Client
Long Island Power Authority/ South Fork Peak Savers
Title
South Fork Non Wires Alternative Program
Challenge & Opportunity
Challenges
- Area peak load problem: growth rate growing at twice the rate of the rest of service territory.
- Limited transmission supply and retiring regional generation.
- Goal is to offset/postpone the need for conventional and expensive T&D infrastructure reinforcement.
- New York State Regulators mandate the consideration of Non-Wire Alternative (NWA) solutions to solve peak electric demand challenges.
- 8.2 MW Peak Demand solution must be in place within 30 months.
- Performance Based contract.
Barriers to Entry
- Access to customers – 50% of the homes are 2nd homeowners/seasonal use and rentals.
- More than 75% of electric peak demand is residential.
- Goal is to offset/postpone the need for conventional and expensive T&D infrastructure reinforcement.
- Required strong brand recognition.
- High concentration of $1 million plus home values.
Solutions
Develop a brand that has broad community support and emphasizes the benefits that NWA type projects provide to both residents (lower bills, environmental benefits) and the utility (less T&D capex). Extensive outreach resulted in working relationships with municipal governments, community and environmental groups all of whom helped promote the program.
Specific technology solutions included
Partnered with OEM’s and local contractors to provide free smart thermostats and incentives to customers in exchange for peak load control during times of critical peak demand.
- Channels
- BYOT rebates
- Direct install program with free thermostats
- Contractor driven incentive/referral program
- Energy Efficiency
- Free Commercial LED lighting upgrades
- HVAC rebates
- Variable Speed Pool pump rebates
- Commercial Customer Sited Generation
- Utilize customer-sited generation during critical peak demand
Customers driven by differing wants –Program interaction had to be fast and extremely easy to navigate; rebates had to be of sufficient value to motivate; messaging had to be clear that these measures would result in both environmental and financial benefits.
Key Insights
In less than two years, AEG developed a brand, “South Fork Peak Savers” and was able to deliver 10MW of peak load reduction exceeding the 8.2MW goal. The brand became a trusted source that was highly visible in the community and supports the sustainability efforts of the municipalities in the region.
