Your network, your choices Building a demand based network tariff #2

Transcription

1 Your network, your choices Building a demand based network tariff #2 13 January 2015

2 Welcome to Energex! Meet the team and housekeeping Facilitator Customer Engagement Carly Irving, Group Manager Customer Contact Group Danielle Davidson, Customer Engagement Manager (host) Andrew Hager, Commercial Business Manager (Subject Matter Expert) Dayna Williamson, Strategic Customer Engagement and Standards Manager Phoebe O Brien, Customer Engagement Coordinator Network Pricing Candice Hincksman, Network Pricing Manager (Subject Matter Expert) Energex staff Customer Insights & Analytics Regulation & Pricing Commercial Business Office Graduate and Professional Engineers Housekeeping In case of emergency / safety Amenities Tea/coffee outside Ground rules for engagement Be respectful Be mindful when others are speaking Please state your name ahead of speaking or sharing with the group

3 Re-visiting our program timeline What we are doing now, what is to come and the final strategy November 2014 March 2015 Building the demandbased network tariff of the future Pricing principles and building the network tariff (what and how we measure demand) Mid 2015 Proposed network tariff and implementation strategy Consult on draft network pricing strategy developed from workshops End of 2015 Final Network Pricing Strategy

4 Proposed outline of workshop 1. Town hall Participants have the opportunity to discuss anything electricity related o 20 minutes. 2. Real profiles Energex staff present a day in the life of their electricity use (explaining how a demand would apply to every day customers) Activity on real profile learnings 3. Pricing impacts Applying pricing to the Energex s staff profile 4. Workshop review Feedback on the workshop Participants provide feedback

5 1. Town Hall 1. Town Hall 2. Real Profiles 3. Pricing Impacts 4. Workshop review Carly Irving Candice Hincksman Andrew Hager Candice Hincksman Carly Irving Town Hall Real profiles (Candice s profile) Analysing Candice s load profile (week day) What does this mean for Candice? Key lessons Analysing Candice s load profile (weekend day) What does this mean for Candice? Key lessons Group activity Real profiles (Andrew s profile) Pricing outcomes Candice s profile Candice s weekday profile Candice s weekend day profile Candice s daily price comparison Andrew s profile Andrew s weekday profile Andrew s weekend day profile Andrew s daily price comparison Workshop review activity Group activity Additional demand profile Group activity

6 Town Hall Have your say on the electricity sector We have 20 minutes for town hall discussion. Please raise your hand if you want to speak, the Customer Engagement Team will stand beside you when it is your turn to speak. All speakers have a maximum of 2 minutes to speak. Please be respectful of others who wish to have their say.

7 2. Real Profiles 1. Town Hall 2. Real Profiles 3. Pricing Impacts 4. Workshop review Carly Irving Town Hall have your say on the electricity sector Candice Hincksman Andrew Hager Real profiles (Candice s profile) Analysing Candice s load profile (week day) What does this mean for Candice? Key lessons Analysing Candice s load profile (weekend day) What does this mean for Candice? Key lessons Group activity Real profiles (Andrew s profile) Candice Hincksman Pricing outcomes Candice s profile Candice s weekday profile Candice s weekend day profile Candice s daily price comparison Andrew s profile Andrew s weekday profile Andrew s weekend day profile Andrew s daily price comparison Carly Irving Workshop review activity Group activity Additional demand profile Group activity

8 Real profiles Day in the life of electricity use Presentation Candice presents her load profile on two different days Activities following the presentation: An opportunity to ask questions will be available after the presentation. There is paper available on the tables to write any questions you may have. Table discussion to clarify and confirm information provided in the presentation. Presentation Andrew presents on his load profile on two different days Write down any notes or questions on the sheet of paper in front of you Activity: An opportunity to ask questions will be available after the presentation. There is paper available on the tables to write any questions you may have. Table discussion to clarify and confirm information provided in the presentation. Sample profile Activity: Carly will facilitate a session to check group understanding of demand tariffs within day in the life of

