What is a demand response aggregator?

What is Demand Response Aggregation? Third-party aggregators enlist end users to participate in demand response curtailment and sell the combined load reduction to utilities and ISOs. Typically, the aggregator takes a percentage of the demand response incentive as compensation, passing the rest on to the end user.

What is demand response management?

Answer: Demand response is a voluntary PJM program that allows end use customers to reduce their electricity usage during periods of higher power prices. Demand response programs provide end-use customers with the ability to manage their electricity use in response to conditions in the wholesale market.

What is CCA Edison?

Community Choice Aggregation (CCA) is a program that allows cities, counties, and Joint Powers Authorities (JPAs), to procure electricity for customers within a defined jurisdiction. Under CCA guidelines, Southern California Edison (SCE) continues to deliver electricity through its transmission and distribution system.

What is Capacity Bidding Program?

Capacity Bidding Program (CBP) is an aggregator managed program that operates with a Day-Ahead option and runs May 1st through October 31st, but is promoted year-round. There are numerous aggregators participating in CBP. The CBP program is open for new aggregators.

What are energy aggregators?

An electric aggregator gathers consumers for the purpose of negotiating the rate for generation service from an electric supplier. An electric aggregator must negotiate with suppliers on behalf of the customers it represents. As such, an aggregator must act as the customer’s agent.

What are the long term benefits of demand response?

Over the longer term, sustained demand response lowers aggregate system capacity requirements, allowing load-serving entities (utilities and other retail suppliers) to purchase or build less new capacity. Eventually these savings may be passed onto most retail customers as bill savings.

Why do we need demand response?

Demand response asks large power users to use less during those peak hours—and participants get paid for doing it. We avoid blackouts by using less (reducing demand) instead of building more (increasing supply).

Is CCA more expensive than SCE?

The CCA offers three rate plans to its customers: One with a 36% renewable energy mix that the alliance says is 1% cheaper than Edison’s base rate, one with 50% renewables that’s on par with Edison, and one with 100% renewables that’s 9% more expensive than Edison.

Which is cheaper CCA or SCE?

Many CCAs in California offer a 2-3% discount compared to the existing utility’s electric rates. Although CCAs are empowered to set their own rates and rate design, most have elected to mirror the rate design used by the incumbent utility, allowing customers an easy rate comparison.

What is demand response auction?

2016 Demand Response Auction Mechanism Pilot. The DRAM is a pay-as-bid auction of monthly system Resource Adequacy (RA) associated with a demand response product located in the IOU’s service area and where sellers offer directly into the CAISO day-ahead energy market.

What is PG&E peak day pricing?

Peak Day Pricing is a Time-Varying Pricing plan offered by Pacific Gas and Electric Company (PG&E) that combines a Time of Use pricing plan with Peak Day Pricing Event Day surcharges and credits. This plan offers lower rates during periods when electric demand is low and higher rates when demand is high.

Who are aggregators?

An aggregator is an entity that purchases mortgages from financial institutions and then securitizes them into mortgage-backed securities (MBSs). Aggregators can be the issuing banks of the mortgages or subsidiaries within the financial institutions themselves.