SCE Dynamic Rate Pilot Demonstration
In response to Gov. Newsom’s emergency proclamation to ‘ensure the reliability of electrical service during extreme weather events,” the California Public Utility Commission (CPUC) authorized SCE to demonstrate how the CPUC led UNIDE framework (linked below), using TeMix Incorporated’s Software-as-a-Service (SaaS) solution can meet the needs of the proclamation.
The CPUC intends to conduct comprehensive studies across multiple use-cases and assess how the UNIDE framework using a two-part tariff, known as the Subscription Transactive Tariff (STT), will impact infrastructure, electrical device manufacturers’ interests, and customers while meeting the goal of Gov. Newsom’s order. The decision instructs SCE to administer this demonstration under SCE’s Demand Response Emerging Technologies (DRET) program.
CPUC Decision D.21-12-015 (issued December 6, 2021)
Directs California’s Major Investor-Owned Electrical Utilities: Pacific Gas and Electric Company, Southern California Edison Company, and San Diego Gas and Electric Company, to take action to prepare for potential extreme weather in the summers of 2022 and 2023.
SCE is encouraged to enroll residential, commercial, and industrial customers in this exciting demonstration. SCE will work through reputable Automation Service Providers (ASPs) with existing relationships with these customer types and previously installed automation software or hardware at these customers’ dwellings to streamline customers’ involvement.
This demonstration will utilize the STT and a given ASPs’ solution to connect customers’ devices and systems to TeMix’s SaaS.
Upon entering the demonstration, each customer will be provided a tailored subscription for their monthly electricity use; based on an analysis of their historical usage. Then, throughout the pilot, via their ASP, the customer will receive highly-dynamic energy rates; that reflect grid conditions and be able to make either buy or sell transaction leveraging this subscription to better meet their operational needs against the needs of the local grid conditions.
The pilot is authorized for three years
(2022-2024), starting no later than May 1, 2022, and may be permanently extended after the initial period pending approval by the CPUC.
Billing and Incentive Payment
Per D.21-12-015, the CPUC encouraged SCE to use a “shadow bill” to limit any impact on customers. At the same time, incentivize customers for their participation in the demonstration. The decision sets out terms that allow SCE to compare the shadow bill against the customer’s normally calculated bill and provide an incentive payment if the difference favors the customer.
SCE will utilize TeMix’s SaaS to calculate the Shadow Bill (subscription minus the net of all transactions within the billing cycle) and then use a customers’ ASP to provide any incentive payment directly to the customer.
NOTE: If the difference between the normal bill and “shadow bill” is not in the customer’s favor, the customer will not be required to pay the difference.
D.12-21-015 required SCE to submit a Tier 2
Advice Letter no later than 30 days after the decision’s issue date that
includes, but is not limited to, the following elements: (1) pilot scope, (2)
pilot partners, (3) shadow bill implementation, (4) pilot dates, and (5) pilot
tariff design. Attached here for ease of access:
CPUC Decision 21-12-015 (issued December 6, 2021)
Phase 2 decision directing Pacific Gas and Electric Company, Southern California Edison Company and San Diego Gas and Electric Company to take actions to prepare for potential extreme weather in the summers of 2022 and 2023.
SCE’s Advice Letter (filed January 5, 2022)
SCE’s Supplemental Advice Letter (filed April 25, 2022)
CPUC Approval of SCE’s Advice Letters 4684-E and AL 4684-E-A (received April 29, 2022)
Explore documents related to UNIDE and the RATES Pilot
- Complete and Low-Cost Retail Automated Transactive Energy System (RATES) – Emerging Markets & Technologies (dret-ca.com)
- RATES – Universal Devices – The Most Powerful Automation, Energy Management, and IoT Platform (uniR22-07-005 Flexibility OIR 7-14-22versal-devices.com)
- CEC Phase 1 RATES Report
- CPUC Order Instituting Rulemaking to Advance Demand Flexibility Through Electric Rates – R.22-07-005
- TLM Research – Emerging Markets & Technologies (dret-ca.com)
- RTO Insider Article: Talking to Alexa, Transactive Energy Markets are coming
- CPUC Extreme Weather Event Reliable Electric Service, Rulemaking 20-11-003, Summer 2021: TeMix Opening Testimony Phase 2
- Energy Division Staff Concept Paper Proposals for Summer 2022 and 2023 Reliability Enhancement