9 Analysing Candice s load profile Real examples of customer demand 2 adults, 2 children 1 adult and 1 child stay at home during the day No air-conditioning 2kW solar system Dishwasher, fish tank, multiple TVs, computers, electric stove, washing machine and dryer Off peak: Electric hot water

10 0:30 1:00 1:30 2:00 2:30 3:00 3:30 4:00 4:30 5:00 5:30 6:00 6:30 7:00 7:30 8:00 8:30 9:00 9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00 13:30 14:00 14:30 15:00 15:30 16:00 16:30 17:00 17:30 18:00 18:30 19:00 19:30 20:00 20:30 21:00 21:30 22:00 22:30 23:00 23:30 0:00 Analysing Candice s load profile Week day Demand = 3.6 kw 1 February 2013 (Friday) Average Person Energy = 21.5 kwh Demand = 2.6 kw Solar export = 6.5kWh Energy = 10.0kWh Candice (Friday, 1 Feb) - Import Candice (Friday, 1 Feb) - Export Average Person (Friday, 1 Feb)

11 What does this mean for the household? Week day 3.6 kw of demand was used on this week day A small amount of electricity was consumed but required a lot of network to deliver power, the network was used less efficiently than the average customer The profile showed a low energy user that placed high demand on the network because of high peak use Most of the demand was placed on the network from 4.30pm to 6.30pm

12 0:30 1:00 1:30 2:00 2:30 3:00 3:30 4:00 4:30 5:00 5:30 6:00 6:30 7:00 7:30 8:00 8:30 9:00 9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00 13:30 14:00 14:30 15:00 15:30 16:00 16:30 17:00 17:30 18:00 18:30 19:00 19:30 20:00 20:30 21:00 21:30 22:00 22:30 23:00 23:30 0:00 Analysing Candice s load profile Weekend day 3 Saturday, 2 February Average Person Energy = 18.6 kwh Demand = 2.4 kw Demand = 1.0 kw Solar export = 3.9kWh Energy = 7.5 kwh Candice Saturday, 2 Feb) - Import Candice Saturday, 2 Feb) - Export Average Person (Saturday, 2 Feb)

13 What does this mean for the household? Weekend day Used only 1.0 kw of demand on this Saturday By smoothing her usage, the household used only 25% less energy on the Saturday compared to the weekday but reduced demand by over 70%. The profile showed a low energy user, and also placed low demand on the network on this Saturday Most of the demand was placed on the network from 6.00pm to 8.30pm

14 Group activity Instructions: Break into pairs with the person sitting next to you Use your activity sheet to create a statement to explain demand tariffs based on Candice s presentation how would you explain the concepts you have just learned to your friends and neighbours? Share with your table and then elect a spokesperson to share with the group Activity: Develop your statements to explain demand tariffs based on the information in Candice s presentation The statement is designed to explain this information to your friends and neighbours. Time: 3 minutes in pairs, 3 minutes as a table and 2 minutes to present Next: Andrew s load profile

15 Afternoon tea break Please help yourself to refreshments outside in the break area We will return back to our workshop in 20 minutes.

16 Analysing Andrew s load profile Real examples of customer demand 2 adults 1 adult working from home Air-conditioning, pool, dishwasher, multiple TVs, computers, electric stove and washing machine Gas hot water

17 0:30 1:00 1:30 2:00 2:30 3:00 3:30 4:00 4:30 5:00 5:30 6:00 6:30 7:00 7:30 8:00 8:30 9:00 9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00 13:30 14:00 14:30 15:00 15:30 16:00 16:30 17:00 17:30 18:00 18:30 19:00 19:30 20:00 20:30 21:00 21:30 22:00 22:30 23:00 23:30 0:00 Analysing Andrew s load profile Week day Friday, 1 February 2013 Demand = 7.0 kw Average Person Energy = 21.5 kwh Demand = 2.6 kw Energy = 73.5 kwh Andrew (Friday, 1 Feb) Average Person (Friday, 1 Feb)

