Our 20 state (plus District of Columbia) region is served by three Power Pools, more technically known as Independent System Operators (ISOs) or Regional Transmission Organizations (RTOs), PJM Interconnection, New York ISO, and ISO New England.These entities are federally chartered and regulated pools where electric industry entities that participate in wholesale markets engage in transactions. The power pools are centrally responsible for electric reliability, generator dispatch, transmission operations and other critical functions that are designed to move electricity reliably and at least costs in their respective geographical areas of operations.
Energy Efficiency Programs
As part of their electric reliability objectives, some power pools offer energy efficiency programs. This is because energy efficiency is a way to reduce stress of their electric grids. Stated in another way, an energy efficiency project can result in a specified amount of reduction in electric use which translates to availability of electric capacity on the power pool’s grid. Therefore, power pools that offer energy efficiency programs are able to pay energy efficiency projects for the electric capacity benefits of those projects. In our region of operations, PJM Interconnection, and ISO New England offer energy efficiency programs.
PJM Interconnection is a regional transmission organization (RTO) that coordinates the movement of wholesale electricity in all or parts of Delaware, Illinois, Indiana, Kentucky, Maryland, Michigan, New Jersey, North Carolina, Ohio, Pennsylvania, Tennessee, Virginia, West Virginia and the District of Columbia. PJM offers energy efficiency payment programs under its Capacity market construct, the Reliability Pricing Model (RPM) Under RPM, certain energy efficiency projects such as lighting, HVAC, building envelope, and custom loads qualify as energy efficiency resources.
ISO New England is a regional transmission organization (RTO), serving Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island and Vermont. ISO-NE offers energy efficiency payment programs under its Capacity market construct, the Forward Capacity Market (FCM). Under FCM, certain energy efficiency projects such as lighting, HVAC, building envelope, and custom loads qualify as demand resources.
Only the summary points are reviewed here, the power pools offer several exciting energy efficiency programs across our service territory each with specific rules and qualification requirements, contact us today to begin exploring the unique options for your business and locations.