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Task 11 - Time of Use Pricing and Energy Use for Demand Management Delivery

Synopsis | Introduction | Task Objectives | Activities planned for 2007 | Links | Events | Contacts | Participation | Publications

Synopsis

The objective of this Task is to increase the motivation of smaller customers to save energy through energy end use presentation, modify their energy demand profile through time of use pricing and provide mechanisms for their bidding demand into competitive energy markets.

The Task is now focused on the issue of “profile metering” constraints on the development of demand response by smaller customers. It is also addressing possible validation mechanisms which can be used to quantify smaller customer demand “available” and demand “turned down” so as to provide equitable rewards to customers.

Earlier work addressed the issues of time of use pricing, energy end use and feedback mechanisms, and demand side bidding by smaller customers in energy markets.

Introduction

Successful implementation of Demand Side participation in competitive energy markets is an essential process for world energy sustainability. In this regard, a major impact of implementing competitive markets in energy supply and demand management is to expose energy suppliers and traders to the cost of their own energy and demand imbalance against agreed contracts. In this trading environment, flexible, responsive and low cost demand side participation processes, based on accurate customer consumption data, are very attractive options for reducing imbalance risk and improve system security. Interruptible contracts and Demand Side Bidding (DSB), together with standby and interruption payments, are used by larger customers to take advantage of time of use energy pricing. Many liberalised market structures and operating systems mitigate against Demand Side participation by smaller customers, with profile metering an obvious example. In this case, time of use metering used for larger energy users is replaced by Profile Metering for smaller customers. Profile Metering offers some of the benefits of time of use metering at lower cost but removes any incentive for customers to modify their energy demand profile through demand management.

Verification of demand changes which result from DSB implementation requires time of use energy metering. Task XI will investigate "time of use metering" and developed "profile metering" for smaller customers as mechanisms for driving DSB and energy savings.

Feedback of end use energy consumption data to customers and their energy management systems helps in reducing energy use and also in moving elements of demand to lower cost periods. It also allows any significant changes customers make in their energy use pattern to be fed back to them so that they can see the results and value of their efforts. The main benefits of providing this information are to focus customers' attention on their energy use, its specific impact on the environment and in encouraging savings. It also assists the demand aggregation process for smaller customer DSB.

Task XI will address the issues of pricing and monitoring of energy end use and mechanisms for smaller customer, demand participation via DSB.

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Task Objectives

The overall objective of Task XI is to increase the motivation of smaller customers to modify their energy demand and to provide mechanisms for their participation in the demand side of competitive energy markets.

In order to achieve this objective, Task XI will quantify and develop mechanisms and technologies to motivate smaller customer, energy and profile shape change through the feedback of information and by enabling their participation in the demand side of energy markets.

The specific issues which will be addressed are to define the technical, system and customer requirements for bidding the aggregated demand and distributed generation of smaller customers into energy markets. Mechanisms for validation and reward processes will be investigated, as will processes for demand aggregation and implementing demand changes.

The dynamic demand profiles generated by DSB implementation will influence profile settlements systems now in place in most competitive markets involving residential and small commercial/industrial customers. Time of use metering will be considered as a possible mechanism for Demand Side Bidding (DSB) validation.

Task XI will quantify the costs and benefits of time of use pricing and end use monitoring of energy for small customers. The value of and implementation methods for providing end use energy data monitoring and feedback to customers to achieve DSM benefits will be quantified. The Task will also quantify what time of use and end use pricing and metering for smaller customers has been implemented and results achieved to date in different countries;

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Activities planned for 2007

The intention is to complete the project by 31 October, 2007.

Reports planned for 2007:

  • Subtask 4 - Profile settlement systems for smaller customer dynamic demand management
  • Subtask 5 - Demand availability and demand shift validation mechanisms for smaller customers

Meetings planned for 2007:

  • 17 - 18 January, 2007, United Kingdom
  • 21-22 May, 2007, Netherlands
  • 17-18 September, 2007, Spain

Activity Time Schedule
Task 11 was entered into force in October 2003 and will be completed by 31 October, 2007.

