Since demand response programs compensate commercial and industrial (C&I) energy consumers for their ability to remove electric load from the grid when needed, backup generators play an extremely valuable role.
C&I energy consumers can only participate in demand response as long as it does not conflict with operations in their facilities. While some can participate by shutting off nonessential equipment or scheduling their operations strategically, others are not able to remove significant electric load from the grid through these practices. That’s why backup generators are so valuable, providing a way for large facilities to remove electric demand from the grid without shutting down equipment.
However, many of these organizations miss out on this opportunity due to three common challenges:
Regulatory: Backup generators need to meet strict regulatory standards to qualify for demand response. For those that do not, costly equipment upgrades are the only way to qualify.
Capacity: If a generator does not support a significant amount of electric load, the facility may need to invest in wiring upgrades to increase the capacity that can be enrolled in a demand response program through the use of a generator.
Operational: Depending on the control system or transfer switch equipment, the facility may encounter a brief blip in power service when transferring electric load onto a generator. For some facilities, even a brief interruption in power service may negate the value of participating in the program.
While equipment upgrades could resolve all of these challenges, few C&I energy consumers have the capital to cover the costs of these upgrades or the internal resources to implement them.
On Wednesday, June 5, Energy Manager Today is hosting a live, 30-minute webinar that will discuss the financing options to help C&I energy users comply with regulatory standards to qualify for demand response, increase a generator’s connected load, and implement new equipment to ensure a seamless transition onto generator power—all at no upfront cost for the participant.
Learn more about financing backup generator upgrades through demand response with this whitepaper