Working Together With PG&E, Customers Are Finding New, Better Ways to Save Energy and Help Support Grid Reliability This Summer
September 07 2021 - 5:52PM
Business Wire
So Far This Year, 245,000 Individuals and
Businesses Have Answered the Call to Save Energy and Help Support
California’s Grid
Energy efficiency experts and environmentalists have long known
that the best energy is the energy that you don’t use. That’s the
premise behind energy conservation, as well as the guiding
principle behind demand-response programs, in which individuals and
businesses reduce or shift their energy usage during peak periods
to help keep the grid reliable.
Pacific Gas and Electric Company (PG&E) provides a wide
range of available demand-response (DR) programs and it continues
to grow. Customers are embracing them in a way that benefits them
personally and all Californians more broadly.
In all, approximately 245,000 industrial, business and
residential customers have enrolled in a variety of demand-response
programs. All told, these programs have a potential to provide
approximately 365.8 megawatts of load-reduction capacity. roughly
enough electricity for the instantaneous demand of about 275,000
homes.
Through Conservation, Companies Connect with
Communities
And customers who participate in these DR programs acknowledge
and understand their value.
“The Farmers’ Rice Cooperative (FRC) supports the community and
environment that makes our industry possible. All FRC locations are
enrolled in demand-response programs. FRC feels that
demand-response programs are more important than ever to protect
California from electrical grid capacity constraints. FRC is more
than proud to support the community; it is integral to who we are,”
said Joe Schloesser, the FRC’s director of Engineering and
Continuous Improvement.
Terranova Ranch, a 6,000-acre farm that grows more than 25 crops
in Helm in Fresno County, participates in multiple demand-response
programs.
"With operational constraints that don't allow us to completely
avoid on-peak TOU, demand response gives us a flexible option to
contribute when we can,” said Patrick Pinkard, manager at Terranova
Ranch. “Being located in a small community, it's a nice incentive
to know our actions can go a long way in helping surrounding homes
and businesses keep their lights and AC on, often when they need it
the most.”
Tishman Speyer is a global real estate developer operating in 29
markets in nine countries.
“As a high-volume user of electricity, Tishman Speyer wants to
do our part in contributing to reducing usage on the grid.
Participating in demand-response programs such as the Emergency
Load Reduction Program allows us to take an active role for
preventing rotating outages in California while ensuring our
operational needs are met,” said Scott Lessard, the chief engineer
at Tishman Speyer’s property on 400 Castro St. in Mountain
View.
And, at Ardent Mills, “our core values are trust, serving,
simplicity and safety, and being enrolled in the Base Interruptible
Program through PG&E is consistent with our company’s core
values,” said Trevor Meyers, plant manager of Ardent Mills’
Stockton Mill facility. “Not only are we concerned with serving our
customers and communities with nutritious grain-based solutions,
but we can also serve our communities by curtailing our power needs
during periods of grid capacity constraints.”
Energy Incentive Programs for Business, Residential
Customers
There is a plethora of energy-reduction incentive programs for
both business customers and residential customers.
For business customers, for example, there is:
- Peak Day Pricing: Business customers get discounted
rates throughout the year, except during nine to 15 “events”
(four-hour blocks) when the electric system is strained, and rates
are higher. Events typically occur on the hottest days of
summer.
- Base Interruptible Program: Business customers with an
average maximum demand of at least 100 kilowatts (kW) earn a
monthly incentive for reducing energy consumption to prescribed
levels when called upon. The Base Interruptible Program has been
expanded to year-round enrollment, increasing the incentive to
participate in the program by $1.50/kW-month.
- Capacity Bidding Program. Business customers work with
third-party programs to create a plan that allows you more
flexibility in deciding how you can earn incentives by reducing
your energy usage when called upon. The Capacity Bidding Program
has expanded to weekends and is implementing other changes that
incentivize third-party companies to sign-up even more new
customers for their programs to provide greater load reductions
during grid emergencies.
- Emergency Load Reduction Program and the California State
Emergency Program. Both are voluntary programs that offer
positive incentives with no penalties, what’s described as a “all
carrot, no stick” approach to mitigate the impacts of capacity
shortfalls.
Residential customers can participate in:
- SmartAC. Customers get $50 and a free air-conditioning
checkup. The program is free and helps prevent power
interruptions.
- SmartRate. Allows customers to take control of their
electric rate and help conserve power when needed most. PG&E’s
Bill Protection guarantee for the first full summer season means
residential customers can try it risk free.
“We’re all in this together – PG&E, our residential and
business customers, the state and others,” said Marlene Santos,
PG&E’s Chief Customer Officer and a company EVP. “This is a
success story based on the engagement of our customers, their
awareness of demand-response programs and how they are answering
the call.”
Importantly, helping conserve energy isn’t just the job of
customers who sign up to participate in DR programs.
During heat waves in 2020 and 2021, where the reliability of the
grid was in jeopardy, PG&E customers stepped up and conserved
energy. The result was that no more rotating outages were needed
after Aug. 14 and 15 last year and none have been needed so far
this year. During the August 2020 heat events, PG&E customers
and those of other load-serving entities helped reduce the peak
demand on the grid by as much as 4,000 MW, roughly enough
electricity for the instantaneous demand of about 3 million
homes.
About PG&E
Pacific Gas and Electric Company, a subsidiary of PG&E
Corporation (NYSE:PCG), is a combined natural gas and electric
utility serving more than 16 million people across 70,000 square
miles in Northern and Central California. For more information,
visit pge.com and pge.com/news.
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