Variable refrigerant flow (VRF) systems are primarily associated with energy efficiency (EE) and superior customer comfort. The higher energy efficiency is achieved by utilizing variable speed compressors, modulating fans, electronic expansion valves and multitude of refrigerant management features. VRF systems, with their modulating components, onboard instrumentation and communications capabilities, are great candidates for implementing both EE and DR at the same time. This talk highlights the features of one of the manufacturers technical capabilities and how the existing features can be utilized to provide unparallel customer comfort as well as grid services to further improve reliability of our electrical grid.