Demand Response – Peak Load Management – Tariff Analysis

There are times when the transmission grid struggles to meet market demand. Customers of a certain energy load profile can enroll in a program, Demand Response, whereby they agree to curtail or shift their electric load at the request of the grid operator during certain peak load hours.If your facilities are flexible enough to reduce electric consumption during these periods, then you may find economic value in demand response (DR).

Your flexibility and willingness to adjust your operations has tremendous value to the grid. The most obvious benefit of participating in demand response (DR) are the payments you receive in exchange for that flexibility, but benefits other than financial do exist.

Let Statistical Energy guide your facility management team through the transition by aligning your business strategy with a curtailment services administrator, including metering technology, cloud-based load management systems, and flexibility within contract terms and conditions. Getting to know your organization is crucial so we can develop a solution that delivers the most economic benefit with the least interruption to your operations.

Demand response may be an economic option if your facility has but is not limited to:

  • Onsite back-up generation
  • The ability to isolate non-essential energy consumption, such as lighting and cooling
  • A multi-site footprint with a centralized building management system
  • Sizable electricity usage

Tools to Maximize Dispatch Performance

Advanced PC based dashboards will show you how your facility is tracking towards its energy reduction targets during a DR dispatch. This valuable tool helps ensure that you are maximizing your DR earnings potential by consistently delivering against your committed reduction.

In most regions, DR dispatches are infrequent, but with the right solution, your organization can benefit 24/7/365. Technology is available to provide full-range of energy profiling tools that help you reduce your overall energy costs by up to 30% and more proactively manage your energy consumption. The following benefits are worth considering for your operation:

  • Get an alarm on your phone or in your inbox before your energy usage hits a peak
  • Lower base load and shave energy usage outside of operating hours
  • Track your energy use in intuitive dashboards
  • Use reports and savings visualizations to show progress against goals
  • Benchmark your consumption against custom targets, historical performance, similar buildings or specific production levels
  • Consolidate your data in a unified platform available from anywhere in the world
  • Shadow your utility bill and mitigate billing overcharges
  • Use load curves and power factor data to empower smarter buying decisions
  • Get advanced notice of a potential blackout

Peak Load Management/Peak Shaving

Just five peak hours of consumption during the summer (Typically June – September) is what utilities use to determine your capacity and transmission costs (tags) for an entire following delivery year (June-May). Your consumption during these five hours is called your Peak Load Contribution (PLC) and can drive as much as 33% of total electric costs. These costs can be managed.

To help mitigate potential capacity and transmission tag (value) increases, we send an alert notifying you that a peak event is likely to occur within the next 24 to 48 hours. This gives you the insight, and the time you need to evaluate operations and take action to reduce consumption. Curtailing usage during these critical hours could significantly reduce costs for the next delivery year (June to May) as well as create an income stream.

This peak kW, or peak load contribution / capacity tag / cap obligation (various names depending on market), can comprise up to 50% of your supply bill and more than 30% of your total electricity bill (supply + delivery). Through conscious management of your load, you can clip these peaks and significantly reduce your electricity costs, both in the current period (delivery) and during the next capacity period (supply).

NYISO – Your peak load contribution, or installed capacity tag (ICAP tag), is determined by your usage during the single highest peak hour from the previous year. The peak hour is the hour during which the usage was the highest across the entire NYISO grid (not just your zone or utility). Your ICAP tag is effective each May 1 to April 30.

PJM – PLC is based on your peak demand usage during PJM’s five Coincident Peak Hours during the previous June 1 through September 30 period. PLCs are effective each June 1 to May 31.

ISO-NE – Your peak load contribution, or installed capacity tag (ICAP tag), is determined by your usage during the single highest peak hour from the previous year. The peak hour is the hour during which the usage was the highest across the entire ISO-NE grid (not just your zone or utility). Your ICAP tag is effective each June 1 to May 31.

Tariff Review: We will conduct a thorough, professional review of factors impacting unit cost of energy delivered to your facility which often reveals additional savings.

  • PLC – Capacity and Transmission tags
  • Peak Shaving
  • Tariff Analysis
  • Frequency Regulation

 

  • Get Paid, Use Less, Protect the Grid and the Environment
  • Real-Time Visibility to Drive Savings Year Round
  • Saving money, reducing air pollution, cutting your facility’s carbon footprint—and even earning revenue.