HomeMy WebLinkAbout20100303Final Report.pdf.J~r-Ii,srA~
IDAHO LOAD MANAGEMENT PILOT
Final Report
March 1, 2010
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BY: Leona Doege, Demand Side Management Program Manager
Bruce Folsom, Director - Energy Efficiency
Jon Powell, Demand Side Management Analytical Manager
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Table of Contents
Executive Suin ...............................'.it...................oI..........................5..........................,.........,...... 2
Backgtund..........................................................I~,....._......&.................'...........................................li.......... 3
Th. Pilot Team ............iI...~.................C....II...............................'..........................,......'..........................4
Confguon .It.......................................................................................-....................'...-...;..It. 5
Figu 1: DLC :EpIIt.................................................................................-............................,.5
Figu 2: Dit Lod Contl System Configuon ..........................................-....iu...Il.....iI,¡-....... 7
Figu 3: Blue Line Innovatons PowerCst Mon™ In-HomeDisplay Uni ...... ....................... 7
Parcipat Reeritint . .... . ... .... . ... .... . . .... .... . ... . ... . .... . ... . ... .... .... ..... . ... .... ... .... . ... . ..... . ... ... ... ... 8
'Household Intaaton .......~.................................,......................"...l1....................-.................~...-.,....,..'...... 9
TABLE i: Dir Load Contrl :Dvic Allocon .... ... ..... ..... ....... .... ........ ..... ... ... ... .......... ... 1 0
TABlE 2: In-Home-Diplay 1Jvice Alocon.... .... ..... ................ .... ....... ..... ... .... ..... ....... ... 1 0
Test Opons: ................................................................................-........-..............-..................'...... 11
TABLE 3: Dir Load Contrl Tes Event Da................................................................. 11
Pilot Rests & Evaluaton ...........,"'.............._....................................._........._....................................."'..... 12
Curome' Accepce: ............,.........".......,........._...........................................11..........,.......................,...,. 12
Oponal Coinnents ........................................................................... .... . ... ... ...... ... .. 1 4
Cost Efectivene ....................................... .... .... .... .... . .... ....... .................. ... ... ........... 1 S.
COclusioo.......................................................,.....'..;i...........................'.,"'...................................,.........,11..,.... 18
Appedi A: Dir L- Control - Test Event Data ii..."''l~''.''.''''.ir..''......''..'........\l.............,...Ke..c.......l!'!'.-....... 19
Idaho Load Management Pilot Page 1
Executive Summar
Th Idao Public Utilities Commssion, in Orde No. 30365 da July 11, 2007, approved
Avista's Schedule 96 "Energy Load Management Prgr - Pilot" tht grte authorty to offer
reidenti8i and commercal demand respons progrs in portons of Sandpint and Moscow,
Idaho for a two-year period.
Avista (the Compay) completed th two-year Energy Lo Manement pilot program on
Decembe 31 st, 200. Dirct Load Contrl (DLe) devices were intaed in volunter household
in portons of Sandpoint and Moscow.. Ido. A separate grup with those communties
parcipate in an In-Horne-Display (lH) device study as par of ths pilot. The lH progr
intent was to gai customer experience with "near-real ti" energy usage feeack equipment.
Th purse of the pilot was to gain expeence with custoer actance, progr deign,
oponal components and cot effectiveness. Th pilot was deigned to be scalle. Given the
multiple tehnology and progr design options, the pilot progr as apved was to asist
with determnig futue deloyment TIs projec ha provide experienc with spec
technlogies that helpe to examne cot-effectiveness and customer accece of dema
response equipment. Technology was tested for fuctonaty unque to Avista thereby ber
defig system an hardwa reuiments, an assesing costsefits.
Contrl tehnology in each DLC parcipant's home enaled th Company to inti culmt
signals to electrc fuace, ai..conditionig unts, hea..pups and wat heate at ti of high
peak demad. The Comany provided notcaon of thse events to parcipa twent-four
hous prior to a "caled event." Custome wer alowed to opt-out at anyte.
For parcipatig in the pilot. the DLC volunter houolds were provide eith a $10 pe
month bil cret for up to five month for aplice that qualed for an event. or a state-of..th
ar thostat. Volunters also were provided an oportty to ente a drwig to win a high-
effciency washer and drer set. The ll grup receved a Blue Lie Poweros Monitor.
As a product test, th piot provide sever fidigs: Eqpment compabilty on Avita's
system (from th cusomer's mer) thugh to Avita's "back ofce" opeons wa tete and
imved. A vita intiat te successfu event by either cyclig heati or ai-cnditioni
units or shuttg off wat hete units for a peod of two to four hour. Th events took plac
over a rage of morng, afoon and eveng pe demad ti slots.
As a maret test. th pilot indicad a stg cusomer willgns to pacipa. Five pet of
those eligjble volunre to join th progr. The overde (or cuome opt-out) ra averaed
less th 2% over dug caled events. Parcipats showed wils to invest thei tie.
work with the Company, re-arge thei day schedes. and reive either less hea less hot
water or less ai-conditionig.