18 What does this mean for the household? Week day 7.0 kw of demand was used on this week day The household used the network more efficiently than the average person The household is a very high energy user, and placed high demand on the network but because it was used consistently during the day, the network was used more efficiently The use is not as peaky compared to some other profiles Most of the demand was placed on the network from 1.00pm to 4.30pm

19 0:30 1:00 1:30 2:00 2:30 3:00 3:30 4:00 4:30 5:00 5:30 6:00 6:30 7:00 7:30 8:00 8:30 9:00 9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00 13:30 14:00 14:30 15:00 15:30 16:00 16:30 17:00 17:30 18:00 18:30 19:00 19:30 20:00 20:30 21:00 21:30 22:00 22:30 23:00 23:30 0:00 Analysing Andrew s load profile Weekend day 4.5 Demand = 4.3 kw Saturday, 2 February Average Person Energy = 18.6 kwh Demand = 2.4 kw Energy = 32.0 kwh Andrew 2 Feb (Sat) Average Person (Saturday, 2 Feb)

20 What does this mean for the household? Weekend day 4.3 kw of demand was used on this Saturday The household used the network as efficiently as the average person The household is a high energy user, and also placed high demand on the network on this Saturday The household was a more peaky electricity user on the weekend The network was used as efficiently as an average user Most of the demand was placed on the network from 8.30am to 1.30pm.

21 Group activity Instructions: Break into pairs with the person sitting next to you Use your activity sheet to add or modify any additional learnings from Andrew s profile that you didn t gain from Candice s. Share with your table and then elect a spokesperson to share with the group Activity: Refine your statements to explain demand tariffs based on the additional information presented from Andrew s load profile The statement is designed to explain this information to your friends and neighbours. Time: 3 minutes in pairs, 3 minutes as a table and 2 minutes to present Next: Additional load profile test

22 12:30:00 AM 1:00:00 AM 1:30:00 AM 2:00:00 AM 2:30:00 AM 3:00:00 AM 3:30:00 AM 4:00:00 AM 4:30:00 AM 5:00:00 AM 5:30:00 AM 6:00:00 AM 6:30:00 AM 7:00:00 AM 7:30:00 AM 8:00:00 AM 8:30:00 AM 9:00:00 AM 9:30:00 AM 10:00:00 AM 10:30:00 AM 11:00:00 AM 11:30:00 AM 12:00:00 PM 12:30:00 PM 1:00:00 PM 1:30:00 PM 2:00:00 PM 2:30:00 PM 3:00:00 PM 3:30:00 PM 4:00:00 PM 4:30:00 PM 5:00:00 PM 5:30:00 PM 6:00:00 PM 6:30:00 PM 7:00:00 PM 7:30:00 PM 8:00:00 PM 8:30:00 PM 9:00:00 PM 9:30:00 PM 10:00:00 PM 10:30:00 PM 11:00:00 PM 11:30:00 PM 12:00:00 AM Additional demand profile Test your knowledge 3 Saturday, 2 February Demand =?? kw Average Person Energy = 18.6 kwh Demand = 2.4 kw Energy = 27.1 kwh

23 3. Pricing Impacts 1. Town Hall 2. Real Profiles 3. Pricing Impacts 4. Workshop review Carly Irving Town Hall have your say on the electricity sector Candice Hincksman Andrew Hager Real profiles (Candice s profile) Analysing Candice s load profile (week day) What does this mean for Candice? Key lessons Analysing Candice s load profile (weekend day) What does this mean for Candice? Key lessons Group activity Real profiles (Andrew s profile) Candice Hincksman Pricing outcomes Candice s profile Candice s weekday profile Candice s weekend day profile Candice s daily price comparison Andrew s profile Andrew s weekday profile Andrew s weekend day profile Andrew s daily price comparison Carly Irving Workshop review activity Group activity Additional demand profile Group activity

24 Pricing impacts Pricing outcomes of different load profiles Please write down any questions you have during the presentation on your question sheet. The purpose of this exercise is to give you meaningful and practical tools to compare behaviours with price outcomes on a demand tariff. It is important that you note: The demand tariff prices are calculated on a daily demand profile (it is most likely we would read demand monthly) The prices are not a clear projection of what the prices would be on a demand tariff, but rather a comparative tool from current prices to future Energex s Pricing Proposals are approved by the Australian Energy Regulator (AER) on an annual basis this activity is for educational purposes only.

