National Town Meeting on Demand Response Focus on Pepcos Washington, DC Residential Smart Meter Pilo

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National Town Meeting on Demand ResponseFocus on
Pepcos Washington, DC Residential Smart Meter
Pilot Program

• Presented By
• Steve Sunderhauf
• July 14, 2009

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Pepcos Washington, DC Residential Smart Meter
Pilot ProgramSMPPI SITES
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Pepcos Washington, DC Residential Smart Meter
Pilot Program

• The number of participants by rate type

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Pepcos Washington, DC Residential Smart Meter
Pilot ProgramCRITICAL PEAK PRICING

• Critical Peak Prices
• 15 Days per Year/60 Hours
• 12 Summer (June Oct.) Days/3 Winter
• (Nov. Apr.) Days
• 4 Hours Per Day
• Summer CPP Rates
• Critical Peak 0.75 per kWh, 2 pm 6 pm
• Non-Peak 0.10 per kWh
• Winter CPP Rates
• Critical Peak 0.70 kWh, 6 am 8 am and 6 pm to
  8 pm
• Non-Peak 0.09

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Pepcos Washington, DC Residential Smart
Meter Pilot Program
There were 12 critical peak days called in Summer
2008, with 5 called in August. On critical peak
pricing days, customers see higher prices from 2
pm to 6 pm. For all other hours, customers
enjoyed a rate discounted by 5.5 from the
regular summer residential rate.
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Pepcos Washington, DC Residential Smart
Meter Pilot Program
There were 3 critical peak days called in winter
2008-2009, with 2 in January. On critical peak
pricing days, customers see higher prices from 6
am to 8 am and 6 pm to 8 pm. For all other
hours, customers enjoyed a rate discounted by
8.9 from the regular winter residential energy
rate.
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Pepcos Washington, DC Residential Smart Meter
Pilot ProgramCRITICAL PEAK REBATES

• Rebates for Load Reductions During Critical Peak
  Hours
• Summer (June Oct.) 0.66 per kWh Reduced
• Winter (Nov. May) 0.36 per kWh
• Differences by Specific Residential Rates
• Individual Customer Baseline Consumption Used to
  Calculate kWh Reductions
• CBL Determined by Averaging Hourly Consumption
  Over 3 Separate High Use Days of the Billing
  Month
• Low Income Customers Restricted to CPR

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Pepcos Washington, DC Residential Smart
Meter Pilot Program
Customers earn a rebate for energy 'not used'
during the critical peak hours in comparison to
other similar days in the billing period. For
kWh they do use, they pay the regular price.
There were 12 critical peak days called in Summer
2008, with 5 called in August. The critical peak
hours are the same as for the Critical Peak
Pricing rate (2 pm to 6 pm) only on Critical
peak days.
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Pepcos Washington, DC Residential Smart Meter
Pilot ProgramSMPPI SAMPLE RESULTS
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Pepcos Washington, DC Residential Smart
Meter Pilot Program
Customers earn a rebate for energy 'not used'
during the critical peak hours in comparison to
other similar days in the billing period. For
kWh they do use, they pay the regular price.
There were 3 critical peak days called in winter
2008-2009, with 2 in January. The critical peak
hours are the same as for the Critical Peak
pricing rate (6 8 am 6 to 8 pm) only on
critical peak days.
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Pepcos Washington, DC Residential Smart Meter
Pilot ProgramDAY AHEAD HOURLY PRICING

• Prices Derived From Day Ahead Hourly Pepco PJM
  Zonal Locational Marginal Wholesale Energy Prices
• Multipliers Used to Accentuate Price Signal
• 111 Percent Multiplier for Hourly Prices that
  Exceed SOS Prices
• If LMP gt SOS Price Then HP Price LMP x 1.11
• If LMP SOS Price Then HP Price LMP
• No Prices Set Below Zero
• Rate Multipliers Reviewed Quarterly to Ensure
  Revenue Neutrality

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Pepcos Washington, DC Residential Smart Meter
Pilot Program
For the average weekday in August, customers on
the hourly price rate saw lower prices than
customers on the regular rates most of their
waking hours. Prices were higher in the afternoon
and for one hour after dinner.
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Pepcos Washington, DC Residential Smart Meter
Pilot Program
For the average weekday in January, customers on
the hourly price rate saw lower prices than
customers on the regular rates for the entire
days.
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Pepcos Washington, DC Residential Smart Meter
Pilot ProgramLESSONS LEARNED

• Simplify Pricing Calculations
• Automate Bill Validation
• Hourly kWh Should be Collected in 10 Watt
  Increments to Avoid Zero Intervals
• Establish Detailed Processes for Handling
  Exceptions
• Test Daylight Savings Changes
• Avoid Scattered AMI Mesh Deployments