Peak Day Pricing Module 1 Overview PGE Academy

Peak Day Pricing Module 1: Overview

PG&E Academy Peak Day Pricing Course Map Module 1 Overview Module 2 Eligibility & Default Enrollment Module 3 Billing Overview Module 4 Affirmed & Optional Enrollment Module 5 Opt Out & Un-enrollment Module 6 Updates 2

PG&E Academy Module 1: PDP Overview Objectives At the end of this module, you will be able to: • Define the Peak Day Pricing (PDP) Program. • Explain PDP Events. • Define Event Notification Preferences (ENPs). • Define the various PDP options. • Identify changes to CC&B to support PDP. 3

PG&E Academy Module 1: PDP Overview What is Peak Day Pricing? Peak Day Pricing (PDP): • A new Demand Response Program for commercial, industrial, and agricultural customers. • Electric customers will pay more during designated peak periods on “event” days and pay less during other periods. • Customers will have 9 - 15 events per calendar year. • Events can be called all year round. • Includes Bill Stabilization for the first year. 4

PG&E Academy Module 1: PDP Overview 5 PDP Benefits Customer • Potentially lower electric bills. • Possibility of fewer interruptions to electrical service due to outages or “rolling blackouts”. • Better management of their energy use. Company • Reduce load on the electrical system during high usage periods. • Cost savings in the maintenance and replacement of equipment that is typically damaged during high usage periods. Environment • Reduce the need to purchase “power on the spot” market. This power is usually purchased from states that use nonenvironmentally friendly fuel to generate electricity.

6 PG&E Academy Module 1: PDP Overview California’s Energy Situation 45, 000 40, 000 35, 000 CA uses 5% of capacity for less than 50 hours per year! PG&E: Partnering with the state to help accomplish the goal of peak reduction. Last 25% of capacity needed less than 10% of the time. System Load Duration Curve

PG&E Academy Module 1: PDP Overview PDP Enrollment/Un-Enrollment Terms Default Customer • Customers who meet certain criteria and are identified to be automatically enrolled in PDP. Affirmed Enrollment • A default customer may contact PG&E and agree to participate in the program. 7

PG&E Academy Module 1: PDP Overview PDP Enrollment/Un-Enrollment Terms Optional Enrollment • Customers who are eligible and request PDP but are not identified as default customers may optionally enroll. Opt Out • A customer that is pending enrollment (default or optional) may decide to cancel their enrollment prior to the effective date. Un-Enrollment • An active PDP customer may decide to stop their participation in the program. 8

PG&E Academy Module 1: PDP Overview PDP Events drive all PDP energy charges. Triggers for system-wide peak events: • Temperatures at or above a specified threshold. • California ISO declares emergency conditions. • Extremely high market prices. 9

PG&E Academy Module 1: PDP Overview Event Notification Preferences (ENP) • Customers can receive a courtesy notification by phone, email, fax, and/or SMS (text message). • Not required but highly recommended. • Customers can have a maximum of 4 ENPs. Examples: 1 of each or 2 phone numbers and 2 faxes, etc. • Customers will be notified of an event by 2 PM the business day before. 10

PG&E Academy Module 1: PDP Overview 11 PDP Options Some customers will have options to choose from depending on their rate: • Event Duration The length of participation during the event. Choices: 12 PM – 6 PM OR 2 PM – 6 PM • Event Day Frequency of participation in an event. Choices: Unlimited or Alternate • Reservation Capacity A fixed usage for a specified portion of the demand. Choices: Default or Customer Defined

PG&E Academy Module 1: PDP Overview PDP Charges & Credits Charges • Includes charges for usage during event periods. • Charges will vary depending on PDP options selected by the customer. Credits • PDP credits will be applied during non-event times (summer season only). • Credit amounts will vary depending on rate schedule and service voltage. 12

PG&E Academy Module 1: PDP Overview Bill Stabilization • Once a customer is enrolled in PDP, they receive a year of Bill Stabilization. It is similar to Bill Protection that is applied to our customers on Smart. Rate™. • A bill will be trued up at the end of the first 12 months and any savings can be kept. • Customers will still be exposed to month-tomonth bill volatility during the first year. • This will allow customers to try out the program for up to one year without adverse monetary impacts. 13

PG&E Academy Module 1: PDP Overview PDP Changes to CC&B • A new BPA Peak Day Pricing Script will be used to manage all PDP transactions. • A new screen called the Demand Response At A Glance (DRAAG) screen will be used for entering and updating PDP Options. • The start/stop script will be modified to recognize PDP service points when a customer is transferring to a new location. 14

PG&E Academy Module 1: PDP Overview Accessing the PDP Script The Peak Day Pricing Script is accessed from the Eligible Scripts portal on the dashboard. 15

PG&E Academy Module 1: PDP Overview Knowledge Check Points Which of the statements is true about the Peak Day Pricing Program? a) Electric customers will pay more during designated peak periods on “event” days and pay less during other periods. b) Customers will have 9 - 15 events per calendar year. c) PDP Options include: Event Duration, Event Day Frequency, and in some cases, Reservation Capacity. d) All of the above. 16

PG&E Academy Module 1: PDP Overview Knowledge Check Points Determine if the following statement is true or false. Customers are required to receive a courtesy notification by phones, email, fax, and/or SMS (text message). False. ENP is not required but is recommended. 17

PG&E Academy Module 1: PDP Overview Summary Now that you have completed this module, you will be able to: • Define the Peak Day Pricing (PDP) Program. • Explain PDP Events. • Define Event Notification Preferences (ENPs). • Define the various PDP Options. • Identify changes to CC&B to support PDP. 18

PG&E Academy Peak Day Pricing Questions? 19