Participating in the Energy Storage Market A Discussion of Demand - PowerPoint PPT Presentation

Participating in the Energy Storage Market A Discussion of Demand Management Earnings Opportunities at Con Edison March 30th, 2020 Griffin Reilly Section Manager Targeted Demand Management Consolidated Edison Company of New York, Inc. 1

What is Demand Response? EE provides Energy Efficiency Example sustained reduction in Hourly Demand (MW) demand Baseline Demand curve with energy efficiency implemented Hour of Event Day Demand Response Example DR provides demand relief during a targeted Hourly Demand (MW) timeframe Baseline Demand curve with Demand Response Hour of Event Day 2

Commercial System Relief Program 21-Hour Notification • System-wide peak • Dependent on local network peak time • Four hours of relief 3

Distribution Load Relief Program Two-Hour Notification • Isolated need • Stressed network • Four hours of relief 4

Demand Response Incentive Rates CSRP in Reservation Performance All Westchester/ Rates Rates Reservation Voluntary CSRP Staten Island DLRP Tier 1 DLRP Tier 2 ($/kW-month) ($/kWh) $1 $3 $18 $6 $18 $25 Exampl ple: e: 1 100 k 0 kW Enrolled ed $25,000 Annual DR Revenue $20,000 $21,500 $18,000 $15,000 $10,000 $12,000 $12,000 $5,000 $- CSRP and CSRP and Staten Island Westchester DLRP Tier 2 DLRP Tier 1 (CSRP and DLRP) (CSRP and DLRP) Incentives are based on current tariff rules, 100% performance in events, and enrolling directly with Con Edison. Consult the program tariff (Rider T) for more information. 5

Joining Con Edison Demand Response • Communicating Interval Meter or AMI • Via Aggregator or Direct Enroll with Enrollment Minimum • Voluntary Participation – No Deadline • Reservation Payment Deadline 4/1 or 5/1 www.coned.com/DR DR@coned.com 6

Two New Programs Coming This Year Day-Ahead-DLM Auto-DLM Dispatch Criteria Mandatory 21 Hours Notice + Day-Ahead-DLM calls and/or 88% forecast or 10 Minutes Notice + DLRP Criteria 88% forecast or DLRP Criteria Incentive Reservation Rate per kW per year based on Rate per kW per year based (kW) RFP response on RFP response Performance N/A N/A (kWh) Tiers High Identified in RFP Identified in RFP Low Test Event 21 hours notice for 4 hours 10 minutes notice for 4 hours PF < 80% declines at 2% per % PF < 80% declines at 2% per Penalty below 80% % below 80% 7

Competitive Procurement Timeline Action 2021 Procurement 2022 Procurement 1 Release RFP October 2020 October 2020 2 Aggregators submit clarification questions October 2020 October 2020 3 The Companies responds to clarification questions October 2020 October 2020 4 Deadline for Aggregator enablement in the October 2020 October 2020 Company’s Oracle system 5 RFP response deadline November 2020 November 2020 6 RFP award/notification November 2020 November 2020 7 Contract execution date January 2021 January 2021 8 Security requirement due for awarded February 2021 February 2021 Aggregations 9 Deficiency notification N/A December 2021 10 Early Exit Fee payment due N/A January 2022 11 Enrollment deadline April 2021 April 2022 12 Capability Period start May 2021 May 2022 8

Non-Wire Solutions Opportunities www.coned.com/nonwires 9

Active Programs in Brooklyn & Queens Brooklyn Queens Demand Management (BQDM) • Initiated in 2014, pre-dates current NWS construct Water Street NWS • 2019 - 2021 10

Participating in the Energy Storage Market A Discussion of Demand Management Earnings Opportunities at Con Edison March 30th, 2020 Griffin Reilly Section Manager Targeted Demand Management Consolidated Edison Company of New York, Inc. 11