Demand Response Equipment

Many users pay for energy in two ways, energy usage (in kWhrs) and energy demand (kW). It is not well known that demand charges are the fastest growing portion of energy bills.  Demand charges make up a significant portion of commercial and industrial customers’ total electricity costs: typically between 20 and 70 percent. Demand charges are increasing across the U.S., even while energy prices are decreasing. Several trends are at work here and will continue to keep demand charges high. 

Techniques to reduce peak time demand include:

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MySite Energy Storage systems for commercial applications range in capacity from 8kWhr  to 1MWhr, ensuring capacity for todays needs, with expansion capability for the future. The 1MWhr system can power 500 homes for 7 hours. In renewable applications, Energy storage can remove the intermmitancy of power production, effectively smoothing out the fluctuations of wind and solar energy systems.   Businesses in California are now seeing utility costs rise dramatically  due to increasing  Demand Charges that are added to  the usage charges.  Without inclusion of Energy Storage, the benefits of solar power sources is reduced.  However, adding  energy storage plus solar can effectively eliminate both demand and usage charges entirely.


Energy usage can be managed or reduced by traditional methods, like installation of  lower wattage lighting or more efficient appliances.  Additionally, on-site production by solar generating systems can directly reduce energy usage charges.  As good as it is to eliminate the portion of your electric bill that is based on usage, that does not eliminate the large portion of the bill that is based on energy demand. 

Energy Demand,  is more difficult to assess and manage effectively. There are many energy users that must allow their existing equipment to operate as needed. A grocery store, for example, must allow food refrigeration and freezers to run as needed to ensure food preservation.  Each time the equipment cycles on, the energy meter records the spike in energy demand.  

Demand charges are a significant portion of commercial and industrial customers’ total electricity costs: typically between 30 and 70 percent. Demand charges are increasing in the U.S., even while energy usage prices are decreasing. Several trends are at work here and will continue to keep demand charges high. 

Monthly demand charges are based on the highest recorded 15 minute peak in the month, and users pay based on that peak level as though it existed all month long. Avoiding a 15 minute energy spike can save you money across the entire billing cycle.

The chart on the right shows the red peaks that, when eliminated from the utility load, would reduce the peak demand from 40kW down to 12kW. This reduces the E19 PGE customer cost by approximately $360 per month.

Solar power generation alone is not enough.  Demand reduction equipment is a rapidly progressing technology. Installation of an active demand management system will "smooth out" the spikes in demand, thereby dramatically lowering utility charges.

Equipment can be installed outdoors near your electrical switchgear. Our electricians will install and connect using your existing breaker panels. Typical installation can be done in a two-day period, with minimal interruption to your full-power operations. Typical space requirement is 6 ft x 3 ft on a level concrete surface.


Green Charge Demand Management Systems

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