Direct Energy Business
Market Data For Your Home Contact Us

Direct Energy Business launches PJM peak demand probability alert service

read | Share:

Direct Energy Business now offers an email alert service in the PJM region as part of a new pilot program for 2013. This free service includes email notifications throughout the summer months that will alert customers if a particular day shows medium or high probability of being one of PJM’s coincident peak days. Additionally, customers can look at additional data that provides the details behind why the probability is medium or high. The alerts will also reiterate why curtailing on a high-probability day is important.

Peak load does matter. In PJM, data from the five peak demand days, as selected by the Independent System Operator (ISO), determines a business’ peak load contribution (PLC), also known as a capacity tag for invoicing purposes. If customers can be forewarned of when these five days might occur, they have the opportunity, if they choose, to attempt to curtail or otherwise lower their demand during on-peak hours. Peak demand is measured based on the five peak demand days. Factors such as weather and monitoring PJM’s grid demand reports and forecasts, allow Direct Energy Business to provide customers with a probability of how likely it would be for PJM to call a coincident peak day on a particular day in the summer.

Meanwhile, PJM West capacity rates are increasing significantly on June 1, 2014. Why does this matter now? This means that the only way to lessen the costs they pay for capacity is to lower their PLC for next year — which will be determined on the five peak demand days this summer.

Direct Energy Business customers/prospects always have the opportunity to work with their assigned portfolio strategist or to engage the company’s 360Direct team if they need more specific guidance and consultation on how to reduce their peak load or how and when to curtail during high-probability peak demand days.

Posted: June 06, 2013