Idaho Load Management Pilot Page 2
The Energy Load Maagement progr demonstr condtions under which reidential
customers would acct load curent of home heg, ai-conditiong or wate heag.
Also demonstrd is a methd to which an acve relaonhip beeen reidential cutomers an
A vita could be establihed. Du to low on-peoff-pe cost dierece on A vita's system.
cost-effectiveness remas chaengig under cuent power prcing.
Workig with less th 100 custome alowed the Compy to tet the product and systems with
th sae benefits as if ths wer a lager scae projec however, in a controlled and cutomer-
frendly maner.
Background
Th Company's pror exprice with de repons1 or loa mament wa pry
durng the 201 Weste Engy Cns. Avi repond with an Al-Cutomer Buy-Bac
program an Irgation Buy-Back pr~ hi-latera agts with lar indutr custome,
as well as commerial and reideal ence enrgy efciency progrs. Thse methods
were efective and enabled Avista to reuce its nee for puhas in a very high cost Wesrn
energy market In July 200 a one day pricing spik reui the Compy to invoke imedate
dema respoe options. Though a media reuet an a lare custome rection offer, the
Company was able to rece same day load by 50 MW.
In gener however, th Pac Nortwest ha witnse a low on-peoff-pe prce
differential, averg less th one cetlWh. Going forw pe prce ar expete to be
signcatly higher th aver price. For exl~ th Compy's Integrte Resour Plan
(I) fore shows average highes day prce ar two to th ti higher ($8 to
$loolM) th averge day price. In addtion, the highest price ca be an addition two to
th ties the averae of thos prce, const with the $200 price expnc dunng the
sumer of 200. Those suer events of 200 have emphas loc cot imct of th
Western regional maket Whe th is not liely th begig of an anual occe, it
rema to be seen whether th was an anomy or a five- or te-yea even
With the potetial for genery increin dierce between pe and off-pe price an th
existg and planed Coany catl dur exte crtica pe penod, ths pilot was
intiat to exe cusme and opetiona issues associated with deman :rnse on
A vista's system.
1 Dema Respo as us in th re is Avist acvely øig cume consuon in ~ to supplycoditi2 Cu eaac ne ar accunte for. bu A vi win ne caty resur in 2019.
Idaho load Management Pilot Page 3
The Pilot Team
Demad response. by defition, cuts across several utility deparents to provide customer
progr with integron of may compay operona functions. Th followig te
approch is provided early in ths rert to lugbght the codion necessar to deliver
demad response progr.
Le by Lena Doege. the tea included Company personl from severa inteal work grups.
instaaton contrtors and th equipment provide. Coinverge™. Key membe of the
implementation and evaluaton te include:
AVITA:
DSMGroup:
Jon Powell, Bruce Folsom, Tom Lienar & Tyler Domquast
Power Supply:
John Lyons. James Gal & Bil Johnson
Communcations & Marketig:
Kelly Conley & Hugh Imof
Distrbution Engieering & ITIIS:
Heather Cus. Cur Kikeby, Greg Pauon. Ross Taylor. Rueb Ar,
Mie Diedesh & Jon Seube
Palouse Operations:
Tim Olson, Jenny Blaylock. Chrs Schlothuer. Mark Mage & Thmas Haeer
Customer Servce:
Jenner Esch, Dar Belgade & Betsy Townsend
Contrts:
Ceil Orr
State & Feder Reguation:
Línda Geai
Investor Relatons:
Jasn Lag
INSTALTION CONTCTOR:
Grpp Heag. Ai & Electrc Moscow. Ida
McDonough Electnc Sandpin Idao
OTR VEORS:ITONT
Pass WoI' Inc™ Pagg
COMVRGETM
Idaho load Management Pilot Page 4
Configuration
The Sandpoint and Moscow communties selecte for th pilot are par of a larer projec cal
the Distrbution Reliabilty and Energy Effcient Prjec (DREEP). DRE consists of
distrbution automaton, conseration voltage rection, op feeer bálancig. outae
valdation improvement, poer factr improvement, a secty arhite test, along with
power-flow simulaton test an advance meteri intrctue. The DR progr was
designed to avoid potential reundacies or other confct with the Conservation Voltae
Reduction (CV) component of DRE. Thes two communties had th exitig Automat
Meterig Reag (AM) system nee to peorm th meaemet of pilot curt
events. ITON's AM meters, Fixed Networ System (FS) and Mer Data Maagement
(MM) systems wer used for ths purse. Eligible customers wer identied by feeer
numr.
Rate Schedules 1 (reidential), 11 (sm comm), and 21(l commal) cuomers were
eligible for parcipation. Qualg pacipats had to be homewn or buess owner
occupyig the prmi for at leat one yea on a fu-ti ba. Intiy, the taget
parcipans were al electc loa However, thugh the customer retment procs, th
taget populaton was expanded to inlude customer with nat ga met as well Although
no Dit Load Contrl (OLe) occur on na ga applian, the opprtty to ret
potential parcipants with cetr Ai-Conditionig ca as a ret.
