Helping Utilities Make Smart Solar Decisions. Montana Clean Energy Pilot Working Group Workshop #5

Transcription

1 Montana Clean Energy Pilot Working Group Workshop #5 March 24, 2016

2 Agenda Agenda Topic Presenter Time Safety Moment SEPA 9:00-9:05 Group Introductions ALL 9:05-9:15 Recap of Process to Date SEPA 9:15-9:30 Energy Efficiency Options SEPA / NWE 9:30-10:15 Demand Response SEPA 10:15-10:45 Break 10:45-11:00 Distribution Automation & VoltVar Control NEW 11:00-12:30 Lunch 12:30-1:00 Group Activity ALL 1:00-3:00 Wrap Up & Next Steps SEPA 3:00-3:15 2

3 RECAP OF PROCESS TO DATE 3

4 Final Desired Outcome Two customized pilots Pilot #2 Based on Stakeholder input Meeting customer needs Customer- Enabling Initiatives Grid Integration Technologies Providing longterm grid benefits Pilot #3 4

5 Guiding Principles Reformative Measurable Sustainable Equitable Changes how the customer and utility interact Educates key stakeholders Requires that the project is replicable The outputs are credible, unbiased, actionable, relevant, and there is a timeline for goal tracking Can be adapted for different environments Beneficial to the triple bottom line (environmental, economic, & social) Considers future customer needs along with current customers All parties are considered and no costs are transferred to nonparticipants Program can be justified to nonparticipants 5

6 Group Activity Results Rural Reliability Pilot (Solar + Storage) Holistic Schools Program 6

7 Group Activity Results (cont d) High Penetration Solar & Storage 7

8 Group Activity Results (cont d) Schools Program TOU Rate Design for Solar 8

9 Group Activity Results (cont d) Infrastructure Deferral EV Charging 9

10 Group Activity Results (cont d) Smart Inverters Schools Pilot 10

11 Group Activity Results (cont d) Community Solar Rooftop Solar (Utilityowned) 11

12 Group Activity Results (cont d) Low-Income Community Solar 12

13 ENERGY EFFICIENCY 13

14 Overview Least Cost Resource Multiple EE measures below 10c/kWh Energy Efficiency Resource Standards - EERS in 24 States Missing Generation - Coal retirements w/o replacement Environmental Concerns - All the environmental benefits of renewables Source: Mckinsey, ACEEE 14

15 Peak Load Savings Efficiency measures that target evening hour savings can serve as a peak load strategy Non-Peak Load EE Office lighting Industrial retrofits Heating Peak Load EE Retail retrofits Home lighting Televisions Cooking Source: RAP Teaching the Duck to Fly 15

16 Energy Efficiency Program Spending (billions) Overview Total program spending in 2014 was over $7 billion. $8 $7 $6 $5 $4 $3 $2 $1 $ % spent on M&V Source: Edison Foundation 16

17 Common Programs FINANCIAL INCENTIVES BEHAVIORAL PROGRAM STANDARDS PoP Incentives, Product rebates Appliance recycling Energy audits & retrofits Weatherization Residential benchmarking Commercial benchmarking & disclosure policy Lead by example Product labeling Appliance standards (federal and state) Building codes & labeling (LEED, Energy Star)

18 Challenges Hard to drum up interest Can get bogged down in M&V Net Savings = Gross Savings Free Riders + Spillover LCOE comparison only makes sense with a proven cost recovery mechanism. Low hanging fruit are plucked? Water Heating Food Service Other Appliances & Plug Loads Refrigeration HVAC Lighting Electricity Use Electricity Savings 0% 20% 40% 60% 80% 75% of savings comes from lighting, which is only responsible for 20% of use. Generation LCOE Cost of Facility & Fuel Lifetime kwh Produced EE LCOE Cost of EE Program Lifetime kwh Saved Source: EIA, AEO,

