Voltus
Menu
Close
  • How We Help
  • Who We Help
  • Why Voltus
  • About
    • Our Board and Advisors
    • The Voltans
    • Our Leadership Team
    • Our Culture
    • Our Story
  • Join Us
  • Vlog
  • VoltApp Login
  • CashDash
  • VoltApp Login
  • CashDash
  • How We Help
  • Who We Help
  • Why Voltus
  • About
    • Our Board and Advisors
    • The Voltans
    • Our Leadership Team
    • Our Culture
    • Our Story
  • Join Us
  • Vlog
Vlog

Week #6 – Working with multiple CSPs to maximize DR dollars

Posted on April 9, 2020 by Kelly Yazdani

Potential Customer: Can my company work with more than one curtailment service provider (CSP) to stack multiple demand response (DR) programs and maximize earnings?

Voltus: Yes. Well … maybe. 

Nearly 140 demand response programs exist across North America. Many of these programs are offered exclusively by Voltus while others aren’t offered by Voltus at all. What’s that now?

That’s right, in some cases a DR program is offered only by a utility or even a competing CSP. No matter, Voltus lays out all the options for monetizing your operational flexibility and supports your participation in every program with our technology and services. 

Conversely, we often talk to customers who are currently under contract with a different CSP and are interested in contracting with Voltus to cash in on additional programs. Is that allowed?

From Voltus’s perspective, of course. The caveat here is that you need to make sure you are not prevented from doing so under your current CSP’s contract. We always advise customers to make sure that any new program they sign up for at a facility doesn’t preclude them from participating in other programs with other providers. We’ve run into many unfortunate situations where a customer signed up with a CSP and gave them exclusivity over not only a single facility’s ability to participate in DR, but exclusivity over DR for all of their facilities … unbeknownst to them.

So, let’s look at a real world example. Voltus works with a large commercial real estate company with properties throughout the United States. This customer is very sophisticated and wanted to take full advantage of every stackable DR program in the PJM service territory, specifically Pennsylvania. In Pennsylvania, a customer can take advantage of seven separate demand response programs simultaneously. Unfortunately, the company’s CSP at the time had exclusive rights to all DR programs at each of the company’s facilities under a contract that had been signed three years prior for a five year term. The larger problem was that the CSP only offered two of the seven programs and wouldn’t cooperate in allowing the customer to participate in the other five programs. In fact, the CSP claimed that by tapping into other programs the company was putting their current DR earnings at risk (fake news).

In this particular case, the CSP had enrolled the customer in PJM’s ELRP program and signed them up for economic DR to capture energy payments. As it turns out, the more lucrative option for the customer was a combination of Pennsylvania Act 129 DR, Voltus’s Peak Saver program, and PJM’s synchronized reserves program. We showed the customer that they would more than double their demand response dollars by enrolling in these additional programs. We also helped the customer negotiate away from exclusivity with their original CSP. Amazingly, participation in these additional programs actually increased the company’s earnings in the two original programs – a win-win-win for all parties involved!

Of course, every region is different and every CSP is different so it’s important to dig into the details.

  1. Make sure you’re not limited by current terms and conditions in your DR agreements.
  2. Make sure you’re taking advantage of every stackable DR program.

In the end, the best strategy for you business may be to use two (or more) CSPs. We’re indifferent as long as you’re maximizing your demand response dollars.

Interested in doubling your company’s DR dollars? Email us at info@voltus.co or chat with us below.

Read More

Week #3 – Incremental Auction Sell-Off (Don’t Get Caught Holding an Empty Bag of Cash)

Posted on March 10, 2020 by Kelly Yazdani

Using a bit of provocation, last month we declared that PJM Demand Response is Dead! The caveat here is that PJM Demand Response (as you’ve known it) is Dead, with changes to the Emergency Load Response Program (ELRP) that make it much more difficult for customers to perform and, ultimately, earn cash (e.g., a 30 minute response with 365/24/7 availability doesn’t work for most). 

Our webinar, outlining these changes, and highlighting our out-of-market PeakSaver Program, occurred a few weeks before the close of PJM’s 3rd incremental auction (IA). These incremental auctions give capacity providers, who made commitments to provide capacity three years ago, the opportunity to sell their positions back to the market. Given the changes to ELRP, we had a company-wide hypothesis: curtailment service providers (CSPs) will offer thousands of megawatts back to the market during the 3rd IA, ultimately mitigating their risk of portfolio underperformance under stringent new “capacity performance” program requirements.

There is an important phrase in that last sentence though – mitigating their risk. If a demand response provider unloads their position, what happens to the customer who is expecting to get paid for ELRP program participation in 2020? When the CSP liquidates their position in an IA, the CSP is paid, but the customer’s obligation to perform, and their earning potential, is gone. 

Last week, the results were posted and our theory held true: 4,500 MWs of generation capacity, a large portion of which represents demand response, was sold back to the market, dumping many CSPs’ commitments to deliver for the first full “capacity performance” year (starting 6/1/2020). This capacity offloading is a clear sign that the new capacity performance rules prove too risky and costly for many in-market demand response MWs. Commercial and industrial customers who were expecting to generate revenue for the upcoming power year may find that their position was sold out. The CSP will pocket 100% of the profit, leaving the customer with nothing.

What now? Given these results, CSPs are scrambling to figure out exactly how to maximize the profitability of their portfolio and will only retain the best performing customers into the new power year. Don’t get caught holding the bag. All customers should contact their CSP and get a written confirmation of their position for the upcoming summer. 

Most importantly, sign up for out-of-market demand response. Voltus’s PeakSaver program can be stacked with in-market programs and provide a clear path to cash this summer. Because the program is market independent, you can enroll at any time, doubling your demand response dollars for the coming year. PeakSaver provides a no cost, no risk approach to demand response that proves far more reliable than many in-market programs.

