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Presented By Steve Sunderhauf July 14, 2009

National Town Meeting on Demand Response Focus on Pepco’s Washington, DC Residential Smart Meter Pilot Program. Presented By Steve Sunderhauf July 14, 2009. Pepco’s Washington, DC Residential Smart Meter Pilot Program SMPPI SITES. Pepco’s Washington, DC Residential Smart Meter Pilot Program.

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Presented By Steve Sunderhauf July 14, 2009

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  1. National Town Meeting on Demand ResponseFocus on Pepco’s Washington, DC Residential Smart Meter Pilot Program Presented By Steve Sunderhauf July 14, 2009

  2. Pepco’s Washington, DC Residential Smart Meter Pilot ProgramSMPPI SITES

  3. Pepco’s Washington, DC Residential Smart Meter Pilot Program • The number of participants by rate type:

  4. Pepco’s Washington, DC Residential Smart Meter Pilot ProgramCRITICAL PEAK PRICING • Critical Peak Prices • 15 Days per Year/60 Hours • 12 Summer (June – Oct.) Days/3 Winter (Nov. – Apr.) Days • 4 Hours Per Day • Summer CPP Rates • Critical Peak: $0.75 per kWh, 2 pm – 6 pm • Non-Peak: $0.10 per kWh • Winter CPP Rates • Critical Peak: $0.70 kWh, 6 am – 8 am and 6 pm to 8 pm • Non-Peak: $0.09

  5. Pepco’s Washington, DC Residential Smart Meter Pilot Program There were 12 critical peak days called in Summer 2008, with 5 called in August. On critical peak pricing days, customers see higher prices from 2 pm to 6 pm. For all other hours, customers enjoyed a rate discounted by 5.5% from the regular summer residential rate.

  6. Pepco’s Washington, DC Residential Smart Meter Pilot Program There were 3 critical peak days called in winter 2008-2009, with 2 in January. On critical peak pricing days, customers see higher prices from 6 am to 8 am and 6 pm to 8 pm. For all other hours, customers enjoyed a rate discounted by 8.9% from the regular winter residential energy rate.

  7. Pepco’s Washington, DC Residential Smart Meter Pilot ProgramCRITICAL PEAK REBATES • Rebates for Load Reductions During Critical Peak Hours • Summer (June – Oct.): $0.66 per kWh Reduced • Winter (Nov. – May): $0.36 per kWh • Differences by Specific Residential Rates • Individual Customer Baseline Consumption Used to Calculate kWh Reductions • CBL Determined by Averaging Hourly Consumption Over 3 Separate High Use Days of the Billing Month • Low Income Customers Restricted to CPR

  8. Pepco’s Washington, DC Residential Smart Meter Pilot Program Customers earn a rebate for energy 'not used' during the critical peak hours in comparison to other similar days in the billing period. For kWh they do use, they pay the regular price. There were 12 critical peak days called in Summer 2008, with 5 called in August. The critical peak hours are the same as for the Critical Peak Pricing rate (2 pm to 6 pm) – only on Critical peak days.

  9. Pepco’s Washington, DC Residential Smart Meter Pilot ProgramSMPPI SAMPLE RESULTS

  10. Pepco’s Washington, DC Residential Smart Meter Pilot Program Customers earn a rebate for energy 'not used' during the critical peak hours in comparison to other similar days in the billing period. For kWh they do use, they pay the regular price. There were 3 critical peak days called in winter 2008-2009, with 2 in January. The critical peak hours are the same as for the Critical Peak pricing rate (6 – 8 am & 6 to 8 pm) – only on critical peak days.

  11. Pepco’s Washington, DC Residential Smart Meter Pilot ProgramDAY AHEAD HOURLY PRICING • Prices Derived From Day Ahead Hourly Pepco PJM Zonal Locational Marginal Wholesale Energy Prices • Multipliers Used to Accentuate Price Signal • 111 Percent Multiplier for Hourly Prices that Exceed SOS Prices • If LMP > SOS Price Then HP Price = LMP x 1.11 • If LMP ≤ SOS Price Then HP Price = LMP • No Prices Set Below Zero • Rate Multipliers Reviewed Quarterly to Ensure Revenue Neutrality

  12. Pepco’s Washington, DC Residential Smart Meter Pilot Program For the average weekday in August, customers on the hourly price rate saw lower prices than customers on the regular rates most of their waking hours. Prices were higher in the afternoon and for one hour after dinner.

  13. Pepco’s Washington, DC Residential Smart Meter Pilot Program For the average weekday in January, customers on the hourly price rate saw lower prices than customers on the regular rates for the entire days.

  14. Pepco’s Washington, DC Residential Smart Meter Pilot ProgramLESSONS LEARNED • Simplify Pricing Calculations • Automate Bill Validation • Hourly kWh Should be Collected in 10 Watt Increments to Avoid Zero Intervals • Establish Detailed Processes for Handling Exceptions • Test Daylight Savings Changes • Avoid Scattered AMI Mesh Deployments

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