Load Management Program
Program overview
The El Paso Electric "Load Saver" Load Management Standard Offer Program was developed in 2009 in response to changes in Public Utility Commission of Texas (PUCT) Substantive Rule 25.181 which authorizes participating customers or third-party sponsors (Project Sponsors) to provide on-call curtailment of electric consumption during peak demand periods in return for incentive payments. Incentives are based on verified demand savings that occur at El Paso Electric distribution or eligible institutional customers' sites as a result of calls for curtailment.
El Paso Electric will begin accepting applications for the upcoming Peak Period program on August 3, 2009. El Paso Electric commercial customers who are existing participants in El Paso Electric's interruptible tariff(s), have contracted tariffs or taking service at 69KV or above are not eligible for participation in this program.
Participation
Participation is a Five-Step Process described in detail in the Program Manual which can be downloaded via the left menu bar by clicking on Downloads/Tools. The five steps are (1) Application, (2) Contracting, (3) Performance (4) Monitoring and Verification, and (5) Payment of Incentives to the Project Sponsor.
Requirements
The Load Management Program is an agreement between the Project Sponsor and El Paso Electric.
The Program:
- Requires the participating entities to curtail agreed-upon loads for up to 5 hours, nine times per year, plus a test curtailment of one to five hours each year to verify load availability (a maximum of 50 hours per year). The contract can be renewed each year by submitting an updated application package, and issuance of a letter agreement. The agreement may be terminated by either party at any time without penalty.
- Is designed to reduce energy use during peak demand periods, defined as 1-7 p.m., weekdays, June through September, excluding Federal holidays.
- Is a performance-based program that offers market-based incentive payments to the Project Sponsor for curtailing electric load on notice.
Eligible Participants
- Are required to have an aggregate normal peak demand of 300 kW or greater, with each participating site having at least 100 kW normal peak demand and capable of curtailing at least 100 kW.
- Must be equipped with an Interval Data Recorder (IDR) meter.
- Must be a non-residential customer of El Paso Electric taking service at the distribution level and/or be a non-profit customer or government entity, including educational institutions.
Customer Commitments
Participating customers agree to a one-year commitment, but there are no penalties if customers opt out of the program at an earlier time. By its participation, the commercial/institutional customer commits to a maximum of 10 curtailments each year as follows:
- One (1) Scheduled Curtailment of one to five-hour's duration during each year of participation, plus a maximum of nine (9) Unscheduled Curtailments of up to five hours each during each year of participation.
- The availability peak period is limited to June through September, 1-7 p.m. weekdays, excluding Federal holidays, each year of the program.
Financial Benefits to Participating Customers
El Paso Electric will pay a participating customer (or the third-party Project Sponsor, if different) $60 per kW of verified curtailed load each year of participation. For example, a Project Sponsor which contracts for 1,000 kW and consistently curtails 1,000 kW or more when asked would earn up to $60,000 each year* (see note below).
2009 PROGRAM BUDGET: $210,000
For More Information
To access the Application package and sample contract, please see the complete Program Manual. For answers to specific questions about your facility, contact Paul Royalty at 915-543-2260, or by e-mail at proyal1@epelectric.com.
*NOTE: PAYMENTS ARE SUBJECT TO EL PASO ELECTRIC VERIFICATION. INFORMATION CONTAINED IN THIS PROGRAM DESCRIPTION IS SUBJECT TO CHANGES IN THE RULES OF THE PUBLIC UTILITY COMMISSION OF TEXAS (PUCT).