Parcipatig cutomer were asse no inenta co. Cuomer opg in for a
progrle contrllable therostt (P reved a thgh intion of th HV AC
system, and a sta of th ar Pe. Pacipatg custome with DLe switches alo reved an
aut on al equipment contrlled vi th swit: plus a $10 a month crt for th month their
aplice could be controlled Th contrl month were dug July, August Decbe, Janua
and Febru. For exale, a war-heatr paript reved a tota of $50 pe ye. wbe a
pacipat with ai-cnditioni reved $20 per year if the un was contlled with a switc
Figure 1: DLC EquipmentPC DLCSwite
3 Th inson al se th inte pu of confrmg th cus eqpmet was in go wong
condtion pror to inson of an eaUÎ thgh i: pr
Idaho Load Management Pilot Page 5
Th following diectly controllable appliance were targete:
. Ai - Conditionig
· Complete HV AC system (elecc heat-pup w/ai conditionig)
. Water Heater
. PoolPump
· Electrc Forced Ai Heag System
· Electrc Bas Board Heag System
. Irgation pump (if any)
Due to Avista system capacity issues and seonal spot power prces, ai coditionig load was
given priority in customer selection. However, th Compy explore the effec of ded
respons on both winte and sumer peak. Additionay, in order to ga knowlege and
experience with a varety of demand response tehnologies, the Company intaed DLe
equipment in as many of th above liste aplicaons as possible. Al but irgaon pumps, pol
pumps and baeboard heat were controlled.
As a cost mitigation methtX one-way communcations were chosen. Pas Word. Inc TM pagg
servce was contrcted to communicate the Company's signal dug a cuent peod
Afr reeachig severa OLe equipment prvid, Comverge™ was selecte. Thy prvided
the OLe equiment, trainig to th intation contrrs an Avita and suplied an hosted
the Load Managment Softar (LMS) to contrl the OLe equipment. DLe events were
execute by the Company uti Comverge's LMS. Customer with peTs were given on-lie
access to progr thir therosta thugh a web-port hos by Comvere™,
For the IH study, eqipment was selec based on th followig crite:
. Abilty for customer to self-insta,
. Ea of use,
. Nice diplay, an
. Progamle to A vista raes.
The prodts wer nawed to two selections, th PoweiCst Momtor™ by Blue Lie
Inovations and the AzthCs display unt. Prod delays prevente deloyment of the Az1i
unts in tie to be conside in ths pilot; however, they were tested outsde th sco of ths
pilot, Fort of the PoweiCost Monitor™ wer radomly provide to twenty customer in eah
of the two communties. Sandpoint and Moscw. Idao.
Figu 2 and 3 ilustrate the DLe confguaton and the Blue Lie Inovatons Power
Monitor™,
Idaho load Management Pilot Page 6
Figue 2: Diec Load Contrl Syste Coguon
Utla
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'hil........... ,. . ... . .. QJ:"' . .... .. .,. DC . .~. · x. :.Il..
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Figue 3: Blue Line Inovatons Poweist Monitor™ In-Home-Dilay Uni
Page 7Idaho load Management PUot
Participant Recruitment
The Company renrted parcipats by diect in and then followed up with telephone calls to
those taget households who responded to the mag. In addition, telephone cas were made to
customers livig in a concentrate neighborhoo in an effort to evaluate that systm.
The Company's communcations plan focsed on the value prositions of savi money. It
also hìghghte programble therosts and how parcipat in energy effciency is a "gre
way" to help the envirnment. Maretig material alo staed that al parcipats woul be
enterd into a radom drwing to win a high-effciency washer and dr set. Five perent of the
taget group responded either to parcipate or gai more inormtion. Shorty afr th diec
maier was set, it be clear that the retig effort of commrcial customers woud be
best peonned by another method as no commeral customer resnded to the dict maler.
Ths suggeste that grter benefts would nee to be aparnt. to commercial customer, and
alternative communicatons should be considered for their retment. Al respondts to the
di maler were residential customer, which fied the ne for the availe DLC device.
Strgies for futue dit maigs were leared frm ths pross. Self selecon mesages to
help cusomer bette undertad progr quacations woud be helpfu in a di maer. For
exaple, disclosure in program litere of the items th would prvent a customer frm
qualing, e.g., no lie-of-sigh disconnec between the wat hea and th brer pal, not
enough room to mount the switch, multi-stae fu won't work with therostat. In addition"
there is no nee to contact customer with low electrc use (500 kWbmonth or less) beus
most of their lage load applies ap to be non-elecc. The di ma mate should
also conta releae inormon to alow Avista to pass on thei inormtin to a coacg
agent of the Company for pures of getg piot-progr equipmet intaed
The recruitment procs identified that cuto edcaon is pe th most importt
attbute of implementi DR progr. Custmer expe a strongr relaonship th though
trtional energy effciency program. As a smal sce pilot ~ more opnities to
intera with ou customers wer avaiable. For exle, th intial phone ca to conf th
potential reits' interst in the prgr an to diuss any questions th cutomers ha abut
pro deta were made. Peron to relea customer conta inoron wa obtane
which was to provided to th Company agent to intall th pilot equìment, dissions
regadig noticaon of upcomig loa contrl events were ma. an general queons
custome had as the progr was undeay oc thughout th pilot. A dync
relatonshp was crted tht provide several leas for the Compay. Th was inteed on
the Company's behalf to prvide feedbak to A vi and to mainta go cus relations.
