CEEIC Demand Response Webinarefficiencycouncil.org/wp-content/uploads/2014/10/EnerNOC_Mona... · •Broadly supported settlement on the DR Rulemaking is being considered by the CPUC

CEEIC Demand Response Webinar

October 23, 2014

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Who Is EnerNOC?

• EnerNOC is transforming energy management through Energy

Intelligence Software

• DR, EE, Utility Bill Management, Carbon Reporting, Financial and

Budgeting Information

• Global company with over 6,000 companies and 30,000 sites streaming

real-time energy data into our platform

• Founded in 2001, Public in 2007

• Providing DR services in every open North American Market and

through bilateral contracts with utilities.

• In CA since 2004

• 100 employees

• Variety of energy programs with all major utilities

• San Francisco Western Regional HQ

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Introduction

• What is Demand Response?

• History of DR in California

• Demand Response Terminology

• The Changing DR Landscape

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What is Demand Response? Same Energy Language, Different Dialect

Demand Response (DR) is a reduction in demand in response to price signals, system

conditions or incentives.

Winter Spring Summer Fall

90%

100%

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PJM Screen Shot for BGE Zone

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History of Demand Response in California DR Isn’t New to California

• IOUs have had DR programs for decades in the form of interruptible tariffs and direct load

control.

• After the energy crisis, IOUs offered more DR options, including 3rd party aggregator

contracts; Energy Action Plan places DR and EE at the top of the loading order.

• To date, retail programs represent the majority of DR in the state (5%).

• CPUC and CAISO want more DR participation in the wholesale market

• CAISO would know when, where, and how much DR is available

• DR participation in the wholesale market counts for resource adequacy

• Current DR Rulemaking wants to explore how to expand DR and how to integrate it into

CAISO’s market

• Broadly supported settlement on the DR Rulemaking is being considered by the CPUC

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Demand Response Terminology Same Energy Language, Different Dialect

• Demand Response (DR) Rulemaking

• Demand Response Provider (DRP) -the entity that bids supply-side DR resources into

the wholesale market

• Demand Response Auction Mechanism (DRAM)-CPUC’s Energy Division’s proposal to

provide capacity payments to DRPs outside of CAISO.

• Categories of DR Resources

• Load Modifying Resources (LMR)

• Utility tariff programs

• Aggregator Managed Programs (AMP)-contracts with third-party aggregators

• Supply-Side DR Resources

• Proxy Demand Resource (PDR) -allows DRPs to submit offers to provide energy and ancillary

services

• Reliability Demand Response Resource (RDRR)-incorporates emergency DR programs into the

market

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Demand Response Terminology (cont.) Same Energy Language, Different Dialect

Resource Adequacy (RA)

A regulatory requirement upon load-serving entities (LSEs) to procure enough

capacity to meet 115% of peak demand, to meet local requirements and now to

meet flexible requirements determined by the CAISO.

CAISO’s DR-Related Stakeholder Initiatives

• Reliability Service Initiative (RSI)-CAISO Stakeholder Process to establish offer

obligations for DR resources in order to count for resource adequacy.

• Flexible Resource Adequacy Criteria Must Offer Obligation (FRACMOO) –

establishes a flexible RA requirement for LSEs, in which DR can meet a portion

of the requirement

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The Changing DR Landscape What’s Changing the Way We Look at DR Resources Going Forward

Source:

CAISO Demand Response and Energy Efficiency Roadmap:

Maximizing Preferred Resources, December 2013, Page 7

San Onofre Nuclear Generating

Station (SONGS) retirement

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The Changing DR Landscape What’s Changing the Way We Look at DR Resources Going Forward (Continued)

GHG reduction strategies

(AB32, EPA 111.d)

DR Automation

New Regulatory Policies (Distribution

OIR, IDSM OIR, NY REV)

Mona Tierney -Lloyd

Senior Director, Western Regulatory Affairs

805.995.1618

[email protected]

www.enernoc.com

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Speakers

Mark Martinez

Senior Policy Manager, Customer Service

SCE

Matthew Tisdale

Advisor to Commissioner

Florio

CPUC

Jill Powers

Smart Grid Solutions Manager

CAISO

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QUESTIONS

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• Please submit questions through the gotowebinar

question/chat feature (located on the gotowebinar toolbar)

• Final slides will be sent to registrants following the webinar

and posted to http://www.efficiencycouncil.org/home

• Don’t forget to register for the Efficiency Council’s 2014

Annual Conference, in Berkeley on Nov 13!

California Energy Efficiency Industry Council

436 14th St., Suite 1020

Oakland CA 94612

(916) 390-6413

[email protected]