The approval will allow the utility to deploy the projects in 2016 and 2017 to help its consumers in the Los Angeles area to reduce their power consumption to ensure grid reliability.
The development is one of the state’s measures to avoid power outages following the closure of the Aliso Canyon gas plant as a result of a leakage.
The Aliso Canyon provided gas-to-power plants supplying up to 70% of energy used by 11 million consumers in Los Angeles.
The approval of the budget allows SCE to spend $2,8 million to deliver its 2016 DR programme Summer Discount Plan.
[quote] The power utility is aiming to register 1 million participants in the project which involves the disconnection of consumer’s HVAC systems from the grid during peak events.
In 2017, the power utility plans to use $3,2 million to have more than 1,6 million consumers enroll in its Summer Discount Plan.
In addition, SCE will be awarded $1,65 million to provide $75 rebates to its 28,000 customers who will enroll in the Direct Load Control (DLC) programme.
The DLC demand response initiative will see consumers purchasing programmable communicating thermostats to lower power usage during times when demand is heavy.
The utilities commission will provide SCE with an additional $3 million to purchase electricity saved from various DR measures under the demand response auction mechanism instead of generating the energy.
Demand response in North America
The news follows a February's announcement by the Hawaiian Electric Company (HECO) that it entered into partnership with global distributed energy solutions provider Greenlots for the rollout of a demand response pilot.
In a press statement, HECO said the collaboration aims to test electric vehicle (EV) charging and energy storage interoperability.
Under the project, Greenlots agreed to provide its vehicle-grid integration technology ‘SKY Smart Charging’ for integration with an EV charger owned by the power utility in West Oahu, Hawaii.
HECO said the project, falling under the Hawaiian Electric Power Research institute, aims to increase adoption of EVs through establishment of adequate supporting infrastructure and technologies. [US utility signs AutoGrid to improve demand response].
Jim Alberts, Hawaiian Electric senior vice president for customer service said: "With our state's 100-percent renewable portfolio goals, we are working to support the build out of electric vehicle charging infrastructure to provide EV drivers with range confidence."
The integration will allow storage of power generated from renewable sources during off-peak periods, for utilisation during peak use times.
Image credit: abc7