As a pro such as th one moves to a la-sce, deploymt, tlcume educaon an
relatonshìp components wil evolve into other inonnon-dlìver mechams.
Idaho Load Management Pilot Page 8
Recrtmnt for the IH unts was done in a simar maer with a di maer. Al cuomers
with the communties of Sandpin an Mosw with two stda-dations (gater th or
equal to 1300 kWh per month on averae) abve averge household electrc usge were sent an
opportty letter, an intial surey for bearg an a prduct materi had-out abut the
Blue Line devìces. 1156 dit maers were sent for parcipant retmnt for an In-Home
Display device. A vista reeived 322 respons back for an uptae ra of 28%. Out of ths
response group, fort customer were radomly chosen to recive the HI unts an bee the
"study" group. Those customer not chosen be the "control" grp to whìch the stdy
grup was comp.
Househoid Instalation
Prgr design includ inde contrcto hi to inta th DLe unts and complete an
instalon paperork. A genera Req for Prposa (R) was issue with litte rens.
Follow-up with potetial contrrs inca tht the teca nat of the RF was the cause
of the lac of response. Thereaf, the Company's loc offce/sece cente with th two
communties selec for the pilot mad recommendons of loc eleccia and Heati,
Ventiation and Ai-Condìtioni (H AC) compes. Followìng these remmendons,
phone cas and site visits were ma diy to thes busines to solicit their parcipaon in
the pilot progr. A contrr wa th hi in eah communty to inst and test the DLe
equipment, hae any cume equipmnt prble as a ret of the DLe equipment. and
complet the Company's intaon paor with the pacipats.
The Contractors were sent paperwork ditly frm A vita for each parcipt along with a
spradheet of outstadig requests. In adtion to trkig pacipats by speadhee th
customer's account was noted with a "pre" remar an a sece work orde crted with
deta on th ty of DLC equipment instaed and wha pacula aplian was eligible for
Compay contrl.
Quty contrtors with a stae in th pilot prgr wer invaluable. Both cotrrs,ha good
reputtions and were an active pa of the communties they seed Thugh th pilot the
contr' focs on customer sece were good reestaons for ths prjec
Twenty-seven cutomer th reonde did not qualif for the progr eith beaus their
use was ver low (less th 500 kWhooth) or they ha no qua elecc appli.
Twenty-four of th origial qualifyg pacipats chos not to have DLe eqipmt ined
afr all. Thee custome wantig to pacipa ha equipmet th was not compble wi th
DLC equipment. For exale, a muge heatig sysm won't wor with the PeT
(thostat). As a relt. not al 100 DLC unts wer ined
As the pilot program was undeay,.seven cume moved Five of which the new owner did
not want to pacipat in the pilot prgr Thse homes had a ~. and no monet
Idaho Load Management Pilot Page 9
incentive. Conversely~ the other two new homeowners havig a DLC switch and thfore a
$10/month incentive chose to parcipat in the pilOL Ths suggests th an ongoig moneta
incentive is neeed to keep parcipation when a home with DLe equipment changes bads and
to help mitigate strande DLe equipment assets.
Shown in the followig tables~ sixty-eight of the orial one-hudr DLC device and tb-
fou of the original fort HI devices were sti in operaon whe th prgram concluded. Th
intial customer demand for the DLe program outnumbe the unts avaiable. Over-
retment was intentionaly done because of an expect non-qalg rate~ which was
grear th expeted.
Of the fort in-horn-display parcipants. four relocatd and one never instaed the unit due to
its percved complexity.
TABLE 1: Direct Load Control Device Alocon
Device & Loation Reauested Final
Sandooi nt - thermostat 6 0
Sandpoint - digital control 6 3
unit
Moscow - thermostat 60 34
Moscow - digital control 55 31
unit
TABLE 2: In-Horn-Display Device Alocon
location Reauested Final
Sandpoint 20 18
Moscow 20 17
Idaho load Management Pilot Page 10
Test Operations:
The Company chose a mium of two tet events per seaon, for a tota mium of four test
events per yea as a condition of the pilot ter. No maxum test event level was set. Tes
events were only alowed on weekdays. No tet events coud be held on a holiday or a weekend.
Customer wer given one day advace noticaton and ha the abilty to op-ot of any tet
event4.
