First small scale demand side projects providing frequency regulation in PJM


Andrew L. Ott,
PJM Senior VP –
Market Services
Valley Forge, PA, U.S.A. — (METERING.COM) — November 23, 2011 – The first frequency regulation services from small scale demand resources have been received by PJM Interconnection under new rules allowing smaller projects to participate in the company’s regulation market.

The demand resource provider Enbala Power Networks, is using two western Pennsylvania projects utilizing diverse technologies. In one, the company is using water pumps at a wastewater treatment facility in Washington County, adjusting the water pumps up or down to match PJM’s regulation signal. The other project from Viridity Energy uses building load and a behind-the-meter battery in New Castle, with a battery that responds to the PJM signal – either charging or discharging as appropriate.
“We’ve long seen the value of demand side resources in our markets, so expanding the opportunities for demand response to participate in the regulation service market makes sense and offers a faster and potentially more accurate response,” said Andrew L. Ott, PJM senior vice president – Market Services. “Our new minimum level for participation allows demand side resources and other innovative technologies to cost-effectively enhance grid reliability.”
Regulation service corrects for short term changes in electricity use that might affect the stability of the power system. It helps match generation and load and adjusts generation output to maintain the desired frequency. Previously, system operators have relied on flexible generating resources to vary output to balance system frequency.
In October, a rule change was approved by the Federal Energy Regulatory Commission (FERC) reducing the minimum required amount of resources to 100 kW, from the previous minimum of 500 kW. Also, Enbala was recently approved by the FERC to participate in U.S. wholesale electricity markets.

PJM Interconnection’s regulation market is the largest integrated electricity market in the world, covering all or part of 13 states and the District of Columbia.