A thermostat is provided that is capable of reliably reducing the operation of an air conditioner and other systems to provide energy cost savings to the consumer and load reduction to a utility provider. The thermostat includes at least one sensor configured to communicate information indicative of the temperature within the space, and a memory for storing at least one temperature offset value associated with a request for reduced heating or reduced cooling operation. The thermostat further includes a controller in communication with the at least one sensor, which is configured to periodically determine a temperature value for the space and to control heating or cooling of the space until the determined temperature value has substantially reached the set-point temperature. The periodically determined temperature value is in part based on information received from the at least one sensor, and may include at least one temperature offset value when a request for reduced operation has been received by the thermostat.