On August 14th. 2008 the Company held its first DLC test. There would be ni adtiona tests
peormed before the pilot end date of December 31st, 2009. Al events were sucssfuy
deployed as derind as notication to cuome and reduction ìn equipment usage peonned by
Avista
TABLE 3: Dit Load Contrl Test Event Dates
Taraet load Date Time
Air-conditioning, water-August 14th, 2008 4:00 to 6:00 PM
heater
Air-conditioning, water-August 15th, 2008 4:00 to 6:00 PM
heater
Space heat. water-heater December 1 7t. 2008 4:00 to 7:00 PM
Soace heat, water-heater February 25th, 2009 4:00 to 7:00 PM
Space heat, water-heater Februar 26th, 2009 5:00 to 8:00 AM
Air-conditioning, water-July 23rd, 2009 4:00 to 8:00 PM
heater
Air-conditioning, water-July 30th, 2009 4:00 to 8:00 PM
heater
Air-conditioning, water-August 20t, 2009 2:00 to 6:00 PM
heater
Soace heat water-heater December 16th. 2009 3:00 to 6:00 PM
Space heat water-heater December 29t. 2009 7:00 to 9:00 AM
An intial suey wa sent to al taet IH cuto. Th reed suey resulte in
estalishg a demogrhic baelie. Analysis on th IH group was perm one an two
year af ìnstaaton. Aver monthy electrc usage for bo th stu and contr grup wa
comar to pror ye usae an each other. Customer deogrhi vaed extry wbch
warte segmentaon by home squar footage. spac hea and water heat. Some pacipats in
of Cutome ba th abilty to op-out of any even by indicag th prfer to th pr adÓl at il
time ofootication or by phone ca to the Co": at any ti bee or dung a tet ev
Idaho load Management Pilot Page 11
the contrl grup and study grup were elimated because of demogrphics such as 5000 squar
foot and above homes, residential nuring homes, frrnti or sororities. As a result, the
saple size was reuce with eah demogrphic to be to smal to provide stasticaly vald
results to determe energy reducons.
A surey was sent to ff parcipants the month afer ff product inaton and a second
surey nine month later. The feedack gaied frm thse sueys alowed th Company to gai
knowledge on the customer exprience.
Pilot Results & Evaluation
The th result cagories which wi afec futu progr design:
. Customer Accptce
. Operaonal Components
. Cost Effectiveness
The results of these aspects are descbe in the following setions.
Customer Accptace:
The inti response to the DLe di maier of 3,100 was 155 cuer, or 5%. Of th
th-one decided agait pacipation once they discovered the deta and na of the pilot
progr. Th reason for not parcipatig was solely due to the custome not wantig anyone
else to contrl thei apliances. Typcay in thse instce one household deon maker
wante to parcipat, however, their par did not An additiona twenty-four customers who
had signed up to parcipat opted-out of the progr before equipment could be intaed for
reons unown.
Ther wer twenty-seven custrs wantig to parcite in th pilot progr but ha too low
of use or did not have qualg electc apliances to pacipate in the prgr.
Once the progr was underay, no cutomer opd-out of th progr and ver few
parcipan opted out of events. The largest opt-out ra ocun on Februar 2f1, 2009 from
5:00 AM to 8:00 AM exclusively with DLe, water-hear pacipats. Th househlds with
severa members neeg a morng shower were impac and did not want to rege thei
schedule to shower at a dieret tie. This reflec a four-percnt opt-ot ra fo that
parcular event Otise, thughout th piot, no elecc heat Cutomers opted out, and only
one customer chose to opt-out of two the ai..nditionig tets. Th pacu cuto was an
at-home moth with sever chidren and did not want any discomfort
Noticaons of the tet events listed abve wer given in seer ways. Mos chos to be
notied bye-mal or telephone or both On customer preered being notified by fae (or
Idaho load Management Pilot Page 12
FAX. Th pagig option was not selecte Seventy-five pent of the customer chose the e-
mal notcaton; eighty-five percent chose the phone noticaon option. Severa chose both.
From a qualtative perpetive, parcipants were "pleaant' both by phone or e-mai and would
share their thoughts and opinons of the progr frly. A larger scale deloyment would nee to
consider the impacts on the conta cente for customer who .'want to chat' with their utity.
Agai th progr cre a ."relatonshp" beteen the Copany and the customer.
The customers experienced equiment faiur of thir appliance. Al faiur wer determed
to be the custmer's equipmet prblem thugh dions diy with th program
adtror. For exaple, one cutom believed the DLC switch was acve outside the load-
contrl th month causing his watr heaer to not prouce wat. The other two customer
equipment problems ocur on forc-ai fuac.
One DLC switch was faulty and had to be replaced Fortly, th customer was home at the
tie of the event an could hear the DLe switch's contators opning and closig. A tempra
remedy of overrding the switch by trppin the cit braker wa ma. Additional events
wer not caed on th cutomer unti the intaaton contr could relace the switch. Two
of the PCs (therosta) faied one in the warty peod an th oth outside the warty
period A vista relac the therosta at Company cost with reaig PC invenor.
