Item 2: Austin Energy Resiliency as a Service Program Development — original pdf

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Item 2 Program Development Update: Resiliency as a Service (RaaS) Erika Bierschbach VP, Energy Market Operations & Resource Planning July 18, 2022 © 2018 Austin Energy Agenda • Background • Program Overview • Questions/Comments 2 Groceries, Storms & Legislative Response • Grocery stores and Enchanted Rock • Grocery stores like HEB partner with Generation Companies installing distributed generation facilities on customer’s side of meters for back up generation (250 kW to 10 MW) • Provides protection from hurricanes, storms and other outages • Generation Companies operate the generators and sell into the ERCOT market • Grocery stores with backup generators maintained power throughout the storm • Winter Storm Uri • Legislation – SB 398 • Allows groceries / food supply chain to contract with Generation Company to install backup generation and access wholesale market in NOIE service territories. • NOIEs have right of first refusal to buy the gen or act as QSE • Bill requires NOIEs to allow interconnection and provide access to transmission system on a nondiscriminatory basis and process DG Interconnection applications timely 3 On-Site Generation Resiliency Model (Behind the Meter SODG or Unregistered DG, <10 MW) Critical Load Host Customer Resiliency & Price Protection Utility Generation Company Relationship & Asset Management 4 Program Benefits Host Customer • Improved reliability & resiliency • Business continuity; no lost product/spoilage • Affordable cost for back up generation • No Customer O&M AE Customer Portfolio: Tangible • Load Price Protection • Hedge Value • 4CP reduction AE Customer Portfolio: Intangible • Load Zone Price Separation Mitigation • Community Resiliency & Safety • Customer satisfaction & relationship • Transparency in emissions and starts Utility • Meet Customer reliability needs and desires • Flexible, local, real physical option • Hedge/reduce costs 5 Key Take Away’s • This program is about providing resiliency and safety for our customers and community • Our customers are demanding this program AND we are required to facilitate this by SB398 • These distributed generation facilities will be installed with or without the RaaS program • Under the program these assets will run for ~10% or less annually • Natural gas is a bridge fuel; the next step is folding in Solar + Storage • RaaS passes the reliability and cost savings benefits to AE customers that would not otherwise be captured 6 Thank you! ©2018 Austin Energy. All rights reserved. Austin Energy and the Austin Energy logo and combinations thereof are trademarks of Austin Energy, the electric department of the City of Austin, Texas. Other names are for informational purposes only and may be trademarks of their respective owners.