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Demand Response (DR) & Energy Efficiency. "The least expensive kilowatt is the one not used," Joe Desmond, Chairman of CEC. Dennis J. Charlebois, P.E., Ph.D . V.P. Marketing & Technology Energy Facts (US). US - 2004 – 4.0 Trillion KWh consumed (+2%)

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Demand response dr energy efficiency

Demand Response (DR) & Energy Efficiency

"The least expensive kilowatt is the one not used," Joe Desmond, Chairman of CEC.

Dennis J. Charlebois, P.E., Ph.D.

V.P. Marketing & Technology

Energy facts us
Energy Facts (US)

  • US - 2004 – 4.0 Trillion KWh consumed (+2%)

    • 23 Million barrels oil (-17%)

    • 485 Billion Cu Ft of natural gas (+6%)

Energy facts us1
Energy Facts (US)

  • Lighting

    • 30% of institutional building's energy use

    • 40% of a school's total energy use

  • Space heating/cooling

    • 37% of a typical government building's energy

    • Government agencies in the United States spend > $10 billion a year – 1/3 goes to waste.

    • Healthcare organizations spend > $6 billion

    • K-12 spend > $6 billion — more than is spent on textbooks and computers combined! ENERGY STAR rated schools cost forty cents per square foot less to operate than the average school

    • Higher Ed ~ $2 billion. Energy management can lower their energy bills by 30% or more

  • US Dept of Energy

    Energy facts ca
    Energy Facts (CA)

    • In Summer 2004 (per CEC report to Senate)

      • ISO Peak demand records were set 7 times in spite of average weather conditions.

      • 2004 peak demand was at a level projected for 2006.

      • Southern California had insufficient reserves on several days

      • Transmission bottlenecks reduced access to available capacity which was needed to serve demand.

      • Reliability was at risk due to failure to secure deliverable resources in advance.

    California Energy Commission

    Energy facts ca1
    Energy Facts (CA)

    • Energy Efficiency Successes

      • In California since 2001 - Energy savings > 1,000 Megawatts (MW) a year

      • In 2001, CA state office buildings cut energy use by an average of 22%, including a 26% reduction in one month.

      • California's Department of General Services benchmarked 35 buildings in 2001; 3 achieved Energy Star status

      • A new state complex in Sacramento, the Capitol Area East End, is expected to save $429,000 annually in energy costs as a result of its sustainable and energy-efficient design and construction.

      • Many cities, counties and special districts in California reduced energy use in their facilities by at least 15% - ie. City of Poway retrofitted traffic lights with energy-efficient LEDs ~ 71% energy savings

    US Dept of Energy

    2005 outlook ca all
    2005 Outlook – of add’l new capacityCA (ALL)

    2005 outlook ca north
    2005 Outlook – of add’l new capacityCA (North)

    2005 outlook ca south
    2005 Outlook – of add’l new capacityCA (South)

    C e c forecast models
    C.E.C. FORECAST MODELS of add’l new capacity

    2005 california energy outlook
    2005 California Energy Outlook of add’l new capacity

    • 2005 through 2008 predicted to be “very tight”…large gaps anticipated

    • Add’l Generation will not fill the gap

    • Retirements will exacerbate the problem

    • Transmission capacity is questionable

    • Bay Area Econ Forum is predicting Power Crisis (2001)

    • CEC is pushing Demand Response as first line of defense

    • Additional Risks;

      • Higher than expected economic growth…higher demand

      • Higher than expected forced outages.

      • Lower than expected imports.

      • Regional “heat storm”.

      • Reduced hydro resources.

      • Higher than expected congestion.

      • Transmission closures due to forest fires.

    *Sources – California Energy Commission Update Report Feb 2005; BAEF “Lightning Strikes Twice-California Faces Real Risk of Second Energy Crisis – August 2004

    2005 cec plans
    2005 CEC Plans of add’l new capacity

    • Ensure load serving entities to forward purchase sufficient resources to maintain reliability.

    • Augment demand response (DR) programs.

    • Augment energy efficiency programs.

    • Ensure successful utility procurement processes.

    • Accelerate construction of permitted power plants.

    • Add additional peak generation capacity

    • Identify and expedite transmission upgrades feasible for 2005.

    • Emphasize public education and voluntary reduction efforts.