None of the PCT pacipats use the onle prg fea availe to them. Though
the interactive relationship develope custome sha with th Compy the eae of maualy
progrng the thostat. However, two paripats with a DLC switc on thir water
heaters requested A vista provide on-lie progrmming for water-he control in the futu.
Th-nie of the fort cutomer th were radomly selec for an lH pacite by self-
instalg the units. The majority of th IH cusomer inca eae of use and that they would
recmmnd ths to others, it helpe th be mage thei energy use and they reer to it 2-3
ti per month on average af havig th unt ined fo a yea. Whe customer lie
having rea tie energy usage feeback, mos of th parcits indcated they would pay no
more than $20 for the IH.
Parcipats raed the followig fea as importt:
. Savig money
. Having re ti energy usag knowledge
. An having other featu on the IH such as outdoo tepe.
On the other had, opinions about hepi the envinmen equay raed beee not
importt an very impot in th sueys.
Anecotay, custome reponse var IH pacipats with sever peple in thir household
apprecat the abty to ideti spc ener use an then ma modcaons by faly
Idaho load Mana.gement Pilot Page 13
members. On th other hand, "empty-nesters" did not find oppnities to reduce use oter
than when they next acuire new appliances.
Opetional Components
Intiat by th Company, Comverge's Load Management Softar (LS) and a local pag
servce signed test events and test event durons. The Company's MOM system meaured
the effects of shig load durg. peak ties. The LMS and pagg system were successfu
100% of the tie and the MOM system was successfu 90% of the tie. One of th ten test
events was not analyze as a result of prlems with the MDM system; data was lost for the
Dember 17th, 2008 event.
Five miute interval data frm the MDM system was used to deene th resuts of th tet
events compar to day pnor, and day af, at the sam ti of day. As show in Appdi A
for each of the test events, the DLC equipmnt proved to be succss in pe loa shftg. As
expete a "snapback" oc af the releas of the DLC test event and is eaily identiable
on the grhs as well. The outcome of ths evaluation metod reveaed th meter interval da
meaur usage on the whole buidig and is not grular enough to meaur th effects of
demand reponse on individua equipment wìth the one-way demad repons tehnlogy th
was deloyed. Therefor, we were unble to valdate individual appliance savigs reulti frm
dit loa contrl. Either a two-way demad reponse system or da load logg intaled on a
sample would be necessar for ths sort of evaluation.
Custome parcipaton (opt-out) was trke mauay by th progr admtrator an noted
above in the customer acptace section. The pilot focse on leag cume accptace,
and, therefore, the diect peal contact was us for determing ths. For a lager scae
progr, an automatd prs using a two-way OLC system would be less advely
cursome and subseuently redce progr costs.
Peak demad afects A vista's dibution syste in severa ways such as incrsed coduct
losses and unpredctable load imbalane. The pilot evaluaed the efect of pe dema on th
Company's distribution system. Th evaluaton was peormed by usng pnar-Iîne load
loggers at the end of a distrbution fee where a high concetration of DLC pacits
resided. or the "taget neighrhoo." Lo-logger reults data is. identied on eah gr in
Apndi A as "PI Feede Amps." Ths data shows that th load on th distbuti syste
"smoothed" (or was reuce at pe) dung th test event penods.
The Blue Lie Inovations HI deice were indedet of Avi back-haul an metg
equipment and opetions. ll parcipants relied on A vita for prct suor an gudace
on gener use. Customers insta the tranmitt device on digi mete ha somedicuty
comp to those who intaed the unt on electrmehaca met. Eventuy, as A vista
convert meters in Moscw, al II parpats intaled the Blue Line Uni on a digita mete.
Batry life in th trsmittng umt prved to be shrt in di two cold wíi: tle area
ldaho Load Management Pilot Page 14
experienced, which frtrte some user. On a scae of 1 to 5, 1 being po, 3 avenge and 5
beìg excellent, 80% of th custme ra eas of us of the ll as 48 and 58. And 20%
rad the unt as average (3) in ease of us. The ll device selec for th pilot prved to be
intutive to use.
Cost Efectiveness
Pilot cost were kept to a mium in ord to ga expence with lie fial imac
Fied Pilot Budget:
$123,000
Actal Cost:
$132,000
Varce:
$9,OOove~
The Company's view of the cot-effectiveness of th piot prjec as well as potetial larger
deployments of DLC and HI tehnologies ha chaged considerably based upon the
observatons and analysis of ths piot. Th seon wi su how and why the
Compy's approach to thse valuaons ha changed and th inuence th th chages may
have upon the prospec and design of futu larger deloymts of these tehnologies. .
. At th outset of ths piot projec there was th expeon that the pr long-term beefit
would include:
. an improved undedig of how the DLC teologes co be integr into
Avista's existig system,
. an unertadig of custome acce of DLC, includig th ra at which they
utied the overde provions and the resns to vaou ty and levels of incetives
for voluntar parcipaon.