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20 Displays Monitors that display energy use of individual appliances, groups, and / or entire home Needs advanced meters, or sensors, communications (wifi, Ethernet, etc.), & $$ Theoretically allows 1) customers to connects energy use to behavior, 2) supports dynamic pricing, 3) schedule DR events, 4) messaging tool Studies show ranging benefits, from 15% savings to nothing. In-Home Displays Appliance Specific Displays Online Displays

21 Case Study - DTE Daily Electrical Usage A view of the daily electricity usage of your home and the energy consumption patterns of your family. Ways to Save! Energy-saving tips that suggest and encourage home improvement projects. Energy Savings and Challenges Weekly challenges designed to engage and reward you for saving energy. The PowerScan Tool Gives the ability hold their phone up to the power cord of any electrical appliance to view its energy consumption and monthly operating cost

22 DEMAND RESPONSE 22

23 Demand Response Defined The Commission uses demand response to refer to the ability of customers to respond to either a reliability trigger or a price trigger from their utility system operator, load-serving entity, regional transmission organization/independent system operator (RTO/ISO), or other demand response provider by lowering their power consumption. For many years, the term was used to refer to peak clipping actions that were confined to a limited number of hours of the year. FERC National Action Plan on Demand Response (2010) 23

24 Translation Customer load drops during event due to signal from utility to an end device Thermostat, AC switch, water heater, etc. Load may increase after event AC may need to run harder than planned to return home to appropriate temperature 24

25 Direct Load Control AC Cycling Summer only program, targeting peak cooling hours (e.g., 2-6pm) Air conditioner cycled at 50% its normal run time Fan continues to circulate air Event lasts 3-6 hours, often limited to no more than times per summer and/or weekdays only Customer retains the ability to override the signal Same concept applies to C&I customers with interruptible load 25

26 PG&E SmartAC Program 26

27 Interruptible Load Targets medium and large C&I customers Participants agree to firm load reductions when notified by the utility, with as little as 10 minutes notice In return for participating, the customer can receive reduced capacity charges, option payments, etc. Programs may also include financial penalties for underperformance 27

28 DR in Montana Most residential demand response programs nationally focus on reducing air conditioning load during summer months The load profile and timing of peak demand in Montana may not be conducive to a traditional demand response program Correct or incorrect? Load reduction alternatives? 28

29 DISTRIBUTION AUTOMATION 29

30 GROUP ACTIVITY 30

31 Group Activity Break into groups of 3-4 For your assigned program/technology, identify: Target customers Pros and cons Potential goals of this type of pilot Synergies with other options discussed, or other MT initiatives Additional information needed to make an informed decision How well this option aligns with our guiding principles You will have a chance to have input on each topic! 31

32 NEXT STEPS 32

33 The Challenge Great Idea 2 Great Idea 1 Great Idea 2 Pilots 33

34 The Homework Part 1 SEPA will condense and summarize all of the ideas developed by the working group Duplicative / largely overlapping ideas will be merged (if possible) Each participant will be given a set # of points (e.g., 10) to award to pilot ideas Points can all be given to one idea or spread amongst several April 22 meeting will focus on the ideas that received the highest scores 34

35 Rooftop solar Community solar LED lighting Utility-scale solar DR Time-of-use Demand rates Grid-connected Behind the meter In-home displays EV chargers Advanced inverters AMI Distribution Volt/Var 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% The Homework Part 2 After Meeting 1, participants were asked to rate their pre-existing knowledge of, and interest in, the topics at hand Knowledge Starting Point for Working Group Novice Intermediate Advanced Expert Score Overall Rank Community solar Grid-connected storage Behind the meter storage TOU rates Advanced inverters Distribution automation Utility-scale solar DR Demand rates AMI In home displays Volt/Var optimization Rooftop solar EV chargers LED lighting We d like to get feedback on if your opinions changed, and how 35

36 Final Meeting Goal: Review homework results Finalize pilot design concepts Identify next steps Location / timing April 22 in Missoula 36