ERCOT procures Emergency Response Service (ERS) by selecting qualified loads and generators (including aggregations of loads and generators) to make themselves available for deployment in an electric grid emergency. ERS is a valuable emergency service designed to decrease the likelihood of the need for firm load Shedding (a/k/a rolling blackouts). Customers meeting ERS criteria may offer to provide the service through their Qualified Scheduling Entities (QSE).
Demand Response (DR)
- DR is a service utilized by ERCOT to reduce the likelihood of rolling blackouts during grid emergencies. ERCOT uses forecasted operating reserves, load, and upcoming outage information to help determine the need for additional resources.
- Demand Response is a service provided by customers willing to adjust a portion or all of their electric load in exchange for a payment.
- It is an additional emergency tool for RTO operators to reduce the likelihood of rolling blackouts during grid emergencies.
- Prior to the beginning of an ERS year, which begins in February and ends in January of the following year, ERCOT establishes an “Offer Cap” for ERS.
- ERCOT evaluates each hour and period, and determines whether or not it is at High, Medium, or Low risk for emergency capacity.
- ERCOT uses forecasted operating reserves, load, and upcoming outage information to help determine the need for additional resources.
- There are three separate bid periods and procurement is via an auction and through qualified ERS entities.
All loads in ERCOT can participate, but must:
- Have an IDR Meter, or an AMS meter.
- Capability to reduce load by at least 100 kW (in aggregate or as a single site).
- Have their load evaluated and approved via the ERCOT “ERID Submission Process” prior to participating.
- Participate through a qualified ERS QSE.
- 10 min ERS: Requires the ability for a customer to respond and shed load within 10 minutes of receiving notification.
- 30 min ERS: Requires the ability for a customer to respond and shed load within 30 minutes of receiving notification
On-going Requirements & Management
- Submit 3 times/year
- Annual Testing
- Perform During Events
- Collect Payments
Payment for Participation
- Payments are made every four months.
- Customers are paid for remaining on stand-by.
- Reduces the wholesale cost of electricity by stabilizing the grid and bridging capacity requirements.
Penalties for Non-Performance
- Evolve Reliability Services QSE absorbs risk for non-performance.
- No out-of-pocket cost to customers- you simply miss the opportunity to capture DR revenue.
- Can be suspended for continued under-performance.
Qualification and Strategy
- Evolve Reliability Services ensures the submission process is complete.
- Works with ERCOT to resolve any issues that may cause a failure to register.
- Load Analysis
- Baseline Optimization
- Aggressive Yet Practical
- Joint Commitment to Success
- ERS 30 Minute - ERCOT sends notification 30 minutes in advance of event.
- ERS 10 Minute - ERCOT sends notification 10 minutes in advance of event.
- Evolve Reliability Services immediately sends notification (text, phone, and email) to start AND when to stop shedding load.
DEMAND RESPONSE DASHBOARD
In addition to manual notification, Evolve Reliability Services provides Auction Management via a user portal as well as test tracking and performance.