201001292009 Energy Watch, Time of Day Report.pdf

Courtey WaitesPricing Analyst
HIDA~PO.
An 10ACORP company
January 29,2010
Ms. Jean D. Jewell, Secretary
Idaho Public Utilities Commission
P. O. Box 83720
Boise,ID 83720-0074
RE: Case No. IPC-E-07-05
2009 Energy Watch and Time-of-Day Programs Annual Report
Dear Ms. Jewell:
Enclosed please find eight copies of Idaho Power Company's Energy Watch and Time-of-
Day Programs Annual Report. This report is filed in compliance with Idaho Public Utilities
Commission Order No. 30292. As you will see in the report, the Company is currently analyzing
and evaluating the Energy Watch and Time-of-Day programs in preparation for increased
participation due to the Advanced Metering Infrastructure (AMI) deployment. It is our plan to first
offer the Energy Watch and Time-of-Day pricing options to our existing participants before opening
enrollment to other customers. The Company is proposing this be the last Annual Report filed on
this group of customers as the pricing options are no longer in a pilot phase. Idaho Power wil file a
report detailing the plans for new Energy Watch and Time-of-Day pricing options in compliance
with Idaho Public Utilties Commission Order No. 30726.
If you have any questions regarding this filing, please contact me at 388-5612.
Sincerely,.vr
CW/kkt
Enclosures
cc: Ric Gale
P&RS Files
Legal Files
P.O. Box 70 (B3707)
1221 W.ldaho St.
Boise. 10 83702
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R'CGE
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$SIDA~PO~
An IDACORP Company
2009 ENERGY WATCH AND TIME-Of-DAY
PROGRAMS ANNUAL REPORT
January 29, 2010
Background
On April 12, 2007, the Idaho Public Utilities Commission (IPUC) approved Idaho
Power's application to continue offering on an ongoing basis two time-variant energy
pricing programs for customers with Advanced Meter Reading (AMR) capability in the
Emmett and Letha areas: the Energy Watch program and the Time-of-Day program.
These two programs were initially approved as pilot programs in March 2005 and were
authorized by the Commission to continue through April 1 ,2007.
Program Descriptions
Energy Watch - The Energy Watch program is a simplified critical peak pricing program
in which customers pay a flat energy rate in June, July and August other than during
Energy Watch events, when participants pay a significantly higher rate. The Energy
Watch events can be called on up to ten weekdays between June 15 and August 15. If
called, the Energy Watch event runs between the hours of 5:00-9:00 p.m. and the
electricity rate increases to 20lt per kWh. During all other summer hours, participants
pay a low energy rate of 6.3281lt per kWh.
When an Energy Watch event is called, participants are notified by telephone and/or
email by 4:00 p.m. the day preceding the Energy Watch event. The Company utilizes
live operators for the notification call for the first Energy Watch event, notifying
customers of the Energy Watch event date and times. After the initial Energy Watch
event, the Company uses the autodialing system to deliver recorded messages about
the next Energy Watch events.
Time-ot-Day - The Time-of-Day program has two seasons: the summer season and the
non-summer season. The summer season runs June 1 through August 31 and has
three pricing blocks. There are no time differentiated blocks for the non-summer
season; the rate structure is the same as the Schedule 1 Non-Summer rate structure.
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The following chart outlines the time blocks and pricing used during the summer of
2009:
Time-of-Day Program Summer Pricing 2009
Price Block Days Hours Cents/kWh
On-Peak Mon - Fri 1 p.m. - 9 p.m.9.1840et I kWh
Mid-Peak Mon - Fri 7 a.m. -1 p.m.6.7529et I kWh
Off-Peak Mon - Fri 9 p.m. - 7 a.m.5.0647et I kWh
Off-Peak Sat, Sun, July 4th All hours 5.0647et I kWh
On the Time-of-Use program, customers who shift their energy consumption from the
daytime hours to the late evening and weekend hours are rewarded by paying the
lowest rate for electricity.
Program Enrollment
As of September 2009, Idaho Power had 49 customers participating in the Energy
Watch program and 79 customers participating in the Time-of-Day program. This was a
decrease of seven customers over 2008. The Company continues to see the total
number of participants decline.
