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www.peakload.org
Operationalizing a Customer-Driven DSM Portfolio at Entergy
Lessons from the Grid Edge
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Overview of Entergy Corporation
• 30,000 MW electric generating capacity
• 2.9 million utility customers
• More than $10 billion annual revenues
• 13,000+ employees
Retail-Regulated Utilities
• 5 public utilities
• 4 contiguous states – AR, LA, MS, and TX
• 15,700 miles of high-voltage transmission
• 100,000+ miles of distribution
• ~200,000 natural gas customers in LA
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The Traditional Retail-Regulated Utility
(Prudent) CapEx Investment in:
…delivers a regulatorily-approved construct in which Utilities charge “just and reasonable rates” and provide system reliability (SAIDI, SAIFI, CAIFI, etc.), safety, and power quality
OpEx investment in cost-effectivecustomer programs and projects that deliver “win-win” customer and system benefits
Traditional Retail-Regulated Utility
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A Framework for the Evaluation of Customer-Driven Energy Resources
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Potential Business Model ImplicationsFurther emphasizing the customer domain introduces a number of changes to the traditional DSM business model, including:
• Uncapped enrollment, which drives: • Capitalization of customer driven OpEx through new recovery
models• Contemporaneous recovery in forward looking ratemaking• True-up to FRP (formula rate plan) or rider process
• Push towards Portfolio (vs Program) level cost effectiveness
• A renewed emphasis on Customer Experience (vs. Contract Management), which drives:
• A push to develop internal capabilities (CapEx) for program management
• Focus on Transactional CSAT/NPS; customer satisfaction drives Resource Availability
• Potential for below-the-line revenue development for value-added services, in compliance with Affiliate rules.
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Geographic Adoption
• Once we can identify customers as likely adopters, we can:
• Map to Zip+4• Identify customers on particular feeders using each
adoption scenario
• This information can be helpful to understand locational benefits plus understand any potential clustering that may occur
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Engineering for the Customer Lifecycle
Engagement Enrollment Operation Un-enrollment
Billing Dispatch
Customer Lifecycle
Support
Know where new products will be and plan
for it.
Sign customers up for new programs
How do customer enrollment rates effect
current load shape?
How are these products utilized and how is customer billed? How do we provide continual
support for customer?• Interconnection studies• DER and Interconnection
design• Field/Design Engineering
• System impact studies• Hosting capacity studies• Distribution Planning
• Field Engineering• DOC/TOC• AMI
EM&V
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Customer Product Engineering Workflows
Foundational Process Design &
Standardization
Interconnection Process
Technical Specifications and Standards:
• Product level requirements (DR, Inverter, Battery, PV, BuG, EV, etc.)
• Design Templates & Standards:• Physical layout• Electrical Schematic• Settings• List of Materials
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New Tools & Analytics for CPE• New technologies means new tools and methods of analysis• New tools are being developed that can capture changing load shapes due to customer offerings and forecasted adoption rates, hosting capacity of
distribution feeders for new DER’s, and allow customers a user friendly application process.• These new tools and analysis can affect how the Entergy Operating Companies plan and design their systems.
DER Cost-Effectiveness / Propensity / Geospatial Analysis
• Engineering analysis including load flow, short circuit, and protection
• Identify grid needs• Understand Grid Impacts of DER
Penetration/Adoption• Risk analysis• Coordinate with T&D Planning
Distribution Planning Tool: Synergi
• Based on customer adoption/propensity research • Historical and real-time data• Build load profiles, create forecast, and develop
planning scenarios • Estimate cost-effectiveness / value of DER (based on
type and location)
Customer DER Valuation Tool:LoadSEER
• Generate DER Hosting Capacity• Prioritize grid and DER activities• Perform locational net benefit analysis• Develop traditional or alternative
solutions
Together
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(Illustrative) Comprehensive DSM Program
• Dispatchable EE programs aligned with DR availability
“Peak Event Notification” = voluntary behavioral
DR program offered
through CEP.
• Backup Generation• DER Product Portfolio
• NWA – targeted Aggregator solutions
• Mass Market Residential and SMB• Mass Market C&I
Centralized Dispatch: “Co-optimized against Utility and Customer use cases.”
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Lessons & Takeaways- Standardize! ….but recognize the unique conditions and commitments
in each Regulatory jurisdiction
- Customer Experience comes first, whether internally or externally managed.
- This is an enterprise change management exercise. Increasing focus on operational value and customer satisfaction touches virtually every business unit within a vertically integrated utility:
- Accounting- Billing- Customer Service- IT- Market Operations- Planning- Regulatory
- This is a marathon. Plan accordingly.
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Thank You!
WE ARE THE CUBE
Dean ChuangSolutions Manager, DR & HA
[email protected]://www.linkedin.com/in/deanchuang
Matt CroucherDirector, Enterprise Analytics
[email protected]://www.linkedin.com/in/matthew-croucher-06850b6b
John BoudreauxDER Engineering
[email protected]://www.linkedin.com/in/john-boudreaux-11252694