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National Town Hall Meeting – ADS July 2013. Demand Response and Energy Efficiency – Avoiding Dysfunction in the DSM Family (or better yet, find pot of gold at end of rainbow ). Challenges to Integration.
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National Town Hall Meeting – ADSJuly 2013 Demand Response and Energy Efficiency – Avoiding Dysfunction in the DSM Family (or better yet, find pot of gold at end of rainbow)
Challenges to Integration • Regulatory landscape: regulators see these as different resources and regulate separately • Legislative authorization: EE is often a specific legislative requirement, but DR is a grid supply • Internal organizational structures: utilities separate out delivery of these resources into different groups • Few private sector contractors deliver both
Our products interact with each other- whether we like it or not
Ratepayer EE program model Customers do not have the resources or focus to meet policy goals: Justification for incentives
DR: original value proposition • Assumption: the only value is system benefit, so deployment and payment is only within energy supply system -Customers share in value through payments to endure a negative impact: decreased comfort or productivity
Changing landscape • Time Variable Rates • New technology can provide both EE and RE (and customer amenity value) together (see NEST thermostat) • DR and EE both go through cycles of underlying demand but not always the same cause or timing • Smart meters/Capacity Markets/environmental policies expanding
Questions • Is there a value proposition for a combined package to the same customer? • cost savings • integrated technology • clarity of message to the customer • Are barriers to adoption similar or different with EE and DR?
Questions • Will Smart meters really change the opportunity for DR and EE? • Is there a fundamental difference between System wide DR vs. Distribution feeder targeted DR with respect to EE integration? • Who is the key target for better marketing and education? Customers, Regulators, tech companies or the utility itself
Questions • What is the vision for the future? • What are the barriers to getting there? • Do we have any success stories of fully-integrated programs? • ISO NE • EnerNOC • Marshfield Energy Challenge