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California Roundup: Summary of DR Activity in California
John GoodinLead, Demand Response2008 National Town Meeting on Demand ResponseJune 3, 2008
2
California Energy Action Plan
The “loading order” identifies energy efficiency and demand response as the State’s preferred means of meeting growing energy needs.
The 2008 Energy Action Plan update lists several key DR related action items:
• Adopt load-management standards to achieve a demand response infrastructure.
• Utilize advanced metering, tariffs and automated DR infrastructure in the development of DR programs.
• More progress on dynamic pricing rate design reform for all customer types.
• Develop DR load impact and cost-effectiveness protocols.
• Modify retail programs to more fully participate in the CAISO’s wholesale market structure.
3
Retail Activity
CEC Load Management Standards Proceeding
CPUC Demand Response Proceeding
Utility 2009-2011 DR Program Applications
Development of Dynamic Tariffs
Large Scale Deployment of AMI
4
Regulatory Proceedings in California- CEC
CEC Load Management Proceeding (08-DR-01) Explore and consider any rate tariffs, equipment,
software, automatic technologies, and other measures and regulations that would be appropriate to achieve a price-responsive electricity market
Explore the coordination of regulatory authority of demand response efforts across investor owned and publicly owned utilities in the state
5
Regulatory Proceedings in California- CPUC
CPUC Demand Response Rulemaking (R.07-01-041) Load Impact Protocols
• Long-term planning and Resource Adequacy purposes• Day-to-day operational and procurement needs
(CAISO and utility) Cost-effectiveness Protocols Goals
• Proposed decision due out shortly Integration with CAISO Market Design Utility DR program applications for 2009-2011
• Filed yesterday (June 2nd)
6
California’s Full Deployment of AMI
PG&E SDG&E SCE
Scale
5.1 million electric meters
4.2 million gas meter modules
1.4 million electric meters
900,000 gas meter modules
5.3 million electric meters
SoCalGas MAY connect to this system
Total Costs$1.74 billion approved$623 million requested
for upgrade
$581 million approved
$1.72 billion requested
Deployment timeline
2007-2012 2008-2011 2009-2012
7
Wholesale Activity
Driving the need for Market Integration
Demand Response Working Groups
Enhanced Functionality in New Market Design
8
Load Duration Curve: 2007-2008
CAISO Load Duration CurveMay 28, 2007 to May 27, 2008
15,000
20,000
25,000
30,000
35,000
40,000
45,000
50,000
208
416
624
832
1040
1248
1456
1664
1872
2080
2288
2496
2704
2912
3120
3328
3536
3744
3952
4160
4368
4576
4784
4992
5200
5408
5616
5824
6032
6240
6448
6656
6864
7072
7280
7488
7696
7904
8112
8320
8528
8736
Hours
Syst
em D
eman
d; (M
W)
48,491 MW Peak
5% of Peak or 46,066 MW
Demand > 46,066 MW Only 15 Hours/Yr
10% of Peak or 43,461 MW Demand > 43,461 MW Only 55 Hours/Yr
9
Integrating Intermittent Renewable Resources
CAISO Wind Generation
July 2006 Heat Wave
0
200
400
600
800
1,000
1,200
07/1
6/06
07/1
7/06
07/1
7/06
07/1
8/06
07/1
8/06
07/1
9/06
07/1
9/06
07/2
0/06
07/2
0/06
07/2
1/06
07/2
1/06
07/2
2/06
07/2
2/06
07/2
3/06
07/2
3/06
07/2
4/06
07/2
4/06
07/2
5/06
07/2
5/06
07/2
6/06
07/2
6/06
MW
Wind Generation Wind Generation at Peak
Total Wind Generation Installed Capacity = 2,648 MW
Wind Generation at Peak
10
Retail – Wholesale Integration in California
Five (5) Working Groups and the Lead Agency:
Vision for Demand Resources- CPUC
DR Participation in MRTU Release 1 - CAISO
DR Participation in MRTU Post Release 1- CAISO
Demand Resource Product Specification- CEC
Infrastructure for Demand Resources- CEC
11
Proposed CAISO Market Design Enhancements
Dispatchable Demand Resource Generator ResourceBase Load Schedule Base LoadMinimum Load Reduction Minimum generator outputMinimum Load Maximum generator outputLoad Reduction Initiation Time Start-up timeMinimum Load Reduction Time Minimum up timeMaximum Load Reduction Time Maximum daily energy limitMinimum & Maximum Daily Energy Limit Maximum daily energy limitLoad Drop Rate Ramp up rate Load Pickup Rate Ramp down rateLoad Reduction Initiation Cost Start-up costMinimum Load Reduction Cost Minimum load cost
Model DR with the Flexibility of a Generator