25 0:30 1:00 1:30 2:00 2:30 3:00 3:30 4:00 4:30 5:00 5:30 6:00 6:30 7:00 7:30 8:00 8:30 9:00 9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00 13:30 14:00 14:30 15:00 15:30 16:00 16:30 17:00 17:30 18:00 18:30 19:00 19:30 20:00 20:30 21:00 21:30 22:00 22:30 23:00 23:30 0:00 Candice s weekday profile Pricing outcomes of different load profiles 4 1 February 2013 (Friday) Candice s House Energy = 10.0 kwh Demand = 3.6 kw Exported energy = 6.5 kwh Average Person Energy = 21.5 kwh Demand = 2.6 kw Candice (Friday, 1 Feb) - Import Candice (Friday, 1 Feb) - Export Average Person (Friday, 1 Feb)

26 Candice s weekday profile Pricing outcomes of different load profiles Current pricing (Tariff 11) Demand pricing Daily fixed charge: 50c 50c Energy consumed: kwh X c = $ kwh X 5.61c = $0.56 Demand charge: kw X $0.41 = $1.48 Weekday charge: $1.60* $2.55 Average customer Current pricing (Tariff 11) Demand pricing Daily fixed charge: 50c 50c Energy consumed: 21.5 kwh X c = $ kwh X 5.61c = $1.21 Demand charge: kw X $0.41 = $1.07 Weekday charge: $2.85 $2.78 *excludes solar bonus scheme credit of $2.86

27 0:30 1:00 1:30 2:00 2:30 3:00 3:30 4:00 4:30 5:00 5:30 6:00 6:30 7:00 7:30 8:00 8:30 9:00 9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00 13:30 14:00 14:30 15:00 15:30 16:00 16:30 17:00 17:30 18:00 18:30 19:00 19:30 20:00 20:30 21:00 21:30 22:00 22:30 23:00 23:30 0:00 Candice s weekend profile Pricing outcomes of different load profiles Saturday, 2 February 2013 Candice Energy = 7.5 kwh Demand = 1.0 kw Exported energy = 3.9 kwh 2 Average Person Energy = 18.6 kwh Demand = 2.4 kw Candice Saturday, 2 Feb) - Import Candice Saturday, 2 Feb) - Export Average Person (Saturday, 2 Feb)

28 Candice s weekend profile Pricing outcomes of different load profiles Current pricing (Tariff 11) Demand pricing Daily fixed charge: 50c 50c Energy consumed: kwh X c = $ kwh X 5.61c = $0.42 Demand charge: kw X $0.41 = $0.39 Weekend day charge: $1.32* $1.31 Average customer Current pricing (Tariff 11) Demand pricing Daily fixed charge: 50c 50c Energy consumed: 18.6 kwh X c = $ kwh X 5.61c = $1.04 Demand charge: kw X $0.41 = $0.99 Weekend day charge: $2.54 $2.53 *excludes solar bonus scheme credit of $1.72

29 Candice s daily price comparison Pricing outcomes of different load profiles $3.00 Comparing Candice's Daily Network Costs $2.50 $2.00 $1.50 $1.00 Current tariff DBNT $0.50 $0.00 Week end Week day

30 0:30 1:00 1:30 2:00 2:30 3:00 3:30 4:00 4:30 5:00 5:30 6:00 6:30 7:00 7:30 8:00 8:30 9:00 9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00 13:30 14:00 14:30 15:00 15:30 16:00 16:30 17:00 17:30 18:00 18:30 19:00 19:30 20:00 20:30 21:00 21:30 22:00 22:30 23:00 23:30 0:00 Andrew s weekday profile Pricing outcomes of different load profiles 8 Friday, 1 February Andrew Energy = 73.5 kwh Demand = 7.0 kw Average Person Energy = 21.5 kwh Demand = 2.6 kw Andrew (Friday, 1 Feb) Average Person (Friday, 1 Feb)