    C e c takes action with dr
    C.E.C. Takes Action with DR of add’l new capacity

    • The Demand Response Research Center (LBNL/Purdue Joint Venture)

      • Research on how to do Demand Response

      • Covers technologies, policies, programs, strategies and practices

      • Price response scenarios are modeled

        • time-of-use rates

        • dynamic pricing

        • demand bidding programs

    Two types of dr
    Two Types of DR of add’l new capacity

    • “Call-Type” Programs

      • Participants commit load reductions

      • Penalties if commitments not met

      • Rebates to customer for shed loads at peak

      • Comprehensive Baseline for each customer is needed

  • “Quote-Type” Programs

    • Participation is voluntary

    • Customers decide day-to-day on what they will/won’t do

    • No penalties

    • Dynamic Pricing is essentially a quote type DR

  • Why is dr important
    Why is DR Important? of add’l new capacity

    • Helps avoid rolling blackouts

    • Customers can capture preferred energy pricing

    • Reduces environmental impact

    • Helps offset generation retirements

    • Helps offset generation shortfalls

    • Helps offset transmission overload

    How is dr accomplished
    How is DR Accomplished? of add’l new capacity

    • Manual Demand Response – Light Switches & HOA’s

      • Labor intensive

      • Requires human intervention

      • Moderate overall impact

  • Semi-Automated – Existing Building Automation Systems

    • Preprogrammed responses

    • Requires human intervention

    • Relies on availability

  • How is dr accomplished1
    How is DR Accomplished? of add’l new capacity

    • Fully Automated – BAS & Energy Management Information System

      • No human intervention

      • Signal dependent

      • Reliable outcome

      • Measurable & Verifiable

    Demand response methodology
    Demand Response – Methodology of add’l new capacity

    Predicted savings sample
    Predicted Savings - Sample of add’l new capacity

    Real savings gsa oakland
    Real Savings – GSA Oakland of add’l new capacity

    Regression Model

    Power [kW]


    Issues affecting dr
    Issues Affecting DR of add’l new capacity

    • Transparency of Energy Costs

      • Accuracy and availability of data

      • Telephone/Pager/Email does not fill obligation

  • Shedding needs to be obligated

    • Grid operator requires reliability from DR participants

  • Ramifications need to be understood

    • User must understand all load opportunities and historical consumption profiles

    • Tools required to analyze portfolio

    • Focus on least intrusive impact to building occupants

  • Issues affecting dr1
    Issues Affecting DR of add’l new capacity

    • Connectivity to Energy Consuming Equipment

      • Human intervention minimized

      • Signal must link to response

  • Sophisticated Decision Making

    • Automation is essential

    • Rules-Engine needed to drive response(s)

    • Multiple scenarios need to be mapped and tested under varying conditions

  • Issues affecting dr2
    Issues Affecting DR of add’l new capacity

    • Measurability and Verifiability

      • Need to be able to verify curtailment obligation (for financial settlement)

      • M&V tools can normalize data for Weather and Billing Period

  • Integration of Unlike Systems/Equipment

    • DR Strategies must incorporate multiple vendors

  • Anywhere, Anytime Access is needed

    • Web-Enabled/LAN accessibility

    • Real-time systems availability

  • Preparation for dr
    Preparation for DR of add’l new capacity

    • OBJECTIVES – Readiness, Responsiveness, Minimal Impact

      • Evaluate readiness of complete Portfolio of County Bldgs

        • Understanding the facility(ies) and what is available to be involved in the program

      • Quantify Demand Response Capabilities

        • Manual vs Automatic

      • Identify Energy Conservation Measures

      • Evaluate & Prepare Financial Indicators – IRR, ROI, etc

        • One-time & Recurring costs

        • Savings (Reduced consumption, Rebate programs)

    • Comprehensive Application Plan

      • Turnkey Automated Response to STAGE 1,2,3 Alerts

    Demand response lbnl study
    Demand Response – LBNL Study of add’l new capacity

    • Motivations for Demand Response

      • Improve grid reliability

      • Flatter system load shape

      • Lower wholesale and retail electricity costs

    • Method

      • Provide fictitious dynamic XML-based electric prices with 15-minute notification

      • Program building EMCS & EIS to receive signals & respond

      • Document building shed using EMCS & metered data

    California Energy Commission's Public Interest Energy Research (PIER)

    Existing dr programs in ca
    Existing DR Programs in CA of add’l new capacity

    Long term benefits
    Long Term Benefits of add’l new capacity

    • Proactive & Instantaneous response to Alerts & Pricing signals

    • Demonstrated leadership by early adopters

    • Reduced County energy costs

      • Energy Costs

      • Long Term Cost of Ownership

  • Favorable Environmental Impact

  • Measurable and Verifiable Results for all to see

  • The tools to deliver Continuous Improvement

  • Energy conservation examples

    Space Setpoint Changes of add’l new capacity

    CHW/CDW/SAT Temp Reset

    Occupancy Control

    Demand Control Ventilation

    CO Control (garages)

    VAV/VFD fan speed control

    Optimal Start/Stop

    Equipment Sequencing (ie. chillers)

