool to verify peak demand reduction

A system for verifying operational status of an HVAC system by estimating the rate of change in temperature inside a first structure comprising:

• at least a first thermostat located inside a first structure and controlling a first HVAC system in said first structure, wherein said first thermostat obtains an inside temperature of said first structure;
• at least a second thermostat located inside a second structure and controlling a second HVAC system in said second structure, wherein said second thermostat obtains an inside temperature of said second structure and wherein said second structure is separate from said first structure;
• at least one remote processor that is in communication with said first and second thermostats where said remote processor is not located at said first location or said second location;
• at least one database for storing data reported by said first and second thermostats, wherein said database is not stored at said first location or said second location;
• at least one remote processor that is located at a different location than said first structure and said second structure, said remote processor configured to receive one or more measurements of one or more outside temperatures from sources other than said first and second HVAC systems and compares the outside temperature at at least one location multiple times in a 24 hour period to information reported to said remote processor from said first and second thermostats;
• wherein said remote processor uses at least the relationship between the inside temperature of said first structure and the outside temperature over time to derive a first estimation for the rate of change in inside temperature of said first structure assuming that the operating status of the first HVAC system is “on”;
• wherein said remote processor uses at least the relationship between the inside temperature of said first structure and the outside temperature over time to derive a second estimation for the rate of change in inside temperature of said first structure assuming that the operating status of the first HVAC system is “off”;
• and
• wherein said remote processor compares at least one of the first estimation and the second estimation to the actual inside temperature recorded inside the first structure to determine whether the actual rate of change in inside temperature of said first structure is closer to the first estimation or the second estimation to remotely determine whether the first HVAC system is on or off.