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Massachusetts Utility Seeks To Offer Customers Demand Response, Solar Storage Solutions

November 11, 2016

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Copyright 2010-16 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

Fitchburg Gas & Electric (Unitil) has petitioned the Massachusetts DPU for approval to offer customers via demonstration products a storage system for customers with solar and other demand response offerings.

The projects, if approved, will be evaluated for a future customer-wide offering via the utilities' energy efficiency and conservation programs, "including the potential for detailed demand response offerings," in such future plans.

Unitil proposes a residential battery storage (to be installed in conjunction with existing solar photovoltaic systems), and C&I "active" demand response

Under the residential storage program, Unitil intends to install up to six separate residential battery storage systems at customer homes that have previously installed solar photovoltaic systems. These combined systems will be operated during ISO-NE summer peak periods and winter peak periods. The battery systems will be charged by the solar PV systems.

Unitil anticipates that the residential storage demonstration project will enable participants to shift their demand on the grid during peak periods to the battery storage system. Excess kWh will flow up the grid and be net-metered. Unitil projects that the storage systems will produce, on average, up to 5 kW over the course of the peak summer period (two hours) for the average customer. Coordination with solar PV system will allow for flattening of the solar curve so that up to 5 kW will be produced over the four hour summer peak period. Additionally, 5 kW will be produced over the two-hour winter peak period, Unitil said

Of the storage demonstration project, Unitil said, "It is the Company’s understanding that Eversource is undertaking a similar effort, but is intending to employ an approach for C&I customers, and will therefore be installing larger systems."

Regarding Unitil's C&I active demand response demonstration project, Unitil proposes that the C&I demonstration project will be implemented for up to two customers. The demonstration project will employ a vendor-driven program that includes proprietary software that utilizes a customer’s interval data profile to determine potential Installed Capacity Tag (ICAP) hours on the ISO-NE energy grid. ICAP hours are normally coincident with ISO-NE’s critical peak hours during the summer, though Unitil noted that ICAP hours could occur any time of year (for example, winter), and, therefore, customers must be prepared to participate year round.

Under the C&I program, customers may bid into ISO-NE’s demand response program, which require reducing load during ISO-NE summer critical peak events. Under this demonstration project, Unitil anticipates that the average customer will be able to shift between 200 kW to 300 kW over the course of two hours.

In order to identify potential participants in the C&I demonstration project, Unitil will identify those C&I customers with the most opportune load shape as well as the flexibility to shift load. The C&I demonstration project participant(s) will work with the vendor and Unitil to create a plan to undertake operational changes, such as changing set points in HVAC and lighting systems, delaying batch manufacturing processes and shutting down time insensitive processing, in order to reduce demand during these periods. The financial benefit to customers is that they can reduce their ICAP charges and potentially bid into one of ISO-NE’s economic programs, which would produce a revenue stream.

Unitil is seeking authorization to begin the projects with a June 1, 2017 start date

Unitil has determined that there is the potential for a 400 to 600 kW reduction during the ISO New Installed Capacity Tag hours associated with two hours of operation of the C&I demonstration project technology. There is also a potential of up to 30 kW reduction during the ISO-NE Summer Peak and Winter Peak periods associated with operation of the residential demonstration project technology, Unitil said

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