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Metering Requirements for the PJM Demand Side Response Programs. Joe Polidoro, Sr. Engineer PJM Interconnection, LLC 610-666-4693. PJM Demand Side Response Working Group.

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metering requirements for the pjm demand side response programs

Metering Requirements for the PJM Demand Side Response Programs

Joe Polidoro, Sr. EngineerPJM Interconnection, LLC610-666-4693

pjm demand side response working group
PJM Demand Side Response Working Group

The Demand Side Working Group’s mission is to identify and promote opportunities for demand-side resources to participate in the PJM markets, and to recommend adoption of protocols and protocol revisions that foster optimum load participation in all markets.

pjm demand side response working group1
PJM Demand Side Response Working Group

Why Is Your Participation Important?

  • What is done in 2004 will likely fix your options for the next few years
  • There are many Protocols issues that will be addressed by DSRWG this year that will affect whether your load is suitable for other opportunities
  • If you have a stake, you cannot afford not to play
  • You can participate in person, via phone or via web
future footprint
Future Footprint
  • PJM
  • PJM Western Region
  • Duquesne - Jan ‘05
  • AEP – Oct ’04
  • Dayton Power & Light - Oct ‘04
  • ComEd – May ‘04
  • Dominion Power – Nov ‘04
isos in north america 12 31 03
ISOs in North America – 12-31-03

California45,900

IMO

25,414

IMO

25,414

PJM is currently the largest

centrally dispatched Entity in North America

New England

25,158

New York

30,983

PJM +

PJM West

63,777

California45,900

ERCOT

57,000

ERCOT

57,000

pjm governance
PJM Governance

Independent Board

Members Committee

Other

Suppliers

End-Use

Customers

Generation

Owners

Transmission

Owners

Electric

Distributors

how demand response interacts with the market
How Demand Response Interacts with the Market?
  • A working demand response program puts a downward pressure on price.
  • It is an alternative to generating more electricity.
  • When wholesale prices are high, Demand response can stabilize prices by reducing demand. When electricity supplies are short, demand response reduces stress on the grid.
  • 4,600+ Large Industrial and Commercial participants.
  • 45,000+ small commercial and residential end users in the program.
load reduction verification timeline
Load Reduction Verification Timeline

EDC Verification

10 Business Days

CSP Submittal

60 Calendar Days

LSE Verification

10 Business Days

PJM Database

PJM reviews and forwards

to LSE and EDC

PJM approves

payment to CSP

customer baseline cbl
Customer Baseline (CBL)

In the Economic Program ONLY….. End-use customers that wish to measure load reductions by comparing metered load against an estimate of what metered load would have been absent the reduction may calculate a customer baseline (CBL) for the following methods as defined:

Average Day CBL for Weekdays

Average Day CBL for Weekend/Holidays

average day cbl for weekdays
Average Day CBL for Weekdays
  • 10 most recent days, beginning two days prior to event
  • Exclude the following day-types:
    • NERC holidays
    • Weekend Days
    • Event Days
    • Any day which the day’s average daily event period usage is less than 75% of the average event period usage level
  • Replace excluded days with next valid day
  • Final Weekday CBL Basis Window must contain 10 days
average day cbl for weekdays1
Average Day CBL for Weekdays
  • For each of the 10 Days in Weekday CBL Basis Window calculate:
    • Average daily event period usage = simple average of the participants usage over the hours in the day
  • For all 10 Days in Weekday CBL Basis Window calculate:
    • Average event period usage level = simple average of 10 average daily event period usage values
  • Exclude low usage days, replace excluded day per Step 1, and continue
  • Rank all remain 10 days, and eliminate 5 days with lowest average daily event period usage
  • Weekday CBL Basis must contain 5 days
customer baseline cbl1
Customer Baseline (CBL)
  • For each hour of the event,
    • Average Day CBL for Weekdays is the average of the usage in that hour in the five days that comprise the Weekday CBL Basis
reserves in pjm
Reserves in PJM
  • Spinning Reserve
  • Primary Reserve
  • Quick Start
  • Supplemental Reserves
reserves in pjm1
Reserves in PJM
  • Spinning Reserve
    • Synchronized reserve capability that can be converted to energy within 10 minutes
    • Procured via real-time Spinning Reserve Market
    • Requirement varies based on NERC Reliability Region, typically equal to output of largest contingency on system
    • ECAR and MAIN rules allow dispatchable load to count as spinning reserve (MAAC does not)
reserves in pjm2
Reserves in PJM
  • Primary Reserve
    • Made up of Spinning Reserve and 10 minute non-synchronized reserve
    • Requirement varies based on NERC Reliability Region, PJM Mid-Atlantic requirement is 150% of largest unit on system
    • Procured in real time by PJM dispatchers
    • No premium paid for Primary Reserve Services
    • Shortfall in Primary Reserve corrected by committing additional Spinning Reserve
reserves in pjm3
Reserves in PJM
  • Quick Start
    • Non-synchronized capability that can start up within 15 minutes
    • No quick start requirement operated to
    • MIC currently discussing possible quick start market
    • Counts towards primary reserve in some reliability regions
reserves in pjm4
Reserves in PJM
  • Supplemental Reserve
    • Non-synchronized capability that can start up within 30 minutes
    • Procured day ahead via reliability run (2nd commitment process)
    • Requirement varies by reliability region, averages 8% across RTO
    • Proposed operational constraint in Reliability Pricing Model to procure Supplemental Reserves
next steps
FUTURE MEETINGS

October 12, 2004 Wilmington, DE

November 3, 2004 Wilmington, DE

November 30, 2004 Wilmington, DE

For more information, submit requests to:

LoadResponse@pjm.com

Next Steps