A Clean Demand Response Pilot Program For Southwestern Connecticut

1
A Clean Demand Response Pilot Program For
Southwestern Connecticut

• Leah Weiss
• Ozone Transport Commission
• National Energy, Environment and Transportation
  Summit
• May 16, 2002

2
Southwestern Connecticut

• 51 towns in Fairfield and New Haven counties
  behind a transmission-line bottleneck
• In this load pocket, 2,800 - 3,500 MW demand,
  2,000 MW capacity

ISO New England, 2002
3
Public Health and Environmental Issues

• The problem
• Air emissions from least-dispatched units
  diesel backups
• nitrogen oxides
• volatile organics
• diesel exhaust
• carbon monoxide
• carbon dioxide
• mercury
• other air toxics

• The result
• Health, economic, environmental, and social
  impacts
• Respiratory distress and disease (even in healthy
  populations)
• Premature mortality
• Pest/pathogen-caused disease
• Damage to ecosystem and national monuments
• Eutrophication of water bodies
• Adverse agricultural impacts
• Climate change visibility

4
A Collaborative Pilot Project

• Goals
• To improve power system reliability and air
  quality, and relieve grid congestion
• To develop and implement demand response programs
  that encourage energy efficiency and reliability
  and are consistent with air quality and public
  health goals
• Participants
• CT DEP, CT DPUC, CT OPM support from OTC, GETF,
  NASEO, NARUC

5
Objectives

• Develop new energy efficiency and clean
  distributed generation programs and incentives
  targeted towards peak power usage
• Tie incentives to energy efficiency and clean
  distributed generation, including renewable
  energy and combined heat and power
• Develop policies and regulations to restrict the
  use of uncontrolled diesel and other
  high-emitting on-site generators as an
  alternative to grid-based power

6
Initial Project Timeline

• 1/02 Steering committee established
• 2/02 Concept paper outlining clean demand
  response developed workplan developed
• 4/02 Meeting with state agencies, utilities,
  ISO-NE, environmental community, and business
  sector in SWCT projects identified
• 5/02 Projects developed
• 6/02 Project implementation begins

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Two-Phased Approach

• Phase I develop near-term energy efficient,
  renewable energy, low- and no-emitting
  distributed generation, and other environmentally
  friendly mechanisms to implement in summer 2002
  evaluate efforts
• Phase II examine options to implement in summer
  2003 and beyond

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Implementing the Pilot Phase 1 (2002) Projects

• Lead by example Demand and load response for
  Connecticut State office buildings
• Target the CLM Fund and the Clean Energy Fund to
  reduce peak power demand
• Improve upon current education, outreach, and
  marketing activities
• Develop a clean energy siting map/tool

9
Additional Phase I Projects

• Water efficiency and energy efficiency linkages
• Summer Savers award for peak load and demand
  response (with no diesel BUG use)
• Demand side reductions air conditioner rebates,
  bounties, and pay-as-you-save programs

10
Possible Phase 2 (2003) Projects

• Fuel cell siting
• Corporate strategies for
• banks and insurers
• big box retail (e.g., Wal-Mart, Home Depot)
• small and medium sized businesses
• SIP credit for energy efficiency
• Heat island mitigation opportunities
• Smart metering and direct controls

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Challenges and Opportunities

• Working on tight timeframe
• Working through and within the State system
• Coordination and support
• Funding
• Pilot as catalyst for integration
• Pilot as catalyst for actions by others