Recently, Dayton Power & Light (DP&L) launched a CHP-specific incentive under the electric utility’s custom rebate program, per the policy established by Governor Kasich’s 21st Century Energy Initiative (Ohio Senate Bill 315). This presentation features DP&L energy efficiency program staff who provide details on the program incentive that is available to customers of Dayton Power & Light. Additionally, facilitators of the Ohio Coalition for Combined Heat and Power provide a state policy update.
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New Incentives for Combined Heat and Power
1. Webinar Agenda:
1. Welcome & Background
2. Dayton Power & Light CHP Program
3. Q & A
4. Ohio Policy Update
June 24, 2015
2. Trish Demeter – Ohio Environmental
Council, Facilitator of Ohio Coalition for
CHP
Stefanie Campbell, Nick Redlin and Lyle
Garrison – Dayton Power & Light (DP&L)
3. Governor Kasich’s 21st Century Energy
Initiative, enacted in 2012
Allowed Combined Heat and Power (CHP)
and Waste Energy Recovery (WER) to
qualify as energy efficiency resources under
state efficiency standard (EERS)
DP&L is first utility to launch CHP-specific
incentive
4. Ohio Senate Bill 310 suspended efficiency
% benchmarks, but utilities could choose
to continue offering current programs
“Energy Mandates” Study Committee
Report Due September 30, 2015
Legislation expected to be enacted before
end of 2016
5. DP&L Energy Efficiency Programs
The Dayton Power & Light Company
Stefanie Campbell, Energy Efficiency Manager
Lyle Garrison, Program Manager
Nicholas Redlin, Program Manager
6. 6www.dpandl.com
SB221: Investor owned utilities required to meet efficiency goals
• Reduce energy 22% by 2025
SB310: Efficiency goals “frozen” for two years. Utilities given a choice:
• Continue existing portfolio plan, with no modifications, through 2016
• File an amended plan, subject to PUCO approval
DP&L chose to continue our existing portfolio plan
• More certainty for DP&L, our partners and our customers
• Continue to assess changing landscape
DP&L Energy Efficiency Goals
9. 9www.dpandl.com
• Per SB 310 (SB 315)
“For the purposes of waste energy recovery or combined heat and power
systems, an electric distribution utility shall not apply more than the total
annual percentage of the electric distribution utility’s industrial-customer
load, relative to the electric distribution utility’s total load, to the annual
energy savings requirement.”
• Total retail sales 13,829,968 MWh
• Industrial makes up 25.2% of total
• Energy Savings Requirement is 1% Annually
DP&L CHP Limit
Total Retail
Sales
13,829,968 MWh
Energy Savings
Requirement (1%)
138,230 MWh
CHP Limit
(25.2% Ind load)
34,851 MWh
~4 MW
annual
capacity
11. 11www.dpandl.com
• Custom Rebate Program
• $0.08 per kWh Generated
• kWh rebate paid at 6 and 12 months after completion
• $100 per kW Capacity
• kW rebate paid at project completion
• Limited to 50% of project cost
• Rebates will be capped at $500,000 per account
• Rebate incentive is paid to the customer
• For projects over 500 kW, DP&L will work with
customers to determine custom incentive structure
CHP Incentive Structure
12. 12www.dpandl.com
CHP Incentive Requirements
• Apply through Custom Program
• “Other” technologies
• Pre-Approval is required
• Must be installed in the DP&L territory
• Overall system efficiency must meet or exceed
70% LHV
• Must be a 7 year or less simple payback
13. 13www.dpandl.com
DP&L Energy Audit Program provides up to $10,000 to subsidize the cost
of a CHP Feasibility Study to encourage the implementation of CHP projects.
Feasibility Study
Rebate to Follow the Business
Audit Program
• DP&L will reimburse 50% up front after
the study is completed
• The remaining 50% will be reimbursed
when the CHP project is implemented
15. 15www.dpandl.com
• Interconnection: physical connection of the Applicant’s
facilities to the Company’s distribution system
• Application (DPandL.com/environment)
• Engineering review for safety & reliability, as well as
customer needs (i.e., usage)
• Technical requirements
• Reviewed within 30 days
• Nominal fee
Interconnection Process at DP&L
16. 16www.dpandl.com
Interconnection Process
1. APPLICATION
• Typically approved within 30 days
• Equipment installation should follow approval
2. AGREEMENT
• Formal agreement to document interconnection
3. NET METER
• Utility installs net meter to accurately measure energy used as
well as excess energy put back on the grid.
17. 17www.dpandl.com
• Net Metering is the difference between energy used and
excess electricity generated that is put back on the grid
• Offset part or all of their “electricity needs”
• Billing based on net usage in the month
• Qualifying installations include renewable or advanced
technology (incl. micro-turbines)
What is Net Metering?
18. 18www.dpandl.com
Stefanie Campbell
Manager EE Programs
937-331-4770
Stefanie.campbell@aes.com
Lyle Garrison
EE Program Manager
937-331-4028
Lyle.garrison@aes.com
Nicholas Redlin
EE Program Manager
937-331-4104
Nicholas.redlin@aes.com
Contact Information
Application includes single line diagram, equipment specs, and any other pertinent information to understand the generation and flow of electricity.
Engineering reliability review includes capacity on the circuit (rules = less than 15% of total circuit peak load) and check that equipment meets certain specifications.
Interconnection fees:
<50 KW $66/hr (~1/2 hour typically)
50 KW – 2 MW $50 app fee + $1/KW
>2 MW $50 app fee + $2/KW
Law says: Utility must provide credit for their portion of bill
CRES provider may provide credit
VERY IMPORTANTANT to talk to your supplier when planning your project