. It was alo anticiat that the benets frm trggerg DLC events an thereby recing
ene use with extrnary hight ti peod wou exce th cot of the
two-year pilot.
Consdele experence was gaed in. how th DLC teology would bet be intete into
Avista's sysm and how custome ar lily to red to volunta DLC prgr
pacipaon. Th expeenc include thorugh valdation of vendor clai on prct an
seices is reuid, UL lael sta, deen of La and Industr stadads, one-way
demad response eqipment litaons on savi measurments the imrtance of a rele
an robust MDM system, few custos exersin their abty to opt-out and onl eqipmnt-
prgrng featu.
Th inclusion of thse dema-respse tehnologies prvide an ac un of th
cost of such an integriotL an undtandig of the hurdles involved in th intaon of th
5 The vae Ìs du to pu th Blu ti Imivaon &: Azhe InHome Dilay umts, whi we
cOilempia as ü()th"potentiaHDiti8ñons in the COmpyOS-20 iilica0ibi wexei'roonwiiifm-iñ
initi budge
Idaho Load Management PUot Page 15
devices with the home an a higher degr of condence in the customer acceptace of the
program. Most impotly a fu basis was estalished for expeg th controlled devices
wi reeive and reac to the curnt signal and customers ar unely to exerce the opt-out
proviion in signcant numbers.
As a dit consequene of the degre of tehnological reliabilty and th customer's wignes
to pennt load contrls to oc .without interptions th Company.has come to view ths
progr more as a potential capacity resurce th an energy reource. The value of th energy
reductions was found to be smal relative to the prject cost, even when that energy interrption
was tightly focused upon the highest cost peod. However, due to the relity of bei able
to succesfully euaiload, th cost-effecveness evaluation of ths prouct ca be recste as a
reliable capacity resour rather than as an energy reource.
The te pilot events coverig a tota of 16 sumer and 14 winter hour rete in an esti
reuction of energy usage of 29 kWh's pe parcipatig cutome or approxitely 1,885 kWh's
for the tota pilot projec6. Even when optiticaly valuig energ savi at $100 pe mWh
and assumg no make-up energy usage afer the interrtion, the tota enegy value of the pilot
was $189 for all parcipating customers. If ths two yea pilot were extla to th liely
te-year lie7 with a tota of 40 hour of anua intetion, th unscounte cuulative
nomial value of those enrg savigs ace to $40 pe custme if the enrgy we valued at
$100 pe m Wh8. When comp to th $250 cost of the device and intaaton and a utty cost
of $50 pe year to obta volunta custoer parcipaton, it is clea that the ener value doe
not offet the incrementa utity cost of ea adtional parcipa home. Additionay, there
would be infastrctu costs to the overa progr tht even whe sp over a lager
deployment of DLe devices would nevertless add to th cost-ineffecveness of the program
when evaluated solely as an ener resource.
Altevely, given the reliilty of th tehnology at successfy trg int:miption of
subscribe end-uses and the customer's willingnss to forfeit thei option to overr such
inteons, the DLC progr ses to have sufcient reliabilty to be viewe as an altee
6 Since th Compy's at. to mere th loa rectOl oc as a reuk of th pilot we frstr by
th high th exped varbilty in lo of th over ho it is nesa to contue to rely upo th ongi
asumptions of a 05 kW reucton in su usage dug inOl peod an a 15 kW reOl in wite
usge. For th 65 customs th pacipa in th i 6 hours of sum inteon (fie se events) and 14
hour of wi inpton (five se even) th to lo engy reucon wa 1,885 kWh's.
1 A redeal cuome typicay stays withn a home for seen ye beore movig. If apprly 113ø. of th
new rents in th home confi th wiingn to pacipate in th prgr ea de wold have an
ave of ten ye of prgr pacipaon.
R In a tyic ye cong of five. four-hour su eve an five fo-hour winte eve, a to of
aproxiely 40 kWh's per cusome would be shed usg th es 0.5 kW su an 15 kW witer loa.
Valued at $100 per mWb ths woul ret an anua engy savi of $4.00 pe year. Undsc ov te
ye th sum to $4 pe cuser.
Idaho Load Management Pilot Page 16
to electrcal generation caacity. Given a tota of 40 hour of inteption avaiilty, the
probailty of successfuy trggerig the unt at (or very close to) the highest cost or highest
natve demand hour of the year is possible. In ths sense, the instaon of the device is
acaly establishg a 1.5 kW ten-yea caacity resource that is comparle to a "supe-peakg"
generation unt.
The present value of intag the DLC equipment and matag custome pacipation over
a fu ten-year peod is apprxitely $69. Given th expe 1.5 kW witer capty
benefit th lea to a capacity cost of $4 per tWIO. Though ths doe not include an
assignnt of overa inet co to eah adtiona progr pacipat, with the
ecnomy of scale involved in a fu deployment of th device the additional cost ar not
expe to substatialy incree ths capacity cost. Addtionaly, a large progr is lily to
result in a lower per un cost of the DLC devices and the intaaton of those devi.
