AES Indiana — Advanced Energy Management Alliance — Reg A Offering (May 2019)
14 slides from AES Indiana's offering presentation, May 14, 2019
Slide 1: Advanced Energy Management Alliance: Leveraging Utility-Aggregator Partnership Models
Advanced Energy Management Alliance Leveraging Utility-Aggregator Partnership Models May 14, 2019 IPL IRP Public Advisory Meeting #3 1
Slide 2: Advanced Energy Management Alliance
Advanced Energy Management Alliance Empowering consumers through distributed energy resources, including demand response and advanced energy management We are providers and consumers united to overcome barriers to nationwide use of distributed energy resources. We advocate for and educate on policie
Slide 3: AEMA Members
AEMA Members* Alcoa Jennings Strouss CPower Energy Mgmt NRG Direct Energy NRStor C&I Eckert Seamans Roden Energy Solutions Ecobee Smart Energy Water Enel X Stem EnergyHub Tesla Great Circle Solar Viridity Energy Google/Nest Walmart Gowling WLG Whisker Labs IPKeys Icetec Itron *This presentation repr
Slide 4: Opportunities for MISO States
Opportunities for MISO States • Throughout MISO, there is either less DR than cost-effective market potential, or when there is existing DR, it is often not leveraged to its full potential. • Price signals for capacity do not exist, limiting the ability for new DR to provide capacity even when it is
Slide 5: Whitepaper Addresses These Challenges
Whitepaper Addresses These Challenges Download link here
Slide 6: Benefits of Demand Response
Benefits of Demand Response ~$800M in Strong projected net performance benefits in IN/MI Lower energy Reliability and during severe from C&I over 10 bills resiliency weather events years* Avoids long- Tens of millions Increased term risks to in annual economic Risk mitigation consumers + payments to
Slide 7: Benefits of 3rd Party DR Providers
Benefits of 3rd Party DR Providers • Significant private capital investments in advanced technology that provides real-time resource visibility; supplements utility capabilities while being efficient with ratepayer dollars. • Expertise in discovering and maximizing customer flexibility; harness pote
Slide 8: Facilitating Demand Response Participation
Facilitating Demand Response Participation • Indiana’s existing ARC ban does not need to be overturned in order to leverage benefits of 3rd party DR providers; Indiana utilities are doing this today. • Goal should be to develop a model that maximizes reliable, cost- effective customer participation
Slide 9: How have MISO states addressed ARC participation for regulated utilities?
How have MISO states addressed ARC participation for regulated utilities? In the last year, multiple states have encouraged/directed utilities to work with 3rd Party DR Providers, without overturning state bans on ARCs: • Missouri PSC: • Louisiana PSC: “Authorizing unregulated ARCs to take control “
Slide 10: Goal should be to maximize cost-effective DR participation to drive system-wide savings
Goal should be to maximize cost-effective DR participation to drive system-wide savings • Utilities can leverage benefits of 3rd party DR Providers to maximize participation while retaining planning control, insight, and jurisdiction over their customers. • Two different models: – Indiana-style tari
Slide 11: Appendix
APPENDIX advanced energy management alliance
Slide 12: Potential Models: I&M Tariff in Indiana
Potential Models: I&M Tariff in Indiana • Tariff allows qualified DR providers to recruit C&I customers to participate in wholesale capacity program, but enrollment must happen through utility; • Enables I&M to account for DR in their system planning and exercise control, while leveraging capabiliti
Slide 13: Potential Models: Bilateral contracts
Potential Models: Bilateral contracts • Competitively solicit for DR resources through 3rd party service providers to drive competitive outcomes; • Can contract for DR capacity to meet wholesale (e.g., MISO capacity credit) and retail (e.g., peak shaving) needs; • Utility receives full oversight of
Slide 14: Questions?
Questions? To learn more about Advanced Energy Management Alliance, visit our website. www.aem-alliance.org 14
Advanced Energy Management Alliance — Reg A Offering (May 2019) on 6ix