Commercial Customer Demand Response Program Pilot January 17

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Commercial Customer Demand Response Program Pilot January 17, 2013 1

Commercial Customer Demand Response Program Pilot January 17, 2013 1

What is Demand Response? At the utilities’ request, customers reduce electric usage for short

What is Demand Response? At the utilities’ request, customers reduce electric usage for short durations on hot summer days n 2. * Reduces the need to turn on expensive and more polluting electric generators 3. * Helps maintain grid reliability for all customers 4. * Reduces utility operating cost 1. 5. 6. 7. n * Participating customers reduce energy cost and are rewarded for participation with a rebate A Win-Win solution! 2

Major Elements of Pilot CPAU DR Program n Proposed Pilot program - Summers 2013

Major Elements of Pilot CPAU DR Program n Proposed Pilot program - Summers 2013 -2015 ¨ ¨ ¨ Test DR potential in Palo Alto Test DR automation Explore options for broader future program n Open to 15 commercial customers in 2013: ¨ Must be on Meterlinks program ¨ Flexible load with potential to reduce loads by a minimum of 50 k. W n Limited number and duration of DR events ¨ 2 to 5 hours per day in the afternoons ¨ Up to 15 business days between May and September 3

Benefits for Participating Customers § Reduces Utility Bill & Earns Rebate ¨ * Rebate

Benefits for Participating Customers § Reduces Utility Bill & Earns Rebate ¨ * Rebate of 50 ¢ per k. Wh reduced (retail rate 9¢) ¨ * Bonus payment of $2 per k. W for full performance ¨ * No penalty for non-performance ¨ * Lower electric bill - Lower energy charge - May lower monthly demand charge ($18 -20 per k. W) n Recognized by the City of Palo Alto for program participation n Demonstration of company’s environmental stewardship goals 4

How to Participate n Contact your Key Account Manager if interested n CPAU will

How to Participate n Contact your Key Account Manager if interested n CPAU will provide custom DR evaluation of your facility n Key Self-Evaluation Questions ¨ * Meterlinks metering? ¨ * 50 k. W demand reduction? n Lighting, process loads Air conditioning (e. g. pre-cool buildings, widen thermostat setting, adjust chiller water temp. ) n Building energy management system n ¨ ¨ * Corporate environmental goals? ¨ * Level of effort to participate in program? 5

City of Palo Alto Utilities Recognizes the following Customers for Participating in Demand Response

City of Palo Alto Utilities Recognizes the following Customers for Participating in Demand Response n CPI n PARC n Palo Alto Office Center n Palo Alto City Hall n SAP n Stanford Hospital n VA Hospital 6

Contact Information Karla Dailey ¨ Karla. Dailey@cityofpaloalto. org ¨ 650 -329 -2523 7

Contact Information Karla Dailey ¨ Karla. Dailey@cityofpaloalto. org ¨ 650 -329 -2523 7