Though ths is above the curt expeced cost of a genertion unt with "su,;peg"
chaetenstics, the diernce is faily mod Contiue opon of the prgr
economies of sce in the puha and instaon of equipment. revied es regarg th
contrlled load at peak penod and imrovements at geneg contied custome paciaton
at lower utity cost could eay bnng the DLC prgr into th rea of beg a cos-eecve
capacity reour. Addtionay, th is potential value for us dema repons as a
regulatg resere, espeiay with rect to wid mitigation, which has not be anyzed in
ths pilot.
A relatd component of the pilot project tht was not ongiy contelate is th instaaton
of ll to encourge customer to bett manage th energy use thugh imprved and
convenient real-tie inormaton regag thir use. Du to th ti costrnts of th pilot
project, only 39 devices of a single mauf could be deloyed. Th sm saple siz
made it imssible to develop ngorous es of th ener savigs. However. customer
response and feeack indicated favorable prpets for a la te of si lH pructs.
The following suey reults indcat energy usa feek doe prmote coon.
. 82% indicate th nm made a positive imac on th tota enegy cosution.
. 100% plan to contiue using the lH in the comig ye.
. 18% repla old apliance with Energy Sta applice as a ret of th DI.
. 73% evoked conseration meures as a reult of the IH. Some anecte include
· "tume down th tera on th hot tub."
9 Ths inludes a $25 intaed co of th unt an a $350 pr vaue for te ye of an anua $50 pacion
inctive ($10 per moth for five moth avale fo evts) at a 7 .08% di~ ra.
14) 11samun woud aeallybe mosty l()wer in comp to genon caty whn adjust fo li lose
at pea The pe, in cacuIaton, is as to be a winte pe Tfs va doe nO inluôe en SiVings.
Idaho Load Management Pilot Page 17
· tlwi do some relacements on weaer strpping soo on a wiow and some
doors."
· "more attntive to the lengt of showers, use of lights, checkig on how much
applices use."
Conclusion
Th Demand Response piot projec led to key fidigs in two categores explore with the
project. These findigs have contrbuted to a fudaenta shi in the maer in which the
Company wil evaluate futu simar deployments of DLC as well as estlish critica stag
points for the design and ongoing customer seice aspets of prospve larger scae projects.
Specifcay, the pilot projec led to a deign which integrtes prven equipment into th unique
pre~existig distrbution and communcaton systems that A vist has in pla. Deite the
regntion that the equpment ha been succsfuy uti withn oth utties, the
integon of the technologies with eah utty's unique distnbution syste was an imt
chalenge to overcome. The system design prved to be achievable with th expete cot
parete, did not incur any unexp adverse ìmacts or costs on the remader of the
distrbution system an reliably communicated th cuint sign to the DLC unts in the
field which, in tum, resulted in the expected loa curent.
Just as importt as integrating into Avista's system, the practcal caabilties of the tecology
was gaig experience with volunta cutomer parcipaon (e.g., optig out),. and progr
incentives. Considerle adona progr design ca be but arund th fidigs for
subsequent demad-res deployments to imove the contiued pacipaon and utity
cost-effectiveness of the effort Futue cusmer intives wi alost certy include
fmancial remunetion in addition to other proct such as th prgrable communcag
thermostats. Automated event noticaons would improve futu la sce us of DLC's
presumg pre-notification and opt-out prvisions ar reted in fue degn.
Evaluaon of the cost-effectiveness of future deloyments ca be better based upn the capaity
beneft rather th merely energy benefit as a consence of th pilot. As a reult -of this
anytca revision the prospet for being able to deign cost-eecve ful-sce progrs is
signcay grter. Viewing the DLC devices as deliverg a capacty befit raer th a
substitute for energy dunng high-cst peod may al inuence the future deign of the
prgr to include the end-uss contolled an th protls fur trggg event. Ths may
include expadig the currnt five-month winw for loa contrl to ence the prbabity of
capturig the most valued caity hour.
The addition of ll to the program deign has demonstrated sufcient promise to pontialy
justi a larger deployment with a stasticay vald sample siz. Measurmen of th poteti
energy rection over a signficat period of time the loa sh of the savigs and an
evaluation of th detmnants of the energy savigs would be exaed for a lar roD-out
Idaho Load Management Pilot Page 18
Appendi A: Dire Load Contrl - Tes Event Data
GRAH 1: August 14th & 15th, 2008 tet reults
No data for test event date Decmbr 17th, 2008
GRAH 2: Febmar 25th & 26th, 2009 test reults
GRAH 3: July 23rd, 2009 test results
GRAH 4: August 20th, 2009 tet reults
GRAH 5: Decmbe i 6th, 200 tes rets
GRAH 6: Decembr 29th, 200 test reults
Idaho Load Management Pilot Page 19
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