  • Subtask I: 1 January - 30 June 2004
    Quantify the Impact on Energy Saving and DSM processes of End Use Metering and Feedback for Smaller Customers
  • Subtask 2: 1 January - 30 July 2004
    Quantify the Benefits of Time of Use Pricing and their Impact on Demand Response for Smaller Customers
  • Subtask 3: 1 February - 31 December 2004
    Quantify the pricing, control and validation Requirements and mechanisms to facilitate Demand Side Bidding for smaller customers
  • Subtask 4: 1 November, 2006 - 30 June 2007 Quanitfy the potential for existing "profile" settlement systems to deal with dynamic profiles created by bidding smaller customers demands into markets. propose new systems.
  • Subtask 5: 1 June 2007 - 31 October 2007 Evaluate demand "available" and demand "shift" validation mechanisms which can deal with aggregated demand of smaller customers

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Links

There are currently no external links for this task.

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Events

There are no events defined for this task at this point in time.

For more information please contact the Operating Agent: Richard Formby, EA Technology, United Kingdom.

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Contacts

Mr. Richard Formby [GBR] Operating Agent
[ richard.formby@eatechnology.com ]
Ms. Margareta Bergstrom [SWE] Expert [ margareta.bergstrom@stem.se ]
Mr. George Damaskos [GRC] Expert [ g.damaskos@ppc.gr ]
Mr. Jan Griffioen [NLD] Expert [ jan.griffioen@hetnet.nl ]
Ms. Linda Hull [GBR] Expert [ linda.hull@eatechnology.com ]
Mr. Seppo Kärkkäinen [FIN] Expert [ seppo.karkkainen@vtt.fi ]
Ms. Hannu Pihala [FIN] Expert [ hannu.pihala@vtt.fi ]
Ms. Carmen Rodriguez Villagarcia [ESP] Expert [ carmenrodri@ree.es ]
Mr. Arnold J.W. Sijben [NLD] Expert [ a.sijben@senternovem.nl ]
Mr. Javier Soto [ESP] Expert [ fjsoto@ree.es ]
Mr. Henrik Weldingh [DNK] Expert [ hw@defu.dk ]
Ms. Maureen Edwards [GBR] Assistant 
[ maureen.edwards@eatechnology.com ]

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Participation

Task XI

Denmark

 

Finland

 

Greece

 

Netherlands

 

Spain

 

United Kingdom

 

Operating Agent

 

Participating Country

 

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Publications

Task XI: Executive Summary Final Report
[30 kb]
 Task XI: Executive Summary Final Report - Time of Use Pricing and Energy Use for Demand Management Delivery...
Task XI: Final Report
[211 kb]
 Task XI: Final Report - Time of Use Pricing and Energy Use for Demand Management Delivery...
TASK XI: Subtask 1 Executive Summary
[365 kb]
 Executive Summary - Smaller Customer Energy Saving by End Use Monitoring and Feedback...
TASK XI: Subtask 1 Report
[518 kb]
 Subtask 1 Report - Smaller Customer Energy Saving by End Use Monitoring and Feedback...
TASK XI: Subtask 2 Executive Summary
[370 kb]
 Executive Summary - Time of Use Pricing for Demand Management Delivery...
TASK XI: Subtask 2 Report
[410 kb]
 Subtask 2 Report - Time of Use Pricing for Demand Management Delivery...
TASK XI: Subtask 3 Executive Summary
[401 kb]
 Executive Summary - Demand Bidding for Smaller Customers...
TASK XI: Subtask 3 Report
[419 kb]
 Demand Side Bidding for Smaller Customers...
Task XI: Subtask 4 Executive Summary
[32 kb]
 Task XI: Subtask 4 Executive Summary - Quantify the Potential for Existing Profile Settlement Systems to Deal with Dynamic Demand Changes Resulting From Bidding Smaller Customers Demands Into Markets...
Task XI: Subtask 4 Report
[897 kb]
 Task XI: Subtask 4 Report - Quantify the Potential for Existing Profile Settlement Systems to Deal with Dynamic Demand Changes Resulting From Bidding Smaller Customers Demands Into Markets...
Task XI: Subtask 5 Executive Summary
[32 kb]
 Task XI: Subtask 5 Executive Summary - Demand "Available" and "Turndown" Validation Mechanisms For Market Bidding of Smaller Customer Demand...
Task XI: Subtask 5 Report
[1075 kb]
 Task XI: Subtask 5 Report - Demand "Available" and "Turndown" Validation Mechanisms For Market Bidding of Smaller Customer Demand...
Task XI Flyer (2)
[227 kb]
 Task Flyer - 2nd version...

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