Program Operation
The Energy Watch and Time-of-Day programs were operated in the same way they
were in previous years. The Company sent a letter to all program participants in May
thanking them for participating and reminding customers of ideas to reduce energy
usage during the summer months.
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The Company continues to face the challenge of the manual intervention involved when
moving a customer on or off of one of these programs. As has been noted in previous
reports, this process requires a 'virtual' meter exchange within the Company's Customer
Information System and is very time consuming for our Customer Service
Representatives. However, the Meter Data Management System (MDMS) that required
manual intervention during the 2005 and 2006 seasons passed acceptance testing in
early 2007 and successfully validated, estimated, and aggregated the hourly meter
data.
For the Energy Watch program, Idaho Power's program managers met on a daily basis
between June 15th and August 15th to analyze forecasted temperatures and system load
or supply side issues to determine if an event would be called the next day. The
Company called seven Energy Watch events between June 15th and August 15th. This
year, six events were called in July and one was called in August, with one instance of
consecutive events. The following is a list of the event days called:.
Page 2 of 10
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JUNE JULY AUGUST
July 16tn August 4tn
July 17m
July 22na
July 24tn
July 28m
July 31st
When an event was called, an email was sent by 11 a.m. to those program participants
who supplied an email address notifying them of the next day's scheduled event. This
email also triggered the autodialing system which notified all program participants of the
upcoming Energy Watch event by telephone. The following is a summary of the results
by month of the telephone notification system that was completed by 4 p.m. on the day
preceding an Energy Watch event:
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1 7/16/2009 52 40 5 2 3 0 2
Total I I 52 40 5 2 3 0 2
77%10%4%6%0%4%
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2
3
4
5
6
7
rT~al:" i
7/17/2009
7/22/2009
7/24/2009
7/28/2009
7/31/i009
8/4/2009'..:.....:dn.....
2
1
1
1
1
1
. I " ,.., "'1'1 : .~
2%
52
52
52
51
50
50
301
35
42
40
38
40
40
. i.. "l I235.' :
77%
3
3
3
4
3
3
1.9
6%
2
1
o
1
1
1
'1'6:'
2%
4 41 2o 61 4o 3o 3
6 ':4 "'22
2% 7%
Page 3 of 10
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Program Results
With the acceptance of the MDMS in 2007, Idaho Power was able to internally
aggregate and analyze customer data for the 2009 summer season. The following is a
review of the results of the Energy Watch and Time-of-Day programs.
Energy Watch - In order to analyze the data of the Energy Watch customers, the
customers' aggregate hourly usage for each of the days an Energy Watch event was
called is graphed below. The chart details the load shape for the Energy Watch
customers on event days.
All 2009 Energy Watch Event Dates
160
140
80
120
100
60
40
20
0
::::::::::::::::::::::::::::::::::::::::::::::::c:c:c:c:c:c:c:c:c:c:c:0.0.0.0.0.0.0.0.0.0.0.0.c:..N ....'"'"..00 en 0 ..N ..N ....'"'"..00 en 0 ..~..,£.........;,£........N ....'"..00 ~.;......N ......00 ~.;..........
-07/16/2009 -07/17/2009 -07/22/2009 -07/24/2009 -07/28/2009 -07/31/2009 -08/04/2009
As can be seen from the graph above, customers substantially reduced their load during
the Energy Watch events..
Page 4 of 10
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To further analyze the data, the hourly usage for each day of an Energy Watch event
was compared to the hourly usage for the day before and the day after the event. In
addition, hourly usage was analyzed during a week in which two event days were called
to understand the impacts on customers and how they may respond to two events in
one week. The following two charts ilustrate these scenarios:
Event Date: July 28th, 2009
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.
140
120
100
80
60
40
20
0
::::::::::::::::::::::::::::::::::::::::::::::::c:c:c:c:c:c:c:c:c:c:c:0.0.0.0.0.0.0.0.0.0.0.0.c:..N ....'"'"..00 en 0 ..N ..N ....'"'"..00 en 0 ..N..................N ....'"'"..00 .;.:..::..N ....'"'"..00 .;s ........
