Demand Response Marketplace and DR programs in Ontario

Transcription

1 Demand Response Marketplace and DR programs in Ontario Demand-Response-Shop.com Collaboration Project with Sheridan College-Building Intelligence Quotient- RFQ Strategies partially funded by Ontario Centres of Excellence David Katz BiQ Program Manager Principal - Sustainable Environmental Solutions Connectivity Week - May 24, 2010 Information on Ontario Power Authority Programs are generalizations and subject to change

2 Agenda Overview CABA BIQ - Sustainable RFQ Strategies Ontario Power Authority Integrated Power System Plan Conservation - LEED Green Globe BOMA BESt Conservation Measures - Technology Distributed Generation Opportunities Standard Offers Renewable Clean Energy Demand Response Programs DR Technologies Building Sector Demand Response Shop website Smart Grid Building2Grid optimization Questions

3 Conservation Objectives Develop a Culture of Conservation Provide the CDM programs to reduce MW: New programs in all sectors Public Private MASH, Residential, Commercial, Industrial New technologies Savings must be measurable Summer Peak Demand Response Programs Electrical energy savings and fuel switching HVAC, Lighting, Power Quality, Power Factor Incentives pay up to $800/kW or $0.10/kWh

4 Old and New Technologies Previous technologies now economic New technologies save and measure it Building Automation more Intelligent Occupancy, Demand HVAC, Daylighting LEED and Green Globe Credits Life cycle costs and low cost of funds Peak and Energy reduction targets now mandated to each of 80+ Ontario LDC s

5 Distributed Generation Energy costs only going up even with CDM programs. NERC/FERC Reliability rules in harmony with Canadian Feed-In-Tarff and Standard Offers FIT 20 year fixed Range - PV/$0.802/kWh Rooftop <10kW going down to $0.433/kWh for < 10 MW on ground Wind, Hydro &Biomass Range from $0.10-$020/kWh with some peak premiums and some escalation to CPI CESOP On Hold $0.081/kWh Peak and $ Off peak with some fuel price adjustments Not on HEAT portion Only for certain hours and 8 months Demand Response Programs took precedent in IPSP

6 Demand Response Technologies Lighting Dimming Occupancy -Daylighting Raise Cooling Temperature Casual Day Clothes Chiller Optimization Hartman LOOP Chillers - Gas Driven Absorption Thermal Storage ICE - Water VSD Pumps Fans - Reprogram On site Generation Economics? Windows - Shades -Tinting

7 Abitibi Consolidated Company of Canada Air Products Canada Limited Algoma Steel Inc. Atlantic Packaging Products Ltd. Bowater Canadian Forest Products, Inc. CPower Inc. CVRD Inco Limited Direct Energy Marketing Limited Energy Advantage Inc. Energy Curtailment Specialists Inc. EnerNOC Inc. Enershift Corporation Essroc Canada Inc. Lafarge Canada Inc. NRGen Inc. Praxair Canada Inc. Sobeys Capital Incorporated St. Marys Cement Inc. (Canada) St. Marys Paper Corp. Tembec Industries Inc. Wescast Industries Inc.

8 Demand Response #1 Key Program Features: The DRP is a voluntary program that allows participants to receive compensation for curtailing the electricity demand of their Projects. Projects can be based on load interruption, load shifting or behind the meter generation (excluding diesel, coal, bi-fuel, and bio-diesel). No maximum on the number of hours of operation. Load curtailment is voluntary. Minimum of 0.5 MW load reduction, achievable for at least one hour in a relevant season. No financial penalties for under or over performance. Participants offer their own strike price on a monthly basis, at which they are willing to curtail load. The Participant s strike price must be higher than the minimum defined Floor Strike Price for the month. Project applications must include a Measurement and Verification (M&V) Plan, acceptable to the OPA and all curtailments must be verified by an M&V Consultant. Participants receive monthly payments for curtailment.

