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File #: 0224-2020    Version: 1
Type: Ordinance Status: Passed
File created: 1/14/2020 In control: Public Utilities Committee
On agenda: 2/3/2020 Final action: 2/5/2020
Title: To authorize the Director of Public Utilities to enter into a multi-year Demand Response Services Agreement with NRG Curtailment Solutions, Inc. for demand response services for the Division of Power's retail electricity customers, including Department of Public Utilities facilities, and to declare an emergency.
Attachments: 1. 0224-2020 Info Form, 2. 0224-2020 NRG Enrollment Form
Explanation
This legislation authorizes the Director of Public Utilities to enter into a multi-year Demand Response Services Agreement with NRG Curtailment Solutions, Inc. (the “Agreement”). Under the Agreement, NRG Curtailment Solutions, Inc. will provide demand response services under the PJM emergency load response program for Division of Power retail customers including Department of Public Utilities facilities. The Agreement covers the period from June 1, 2020 through May 31, 2023, with the option of two renewals of 12 months each, at the sole discretion of the Department of Public Utilities (DPU).

Under the Agreement, DPU agrees to enroll in NRG Curtailment Solutions, Inc. (NRGCS) PowerPay! Program(s) and authorizes NRGCS to be its exclusive demand response provider for all applicable demand response-related programs offered with PJM relating to energy, capacity, and ancillary services. The curtailment services, referred to as "demand responses services," are a planned reduction in electricity use during times of high demand that help maintain electric grid reliability by reducing the stress on the grid system. This demand response activity helps reduce wholesale electricity prices and reduce electricity usage to address environmental concerns.

The demand response services generate revenue for the Department of Public Utilities, and participating Division of Power retail electricity customers can similarly receive performance payments from NRGCS if they choose to participate in the demand response program.

Based on the energy curtailment performance of the Department's water and wastewater facilities in 2019, estimated revenue for the Department from 2020 activities could be approximately $450,000.00 for the year. No funding is required for these services.
SUPPLIER: NRG Curtailment Solutions, Inc. / Contract Compliance No.: 41-1724239 / MAJ / Expires 11/20/2021
The company is not debarred according to the Excluded Party Listing System of the Feder...

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