There are four types of eligibility that must all be met in order to participate:
- Customer Eligibility
- Demand Response Program Eligibility
- Project Eligibility
- Technology Eligibility
The ADR Program is open to all Non-Residential Customers who:
- Receive electric services from PG&E.
- Have a PG&E interval meter installed at the site.
- Have an existing Utility service account with at least 12 months of billing and usage history. 24 months of billing and usage history is needed for intermittent loads, such as pumping or agricultural irrigation.
- Enroll in one of the qualified PG&E DR Programs.
Direct access (DA) customers who purchase electricity from an electricity generator other than PG&E are eligible provided the customer enrolls in a DR Program that also accepts DA customers (Capacity Bidding Program).
Demand Response Program Eligibility
Customer must already be enrolled or become enrolled in an eligible DR Program and participate for 3 years. Eligible DR programs include:
- Peak Day Pricing (PDP)
- Capacity Bidding Program (CBP)
- Demand Response Auction Mechanism (DRAM)
- Excess Supply Pilot (XSP)
- Supply Side II Pilot (SSP)
Eligible projects must meet the following criteria:
- Project includes new, ADR-enabling equipment or new system programming.
- New equipment must not already be installed.
- Installation cannot begin until the Utility Administrator has the opportunity to approve the project.
- New equipment/programming has ADR capability.
- Projects must be operational by April 30, 2019.
Customers with Multiple Project Sites
A Customer may choose to include multiple project sites in a single project application, provided that the requirements listed below are met:
- The same Customer must own and/or occupy all project sites.
- Each site must have a unique service agreement identification (SAID).
- Each site must be in PG&E’s service territory.
- Each site is subject to its own project cost cap.
If the project is being implemented in phases, the Customer should consider submitting individual applications since all sites will be paid at the same time regardless of different completion dates.
Cloud-based Projects and Stranded Assets
Cloud-based ADR projects allow a remote server or EMS to act as a central hub for receiving DR event signal from the utility DRAS and then execute DR strategies for one or more facilities across on a campus or a region (city, country). Cloud-based ADR projects are being increasingly adopted by ADR technology vendors, service providers, and aggregators because of their attractive cost efficiencies of scale of a central server over localized server and controls at individual facility sites. On the other hand, cloud-based solutions create stranded asset risks for PG&E in the event a customer is no longer connected to the cloud or if the relationship with the vendor or aggregator is terminated.
To manage stranded asset risk, vendors and aggregators using cloud-based equipment for customer with greater than 499 kW demand must provide the customer and PG&E with a written instructions detailing how the local DRAS client can be reconfigured to receive a signal directly from the PG&E DRAS and execute DR strategies at the customer site in the event that the cloud base service is terminated.
Additionally, stranded asset testing is required to ensure the local DRAS client can communicate with the DRAS without the third party cloud. Customers must have full access to the Auto-DR client device in the absence of third party assistance or intervention. If, as part of the plan, additional hardware (e.g. external DRAS client) and programming services are required, the vendor or aggregator must provide them to the customer during project installation. These additional hardware and programming services are eligible for ADR incentives. Stranded asset testing is typically completed during the first installation to verify direct DRAS communication capability. PG&E reserves the right to conduct additional testing at their discretion.
Cloud VEN solutions are eligible for a PG&E ADR incentive for sites with up 499 kW average demand per site. The cloud solutions do not have to pass the stranded asset test mentioned above. Project must include a pre-paid, three year cloud subscription. The cloud subscription is an eligible cost for this limited effort only. Finally, the cloud VEN must still be OpenADR 2.0A or 2.0B certified
ADR projects have specific requirements that installed technologies must meet:
- Technology must have previously demonstrated DR capability.
- ADR technologies must be OpenADR 2.0 (A or B) certified
- Technology must either:
- Have been evaluated in an independent assessment; or
- Be currently installed and available for evaluation by program staff at a site in PG&E territory or other location easily accessed by the program staff, and where both pre- and post-project conditions are documented or currently verifiable.
- New software and programming costs required for local hardware controls or local facility energy management systems (EMS) for enabling local ADR strategies at the facility site (see cloud-based projects) are eligible to receive an incentive.
- Technology must be under Manufacturer warranty for a minimum of three years.
Locational Dispatch Requirements
Starting in 2014, California’s investor-owned utilities (IOUs), including PG&E, plan to transition to location-specific notification for all existing and new Participants for DR events. Customers enrolling multiple facilities at multiple sites must have a VEN that has the ability to monitor DR event participation at each facility or site individually, based on the site address and SAID and trigger events based on SAID.
DRAS Signaling Policy: Aggregators
All ADR participants are highly encouraged to participate in all DR events, and the customers enrolled in DRAM and CBP should check with their aggregators to ensure their loads are nominated every month so they can participate in each DRAM or CBP events. The Participation Bonus (of up to 40%) of total eligible incentives is calculated based on actual DR participation over all event hours.
Customers enrolled in DRAM and CBP must have an OpenADR certified client on site that is capable of receiving an automated DR event signal from the PG&E DRAS and capable of participating in locational dispatch.