9 Demand Response #2 Contractual response load shifting. Availability payment $/MWh for term of contract. Higher availability for higher reliability. Minimum contracted hours with penalties for non-conformance. Minimum differential price. Differential set by time period and by season. Published one month in advance of season. For each hour of active load reduction, the differential is the difference between the average HOEP for all hours in that time slot for the week, and the average of all offpeak hours in the week. Participant is paid the difference between the OPA Minimum Differential and the Actual Differential for all hours of the week where load was curtailed, if the difference between the OPA Minimum Differential and the Actual Differential is positive. Participant may also be eligible for peak premium incentive and location specific incentives

10 Demand Response #3 Contractual Load Shedding with DR aggregator Schedule Term (1, 3, or 5 yrs) Contracted Dispatch Period Election of Option A (100 hrs) or Option B (200 hrs) Not Fully Available for Curtailment Election: (1) using the four hour period prior to Curtailment or (2) the four hour period prior to receiving an Activation Notice Different rates for Standard, Premium, Discount areas Some areas of province are X no participation allowed due to system conditions and contracts with others.

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12 List of Participating Aggregators Some withdrew

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14 (BUILDING INTELLIGENCE QUOTIENT CONSORTIUM) IN COLLABORATION WITH Sheridan College Institute of Technology and Advanced Learning + LAUNCH DEMAND-RESPONSE-SHOP-CONSORTIUM (DRSC) AND DEMAND-RESPONSE-SHOP.COM AND.CA

15 - an online tool Rating and Certification (demonstrates the added value) Upgrade Design and Implementation Guidance (demystifies implementation)

16 SCREEN Of BiQ For building info after login

17 Building Intelligence Quotient Assessment Chart of BiQ rating for each section generated as part of the report Report for Middleton Hall Middleton Hall achieved an overall rating of 78% at the New system/upgrade Stage Integrated design Education Selection of sub-systems Value factors for automation systems Business considerations Subsystem stand-alone custom features Subsystem stand-alone performance Interaction among subsystems BAS Equipment

18 Secure Procurement System for RFI, RFQ and RFP with on line submissions and processing reverse auction and other capabilities

19 The Sheridan Institute of Technology and Advanced Learning is one of Canada's premier polytechnic institutes and is dedicated to exceptional applied learning and graduate success. They are a leader in providing skills- based educational programming that integrates theory with application, preparing students for careers in visual and performing arts, business, community services and technical fields. Sheridan serves close to 15,000 full-time students annually at its campuses in Oakville and Brampton, Ontario

20 While a few large companies with heavy energy loads and significant peak demand charges already know about the various demand response (DR) programs, many smaller companies do not. The current energy demand issues are the responsibility of the facility or production personnel while the supply side issues are currently under the procurement and purchasing responsibilities. The need for an integrated approach to critically evaluate the opportunities for load curtailment, the resulting costs or inconvenience and the benefits from the various offers from the DR aggregators will be addressed by the Demand- Response-Shop.com and.ca websites and the on line Building Intelligence Quotient and DR procurement service it will provide.

21 The key objective is to educate users on the various demand response programs. It will gather the vast experience in DR from global jurisdictions and provide the framework for comprehensive rational decision analysis for participating in the DR program. The site will provide a forum and blog to discuss and develop greater recognition of the many different loads that can be part of the demand response in a building and other facilities. The DR website and the Demand-Response-Shop- Consortium DR services will provide the user with cost effective time and effort to acquire and evaluate the DR alternatives that provide optimum value from the DR payments. The benefit of using the CABA BiQ program prior to pursuing DR payments allows the customer to evaluate all the energy management opportunities especially the building automation controls that will make the DR program respond as required when called upon with short notice or automated dispatch.

22 The targeted user groups are the DR aggregators approved by the regulatory authorities and all the potential customers who want independent assessments of their offerings. While each aggregator may have their own DR assessment methodology and target only certain loads this website will meet the needs of the end users. For a small fee early adopters will be provided with a rating and the development of their unique site specific on line for DR investment and incentives. The competitive process and the financial evaluation of the alternatives will increase DR life cycle benefits. The website will include the publication of these pilot DR procurements on the site and in energy related journals to increase DR market penetration. Links will be provided to associations such as CABA, BOMA and IFMA to have their members benefit from this program. Work is underway with partial funding from the Ontario Centre for Excellence Energy Division

23 Summary GRID has massive investment needs Conservation finally getting recognition Renewable energy needs incentives but offer environmental and health benefits Distributed Clean generation can play a large role and can be profitable Demand Response can be part of solution Peak Shaping Shedding Shaving Education on DR and the Building 2 Smart Grid is essential Demand-Response-Shop.com addressing the need and providing the facilitation for maximizing DR incentives and linking to energy efficiency

24 Contact Information David Katz Sustainable Environmental Solutions Tel: Learn more about the CABA and the BIQC Participate in Demand Response Shop website development for North America Smart Grid