NAPP’s Capacity – Peak Days On Call
- Customer is available to be “on call” to utilize its onsite generation (back up, standby or excess capacity) or reduce load to meet “peak” demand.
- Available in New York, New England, and PJM Region: These DR resources are essential in many markets to prevent black outs. Called at peak times in the summer and in winter in some region
- Call events may last for several hours and for multiple days per month.
- Revenue is paid year round. Notice is either day ahead or day of the event.
NAPP’s Energy Program – Self-Scheduling – Day Ahead and Real Time Markets
(NAPP Customers: Go to MY BID)
- Some regional grids pays a market based rate for demand response bid into the real time or day ahead select electric markets (see map below)
- Customers determine amount to shed and when available on a day to day basis; Customer uses NAPP online bid form or calls NAPP; Load drop is compared to a calculated hourly baseline; methodologies vary by region (example, 10 day period – 3 day average with or without weather adjustment).
- Revenue is based on Day-ahead or Real-time Energy Prices; In some markets, payments are only made IF customer is dispatched or cleared; in others, customer is paid for self directed DR in real time market only;
- Day Ahead Market: requires Day Ahead notice; Real Time market requires 3 hour notice.
- Dispatched OR self-directed – Trigger prices can be set by customer to be called on when prices hit a target level
- Transaction intensive program that requires NAPP to process hourly bids and hourly settlements.
- Plant shutdowns/scheduled shutdowns do not qualify.
NAPP’s Emergency Programs -
- ISO’s pay a premium for DR to avoid blackouts on a dispatched basis.
- Payments as high as $500/MWh.
NAPP’s Reserves Program – “Short Notice On Call”
- Customer is available to be “on call” to utilize back up generation or reduce load at their site when a power plant on the regional grid “trips out”.
- Call events can be limited to as few as 1 event per month.
- Call events are typically as short as 10-15 minutes in duration (maximum 30 minutes), with 10 minute notice. Average Total Payment per 1 MW varies by region from
• 10,000 to $30,000 perMW- year. (Based on Hourly Market Price and resource’s available hours)
In past, average annual prices were as high as $75,000 per MW-year - Customers are paid whether they are called or not. (recurring revenue stream).
- Program is 100% voluntary.. If customer cannot comply we ask for 24 hour notice to pull them from the program for that day/week/month.
- Non-performance results in customer’s loss of revenue for that month for noncompliance. Multiple non-performance results in mandatory reduction or elimination from program.
Minimum Load Shed of 1 MW is required
Baseline is customer usage at time of call event notification.
Transaction Intensive Program that requires NAPP to process hourly bids and settlements