    Cooling Tower Control (fans)

    Night Ventilation

    Economizer/Free Cooling

    Lighting controls (time)

    Dimming controls

    Occupancy Sensors

    Lighting sweeps

    Load Shedding/Load Rolling

    Demand Peak limiting

    Thermal Storage

    Distributed Generation


    Lighting Retrofits/Upgrades

    HVAC/BAS Recommissioning

    Utility Rate Optimization

    Energy Conservation Examples

    Accomplished through DR

    Next steps for dr
    Next Steps for DR of add’l new capacity

    • Findings (forthcoming report:

      • Demonstrated feasibility of fully automated shedding

      • XML and related technology effective

  • Next Steps: Evaluate Performance of Current Test Sites

    • In hot weather

    • Participation in DR programs

    • Annual benefits at each site & through enterprise

  • Beyond Test Sites

    • What other strategies offer kW savings & minimal impact?

    • How could automation be scaled up?

    • What are costs for such technology?

    • What is statewide savings potential?

    • What is value of fully automated vs manual DR?

  • Dr resources
    DR Resources of add’l new capacity

    • Demand Response Research Center

      • Forthcoming site

    • Current CEC Demand Response Sites

      • Consortium for Electric Reliability Technology Solutions (CERTS)

      • Center for the Study of Energy Markets (CSEM)


      • Demand Response Enabling Technology Development (DRETD)


    About us how we can help

    About Us & How We Can Help of add’l new capacity

    Yamas inc
    Yamas Inc. of add’l new capacity

    • Facility Systems & Technical Services

    • Open, Non-Proprietary Systems Integrator

    • 52 year old California based Company

    • National coverage– 13 offices East & West

    • $60 Million in revenues annually

    • 400 employees

    • Significant installed systems base

    Yamas businesses
    Yamas Businesses of add’l new capacity

    Bldg Systems

    Building Services

    • Energy Management

    • Lighting Control

    • Electronic Access Control

    • Alarm Monitoring

    • Environmental Control

    • Temperature, Humidity, Pressure

    • Air Quality

    • Smoke Control

    • System Integration (BAS, ERP)

    • Network Design

    • System Modernization

    • System Migration

    • Preventative Maintenance

    • Repairs & Replacements

    • HVAC Diagnostics

    • Mechanical Maintenance

    • Help Desk

    • Training

    • Recommissioning

    • Parts Warehouse

    • Technical Support

    • Remote Diagnostics

    • Dispatch Call/Center

    • Extended Warranty

    • Network Services

    Data Services

    Energy Services

    • Data Aggregation

    • Data Trending/Reporting

    • Database Maintenance

    • Software Support

    • Hosted Applications

    • Field Workforce Automation

    • Configuration Management

    • Application Rationalization

    • Demand Response Programs

    • Energy Audits

    • Energy Retrofits

    • HVAC Retrofits

    • Financing

    • LEED

    • Energy/Utility Analysis

    • Energy Management

    Yamas locations serving ca
    Yamas Locations Serving CA of add’l new capacity


    San Francisco


    Los Angeles


    Las Vegas

    Yamas customers
    Yamas Customers of add’l new capacity

    How yamas can help
    How Yamas Can Help of add’l new capacity

    • Rationalize BAS Systems

      • Assessment and migration towards Open Systems

      • Multiple BAS Vendor Integration

      • Smart Integration with mech/elect equipment

  • Recommissioning (Retro-Commissioning)

    • Improves Environment of Care Comfort Conditions

    • Reduces Demand Maintenance Costs

    • Supports JCAHO Continuous Readiness Principles

    • Uncovers new Energy Conservation possibilities

    • Positions Facility for Dynamic Pricing

  • How yamas can help1
    How Yamas Can Help of add’l new capacity

    • Enhanced Automation & Control

      • Capitalizes on Existing Infrastructure

      • Improves the Potential for Energy Cost Reduction

  • Other Items

    • Utility/Consumption Analysis

    • Conservation Benchmarking

    • Load Profiling, Trending, Modeling

    • Optimization of Control Strategies for Real-Time Energy Pricing

    • Training & Education

    • EMS Application/Software Analysis

    • Configuration Management

  • Yamas uses ves to enable dr
    Yamas Uses VES To Enable DR of add’l new capacity

    Demand response dr energy efficiency

  • Delivers the Appropriate Information

    • The tools to perform critical analysis

  • Provides Consuming Equipment View

    • Significantly broadens shed options

  • Automates Decision Making

    • Signal can drive curtailment options

  • Can be Measured and Verified

    • Demonstrates the curtailment obligation

  • Offers Access from Anywhere

    • Allows anytime system fine tuning

  • Questions discussion
    Questions & Discussion of add’l new capacity