The only bag you should be holding is the one filled with money. Contact us at info@voltus.co or chat with us by clicking on the icon on the bottom right of your screen to get yours.

This post is part of multi-week series dedicated to “Getting the Most Cheese from Demand Response.” Check out Week 1 on Eliminating Capacity Charges and Week 2 on In-Market versus Out-of-Market Demand Response.

Read More

Got CashGen?

Posted on November 1, 2017 by Voltus

Did you once use your onsite generator to earn revenue through demand response? If the answer is yes, you’ll want to join this webinar.

  • As you likely know, in 2016 a US district court vacated language in EPA regulations that allowed onsite generation at commercial and industrial sites to participate in demand response programs under “emergency” operating conditions. It also had implications in Canada.
  • The elimination of this language effectively removed 3,000 MWs of demand response from markets throughout the US and Canada.
  • In this webinar, the leading demand response and generator experts will show you just how simple it can be to restart the cash flow from your generator at no cost and no risk in a simple, single-page DR agreement.

Please join us by choosing one of the scheduled webinars below and we’ll send you a special link with details.

Name *
Name

Phone
Phone
Choose Webinar Preference *

Thank you! You will receive details on how to join the webinar shortly.

Read More

When $10 Million Shows Up in Your Bank Account . . .

Posted on October 23, 2017 by Voltus

Today, Voltus got a little pocket money (PR Newswire). It’s creating quite a bit of buzz in the industry (Greentech Media) and we’re grateful for the attention it’s getting.

The back story is pretty simple: a few of us put our nose to the grindstone for a year, built a great technology, signed up a bunch of customers, generated profits, and attracted the interest of investors who really liked the focused business model we developed to attack a huge, underpenetrated market where the competition wasn’t innovating or fully serving customers.

But what’s the secret to our success and how do we plan to extend this success with $10 million in the bank? First, our success to date is simply a matter of attracting bright, gritty, and good people who are passionate about solving energy challenges. Second, our vision is simple: deliver more demand response dollars to the bottom line for our customers than anyone in the industry . . . less energy, more cash. Put the people and the vision together and get out of the way!

This simple model has us doing three things: we build product, we sell product, and we deliver cash to customers. This aligns with how we differentiate: we have a best-in-class technology platform that unlocks every possible revenue stream for our customers, we have a transparent, no-cost, no-risk, single page commercial agreement that makes it easy for our customers to do business with us, and we are world leaders in understanding energy markets and demand response which allows us to more than double the value customers get from what they’ve been doing in the past.

So, for our part, Matt and I sell. We evangelize. That’s us at the Crowne Plaza in Springfield, Illinois last week in the midst of a Monday morning through Friday evening road trip. We crossed paths in Springfield, signed our funding documents, snapped a pic with the front desk attendant, and went our separate ways, Matt to Peoria, I to Champaign-Urbana. We’ll sign up a dozen or so new customers from that trip.

We’re pretty sure that our competition’s CEO and President don’t do this. We’re pretty sure they don’t commit to delivering 100 MW individual sales quotas each year. Because selling is hard, yet it’s the single most valuable thing a company does in a growing market. And Matt and I love to do it . . . we love to meet our customers . . . at their steel plants, their wastewater treatment plants, their grocery stores, their data centers . . . we love to see the pride they take in their work . . . we love to forge new friendships . . . we love to learn about their unique challenges . . . we love to tell the Voltus story . . . and we love to pay our customers to use our product to help them make their businesses stronger.

Our team has a clear plan on how to turn that $10 million into $100 million in short order by delivering exceptional value to customers. You can be sure that Matt and I will be on the road doing our part to help our team get the cash to the customers.

Giddy up!

Read More

Categories

  • Listen
  • News
  • Read
  • Uncategorized

Archives

Tags

  • Demand Response
  • Voltus
  • Distributed Energy Resources
  • Team
  • Talent
  • doingwellbydoinggood
  • FERC
  • Hiring
  • DER
  • Smart Grid
  • Leadership
  • ERCOT
  • industryhacks
  • demandresponse
  • Energy
  • Cleantech
  • MISO
  • MostCheese
  • Women
  • PJM
  • internationalwomensday
  • smartgrid
  • ISO-NE
  • Energy Efficiency
  • PeakSaver
  • Transmission Line Losses
  • Series B
  • SPP
  • NYISO
  • VoltApp
  • IESO
  • Ontario
  • GrossUp
  • Distribution Line Losses
  • Operating Reserves
  • suncast
  • STEM
  • DR
  • Illinois
  • Illinois Power Agency
  • SB2814
  • EnerNOC
  • CPower
  • CAISO
  • ENEL
  • TEPCO
  • KEPCO
  • Software
  • Savings
  • Energy Intelligence Software
  • People
  • Cloud
  • Internet-of-Things
  • Technology
  • podcast
  • myclimatechange
  • climatechange
  • energymarket
  • Michigan
  • MPSC
  • LMR
  • Global Adjustment
  • 2020
  • new year's resolution
  • COVID-19
  • Corona Virus
  • Cape Light Compact
  • New England
  • remotebydesign
  • Juneteenth
  • FERC Order 2222
  • More Markets
  • More Megawatts
  • Economic Demand Response
  • Veterans Day
  • Mission Driven
  • Capacity Auction
  • Polar Vortex
  • Electric Vehicles
  • Technology Release
  • Sales
  • Happiness
  • Productivity
  • Culture
  • Email
  • Twitter
  • LinkedIn
  • YouTube

Copyright © 2021 Voltus. All rights reserved.

Website by Imagebox