1 Load Forecast and Scenarios David Bailey Customer Energy
& Forecasting Manager Soyean Kim Rate Design Manager
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LTERP Forecast 3 step process: Base Forecast As used for the
2016 PBR Update Provides a common starting point Monte Carlo
Business as usual but incorporates recent volatility for several
measures Scenarios All the new factors not part of business as
usual 2
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STEP 1: BASE FORECAST 3 All information presented is before
incremental DSM and other savings
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2016 Load Forecast by Rate Group (GWh) 4
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2016 Customers by Rate Group 5
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Wholesale Customers Load % 6
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7 Annual Load Forecast
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2016 Peak Demand Forecast 8
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STEP 2: MONTE CARLO 9 All information presented is before
incremental DSM and other savings
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Long-Term Load Forecast Applies to the business as usual
scenario Large degree of uncertainty inherent in the long term
forecast Rapidly changing market conditions and technology options
introduce additional uncertainty Monte Carlo simulation allows a
quantitative assessment of the long term uncertainty Upper range
(P90) tied to 90% probability Lower range (P10) tied to 10%
probability 10
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Monte Carlo Process 1.Identify major influencing factors
2.Assign probability distribution 3.Apply random sampling using
@Risk 11
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Major Influencing Factors In the model as random variables:
Population GDP Weather 12
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Residential Forecast Probability Distribution 13 Uncertainty
increases with time
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Annual Gross Load Forecast 14 Maximum range from base is +/-5%
Biggest uncertainty from Industrial, then Wholesale Commercial
forecast to be most stable Residential variation +/-6% Commercial
+/- 4% Wholesale +/- 13% Industrial +/- 24%
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Peak Forecast 15
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STEP 3: SCENARIOS 16
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Scenarios We will add scenarios to the Monte Carlo (MC) results
Some future scenarios will increase load and some will reduce load
Additions will be added to the high MC case while deductions will
be removed from the low MC case Hybrid scenarios (eg. some EV and
some DG) will land somewhere in the middle 17
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18 High Load Forecast Scenario Continued low DG growth High EV
growth FBC promotes charging stations and EV range improves Higher
gasoline prices High gas-to-electricity switching (e.g. gas to
ASHP) Government policy focused on environment, electrification and
GHG emission reductions with higher carbon tax and subsidies for
green technologies like EV Natural gas rates rise more than
electricity rates (partially due to increasing carbon tax) driving
fuel switching High climate change scenario
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19 Low Load Forecast Scenario High DG growth (includes rooftop
solar, wind, home batteries, CHP) Low EV growth due to other
technology like fuel cell vehicles and low gasoline prices Low
gas-to-electricity switching Government policy less focused on
environment so no increases to carbon tax and no subsidies for
green technology Government policies favour positive role for
natural gas in BC for domestic use Natural gas rates remain low
relative to electricity rates Low climate change scenario
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20 Questions? Feedback on scenarios?
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21 Backup Slides
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22 Definitions Load the annual load measured in GWh Demand the
peak measured in MW MWh A typical single family home uses 12 MWh
per year. A typical restaurant uses 65 MWh per year A typical 24 hr
convenience store uses 200-300 MWh per year A typical grocery store
uses 1,200 MWh per year GWh 1,000 MWh Larger industrial/commercial
customers typically use over 10 GWh A large shopping mall can use
10 GWh A large hospital can use 20 GWh PV Photovoltaic or solar
panel DG Distributed generation EV Electric Vehicle Monte Carlo - A
modeling technique that uses experienced volatility in different
measures to forecast future volatility. ASHP Air source heat pumps
CHP Combined heat and power
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Electrical End Use Shares of Annual KWh Consumption FBC
(Direct) Residential Customers 23
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Base Methodology Overview Load ClassCustomersUPCLoad% of Total
ResidentialBC STATS regression 3 year average of normalized actuals
Calculated UPC X Customers 39.4% CommercialCBOC GDP regression
Calculated Load/Customers Regression using CBOC GDP forecast 22.8%
WholesaleSurvey28.1% IndustrialSurvey + Sector GDP 9.1%
LightingTrend Analysis0.4% Irrigation5 Year Average1.2%
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Residential UPC 25 Before-savings forecast Forecast
Methodology: 3-year average of normalized loads
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Residential Customer Count 26 Forecast Forecast Methodology: BC
stats regression