31 Andrew weekday profile Pricing outcomes of different load profiles Current pricing (Tariff 11) Demand pricing Daily fixed charge: 50c 50c Energy consumed: kwh X c = $ kwh X 5.61c = $4.13 Demand charge: kw X $0.41 = $2.87 Weekday charge: $8.55 $7.49 Average customer Current pricing (Tariff 11) Demand pricing Daily fixed charge: 50c 50c Energy consumed: 21.5 kwh X c = $ kwh X 5.61c = $1.21 Demand charge: kw X $0.41 = $1.07 Weekday charge: $2.85 $2.78

32 0:30 1:00 1:30 2:00 2:30 3:00 3:30 4:00 4:30 5:00 5:30 6:00 6:30 7:00 7:30 8:00 8:30 9:00 9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00 13:30 14:00 14:30 15:00 15:30 16:00 16:30 17:00 17:30 18:00 18:30 19:00 19:30 20:00 20:30 21:00 21:30 22:00 22:30 23:00 23:30 0: Andrew s weekend profile Pricing outcomes of different load profiles Saturday, 2 February Andrew Energy = 32.0 kwh Demand = 4.3 kw Average Person Energy = 18.6 kwh Demand = 2.4 kw Andrew 2 Feb (Sat) Average Person (Saturday, 2 Feb)

33 Andrew s weekend profile Pricing outcomes of different load profiles Current pricing (Tariff 11) Demand pricing Daily fixed charge: 50c 50c Energy consumed: kwh X c = $ kwh X 5.61c = $1.80 Demand charge: kw X $0.41 = $1.75 Weekend day charge: $4.00 $4.05 Average customer Current pricing (Tariff 11) Demand pricing Daily fixed charge: 50c 50c Energy consumed: 18.6 kwh X c = $ kwh X 5.61c = $1.04 Demand charge: kw X $0.41 = $0.99 Weekend day charge: $2.54 $2.53

34 Andrew s daily price comparison Pricing outcomes of different load profiles $9.00 $8.00 $7.00 $6.00 Comparing Andrew's Daily Network Costs $5.00 $4.00 Current tariff DBNT $3.00 $2.00 $1.00 $0.00 Week end Week day

35 Questions activity Instructions: Break into pairs with the person sitting next to you Discuss the questions you had gathered throughout the presentation and find some common themes Share your pair s finding with your table, identify common themes Write down maximum 3 key questions from your table Activity: Energex will select one question per table All other questions will be placed into the parking lot to be incorporated into the next workshop Time: 2 minutes in pairs, 2 minutes in tables 10 minutes to answer questions

36 4. Workshop review 1. Town Hall 2. Real Profiles 3. Pricing Impacts 4. Workshop review Carly Irving Town Hall have your say on the electricity sector Candice Hincksman Andrew Hager Real profiles (Candice s profile) Analysing Candice s load profile (week day) What does this mean for Candice? Key lessons Analysing Candice s load profile (weekend day) What does this mean for Candice? Key lessons Group activity Real profiles (Andrew s profile) Candice Hincksman Pricing outcomes Candice s profile Candice s weekday profile Candice s weekend day profile Candice s daily price comparison Andrew s profile Andrew s weekday profile Andrew s weekend day profile Andrew s daily price comparison Carly Irving Workshop review activity Group activity Additional demand profile Group activity

37 Workshop review activity Instructions: Write on post-it notes the answers to the following questions: Has Energex missed anything from the information today? What is 1 positive and an area for improvement from today s workshop Share with your partner beside you Leave your responses on the table for Energex to collect 5 minutes duration

38 Thank you! If you would like us to meet with you to discuss these workshops further please us at Your participation is greatly appreciated