CALIFORNIA ENERGY COMMISSION 1 Demand Response Research Center Research Opportunity Notice February 2, 2007 Mary Ann Piette Research Director, DRRC Rick

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CALIFORNIA ENERGY COMMISSION

Demand Response Research CenterResearch Opportunity Notice

February 2, 2007

Mary Ann Piette

Research Director, DRRC

Rick Diamond

Coordinator, Behavioral R&D, DRRC

“Understanding Customer Behavior to Improve Demand Response Delivery

in California”

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Demand Response Research Center

Research Opportunity Notice February 2, 2007 - 10 am until noon (PST)

Mary Ann Piette and Rick Diamond

Webcast over WebExhttp://www.mymeetings.com/nc/join.php?i=441137777&p=12341234&t=c

1. Preferred Browser: Internet Explorer

2. Download of WebEx Client Required (You will be prompted after clicking on the url; takes up to 2 minutes, join early to initialize participation)

3. Meeting Number: 441137777

4. Passcode: 12341234

5. Host: Mary Ann Piette

Dial-In Numbers for Audio

1. Leader: Mary Ann Piette

2. USA Toll Free Number: 888-577-8991

3. USA Toll Number: +1-210-234-0016

4. PASSCODE: 42313

5. Call Notes: *6 Mutes and Un-Mutes Your Phone Line

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Purpose of Teleconference Provide overview and details of PIER’s

Demand Response Research Center’s Research Opportunity Notice #3

Answer questions

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Agenda

1. DRRC Overview - Mary Ann Piette

2. RON #3 Content & Process - Rick Diamond

3. Questions and Answers - Piette and Diamond

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Demand Response Definition Demand Response (DR) is the action taken

to reduce load when: Contingencies (emergencies & congestion) occur

that threaten supply-demand balance, and/or Market conditions occur that raise supply costs

DR typically involves peak-load reductions DR strategies are different from energy efficiency,

i.e., transient vs. permanent

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DRRC

Funded by California Energy Commission Public Interest Energy Research Program (PIER)

Managed by Lawrence Berkeley National Laboratory

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What Are We Trying to Achieve?• Joint proceeding – CEC and CPUC (R.02-06-001)

Early goal for price sensitive DR: 5% of peak by 2007Residential Default CPPSmall Commercial (< 200 kW) Default CPPMedium Commercial (< 999 kW) Default CPPLarge C&I (> 1 MW) 2-part RTP

• IOU business plans for Automated Meter Infrastructure• Long term success DR as business as usual• Research needs

DR value, potential, technologies, programs, policies How much DR do we need? Relation between price response

and reliability?

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Demand Response Research Center

Objective

Scope

Method

Stakeholders

To develop, prioritize, conduct, and disseminate multi-institutional research to facilitate DR

Technologies, policies, programs, strategies and practices, emphasizing a market connection

Partners Planning Committee, Annual R&D Plan

State Policy Makers Researchers Information and Metering

System Developers Aggregators Program Implementers

Utilities Industry Trade Associations Building Owners / Operators Building Equipment

Manufacturers End-Use customers

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Why Behavior?

Demand Response is a behaviorally driven system--even auto DR

In understanding behavior, the “why and the how” is as important as understanding the “who and the what”

Focus for this RON is on customer behavior

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What is Behavioral R&D on DR?

Research that builds a basis of fundamental knowledge of the ways in which personal factors, e.g., values, attitudes, and contextual factors, e.g., economic costs, policies, etc., combine to influence consumer decision making to participate in DR programs.

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Topic Areas

1. Residential Customers

2. Small Commercial Customers

3. Large Commercial

4. Industrial Customers

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Example R&D Questions

1. Why are consumers motivated to pursue demand response: price, comfort, habit, inertia, altruism, environmental concerns, economic gain, economic loss, or something else?

2. What type of information and feedback will customers respond to, and why?

3. How willing are customers to allow technologies to act for them?

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5-Step RON Process1. Proposers submit “Intent to Respond”2. Proposers submit 4-page “Pre-proposals”3. DRRC reviews Pre-proposals and notifies

selected respondents to proceed with full proposals

4. Proposers submit full proposals5. Technical Advisory Group reviews proposals,

forwards recommendations to DRRC and CEC for consideration for award.

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RON-3 Schedule

1. Announce RON & RON Webcast date January 19, 20072. Hold Webcast February 2, 20073. Notice of Intent to Respond due to DRRC February 9, 20074. Close Question and Answer Period, respond to Q&A

from bidders, post answers to DRRC websiteFebruary 16, 2007

5. Request for Information (RFI), i.e., 4-page “pre-proposals” due to DRRC

February 21, 2007

6. Notif y bidders and request Full Proposals March 12, 20077. Full Proposals due to DRRC April 3, 20078. Announce awardees April 24, 20079. Issue Awards, initiate research May 24, 200710. Interim presentation of research to DRRC, TAG and

others at workshopNovember 10, 2007

11. Research reports completed and posted on DRRCwebsite

November 21, 2008

12. Research results presented at stakeholder workshop December 5, 2008

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RON-3 Documents on DRRC Web Site

Research Opportunity Notice (DRRC RON – 03):

Understanding Customer Behavior to Improve Demand Response Delivery in California

Research Opportunity Notice (DRRC RON – 03):

Process Description & Schedule

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Your Questions?

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Contact Informationdrrc.lbl.gov

Mary Ann Piette [email protected] (510) 486-6286

Rick Diamond [email protected] (510) 486-4459

Nance Matson [email protected] (510) 486-7328