Thermal Energy Storage and Demand Response Programs
Tuesday, July 5th, 2011 at
9:08 AM
Filed under Demand Response.
Q: Would a Thermal Energy Storage Project (not an energy efficiency measure) qualify under a typical Demand Response program? There is a possibility of a TES customer shifting a large peak load to the off-peak time period.
A: TES is generally considered load shifting and not demand response. Typically demand response is the ability to respond to a trigger of some kind and reduce demand based on that trigger. TES systems are intended to remove load from the grid during all peak hours and not just during triggered events. While the on/off peak impact of TES is beneficial for the grid, generally, TES does not qualify as Demand Response.
Utility Considerations for TES:
1. There are no existing regulations approving the use of TES for Demand Response. However, this could change as these issues are currently being reviewed for future DR consideration.
2. There are possible exceptions to consider.
3. One exception may be if the TES is currently not being used at all. And the customer is willing to bring the TES on line only for DR purposes. Since demand response is based on providing day-ahead notices, the customer can charge their systems the night before to be used when needed during the peak hours on the following day. (The verification that the TES is only being used for DR purposes will be seen with the 10 day averages being used for baseline comparisons).
4. Another exception may be that the existing TES system is broken. The customer may possibly use the incentive to repair the system for DR purposes outlined in the previous answer.
6. Note that some TES systems are only partial storage and therefore only reduce partial loads.