Last updated: March 24, 2024
For customers participating in demand response (DR) programs, the concept is simple: use less energy during times of stress on the power grid and get paid to do so based on how much energy is reduced. Everyone wins as the grid remains stable and reliable, additional electricity plants aren’t needed, and all sides come together for the greater good.
But for many potential DR participants, there’s a common concern. “The initial hesitation for any customer exploring demand response participation is simple; ‘I can’t shut down anything to reduce load,’” according to Doug Sansom, Managing Director, DER Sales for NRG. “Our experience with nearly 7,000 different businesses says they can. Our engineering team has helped every customer we’ve worked with figure out a way to participate in any demand response program, even those with extreme sensitivity to reliable power delivery.”
Developing a Reduction Action Plan
The key is using less and having a resource to make sure it happens strategically and efficiently. Our team does just that through an easy-to-implement approach for each customer known as a Reduction Action Plan (RAP).
The first step is getting our Certified Energy Managers (CEMs) familiar with each customer’s current energy consumption and load profile. This includes an initial questionnaire, a series of conference calls or webinars, and potentially an on-site visit. As details like square footage, hours of operation, and use of heavy equipment become clear, so do opportunities for reduction. This can involve areas such as lighting, fans, and water pumps; as well as more substantive opportunities like identifying non-critical areas where larger reduction actions can be taken.
While every Reduction Action Plan is unique, there are specific areas common to certain industries. For example, grocery stores can manipulate freezer settings, hospitals can switch to generators that are already in place, and hotels can adjust HVAC set points to pre-cool certain areas before a DR event begins.
Obtaining a customer for our program is meaningless if that customer doesn’t have access to step-by-step curtailment guidance. We complete a detailed analysis of the specified facility to develop a customized RAP. Our team aims to carefully understand each participating facility’s assets and their overall energy consumption, resulting in a RAP based upon measures they feel they may adequately reduce. This plan represents a curtailment strategy specifically tailored to each facility’s operations and will be as fully automated as possible.
Following each program period, we evaluate each customer’s performance during any curtailment events and identify where the RAP can be adjusted to maximize program revenue. More often than not, participation is contagious and customers want to build on what they’ve learned about their energy use and do more to do their part.
Meeting reduction goals
“For us, each plan is all about balancing a customer’s maximum level of commitment with their existing level of comfort,” says Sansom. “They’re experts in their business, not always in energy. That’s where we come in and it’s why our Reduction Action Plans are such a valuable service.”
Contact us to learn more about Demand Response and reducing energy at your organization.