--07/27/2009 --07/28/2009 -07/29/2009
Page 5 of 10
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Event Dates: July 22nd and 24th, 2009
160
140
80
120
100
60
40
20
0
::::::::::::::::::::::::::::::::::::::::::::::::c:c:c:c:c:c:c:c:c:c:c:0.0.0.0.0.0.0.0.0.0.0.0.c:..N ....'"'"..00 Ch ::..N ..N ....'"'"..00 Ch 0 ..N~.D ....~........N ....'"..00 .;0 ;,..N ....'"'"..00 0....Ch ::......
-07/21/2009 -07/22/2009 -07/23/2009 -07/24/2009
These charts clearly reflect that customers are reducing their usage during Energy
Watch events.
Time ot Day - In order to analyze the data of the Time-of-Day customers, the total
weekday hourly energy usage for the Time-of-Day customers during the 2009 summer
season by month was totaled (excluding Independence Day). The following chart
shows the total weekday usage by hour for each of the three summer months.
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Page 6 of 10
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Time of Day: 2009 Season
4000
3500
3000
2500
2000
1500
1000
500.0
:l :l :l :l :l :l :l :l :l :l :l :l :l :l :l :l :l :l :l :l :l :l :l :looooooooooooooooooooooQ,Q,Q,Q,Q,Q,Q,Q,Q,Q,Q,Q,oo..N m -:iJ \D ..00 en 0 ..N ..N m -:iJ \D ..00 en 0 ..N,,;,.;~......,..,.;.;,~......N ..N m iJ ..,0 ,N ..m -:..,0 ....en ....en........
OFF PEAK MID PEAK ON PEAK OFF PEAK
-Total June -Total July -Total August
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To evaluate what impact the Time-of-Day rates had on customers' usage patterns
during on-peak periods, the hourly usage data was grouped by on-peak, mid-peak and
off-peak time periods and compared with the percent of energy consumed during each
of those periods. Below is a summary of that data for 2009 weekdays (excluding
Independence Day).
Page 7 of 10
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Time of Day Percent of Usage by Time Period
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. On-Peak . Mid-Peak . Off-Peak
To identify any changes in overall usage patterns, a comparison was made between the
on-peak, mid-peak, and off-peak usage for 2006, 2007, 2008 and 2009. The chart
below summarizes the percent of total use by time period for each year.
Period 2006 2007 2008 2009
June
On-Peak 21.6%27.7%38.1%38.2%
Mid-Peak 17.7%16.7%25.8%25.1%
Off-Peak 60.8%55.6%36.1%36.8%
July
On-Peak 20.7%28.9%43.1%42.5%
Mid-Peak 14.2%14.9%22.4%22.6%
Off-Peak 65.1%56.2%34.6%34.9%
Auaust
On-Peak 22.8%31.1%43.1%42.6%
Mid-Peak 16.7%17.1%22.5%22.6%
Off-Peak 60.5%51.8%34.4%34.8%.
Page 8 of 10
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The chart below compares the total summer season time period usage for the years
2006,2007, 2008, and 2009. The time period usage in 2009 was almost identical to
2008, which is when customers made a significant shift of off-peak usage to on-peak.
70.00%
60.00%
50.00%
40.00%
30.00%
20.00%
10.00%
0.00%
On-Peak Mid-Peak Off-Peak
-2009 -2008 -2007 -2006
Page 9 of 10
Future of the Energy Watch and Time-of-Day Programs
The Energy Watch and Time-of-Day programs continue to provide the Company with
valuable information regarding customers' responses to time-variant pricing.
Consistent with the findings from previous analyses, Energy Watch program participants
appear to reduce load during the Energy Watch events while it appears that Time-of-
Day program participants do not engage in load shifting.
As the Advanced Metering Infrastructure (AMI) is rolled out across our service territory,
the Company is looking to expand the availability of its residential time-variant pricing
options to as many as 5,000 additional customers a year during the deployment period.
Current systems and processes are being evaluated and improved to adequately
manage a greater number of customers. In addition, we are in the process of assessing
the current programs to determine what changes, if any, need to be made to obtain
increased participation and increased load shifting.
Page 10 of 10
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