JOINT WORKSHOP ON MULTIPLE-USE APPLICATIONS

AMS’S 50 MW FLEET FOR SO. CAL EDISON MULTIPLE USE CASE #5: BEHIND- THE-METER DISTRIBUTED ENERGY RESOURCES PROVIDING SERVICES TO END-USE CUSTOMERS, THE DISTRIBUTION GRID AND THE CAISO MARKET AMS PROJECT 250 KW / 1,500 KWH INSTALLATION

MULTIPLE USE | UTILITY, CUSTOMER AND GRID VALUE

KEY POINTS  CLARITY & CONSISTENCY: INTERCONNECTION, METERING, TELEMETRY AND GENERAL MARKET RULES  URGENCY: THESE PROJECTS ARE ONLINE NOW!  ERR ON THE SIDE OF INNOVATION:  PARTICIPATION IN MULTIPLE PROGRAMS  KEEP THINGS SIMPLE

RECOMMENDATIONS  CONTINUE TO DEVELOP AND REFINE MEASUREMENT RULES  OPEN MORE OF MARKET FOR PDR (REGULATION SERVICES)  RECOGNIZE VALUE OF BTM RESOURCES ON DISTRIBUTION GRID  IDENTIFY USES THAT ARE COMPLIMENTARY / IN CONFLICT - BREAK DOWN BARRIERS  FURTHER EXPLORE:  WHOLESALE AND RETAIL MARKET PARTICIPATION  OTHER VALUES STORAGE CAN PROVIDE (LOCATIONAL VALUE, CVR)

APPENDIX

BATTERY METER MEASURES PERFORMANCE OF FIRM & DISPATCHABLE RESOURCE ‣ BASELINES FOR DR TRIES TO GUESS THE COUNTERFACTUAL OR ALTERNATE UNIVERSE. THEY ARE “GOOD” FOR LOADS BECAUSE THEY ESTIMATE “NORMAL” LOAD PATTERNS ‣ A COUNTERFACTUAL FOR ENERGY STORAGE BEHAVIOR IS A MYTH. WITHOUT DUAL USE, THE STORAGE SYSTEM WOULD NEVER BE INSTALLED ‣ WHEN METERING IS AVAILABLE, PRIOR ACTIVITY OF AN ENERGY STORAGE FACILITIY SHOULD NOT BE USED FOR PERFORMANCE EVLAUTION ‣ DON’T GUESS THE COUNTERFACTUAL IF WE DON’T NEED TO

DEMAND REDUCTION ‣ UNIT CAN SUPPLY 8 UNITS OF ENERGY ‣ RAMP IS “FAST”, I.E. CAN DELIVER ALL 8 UNITS IN ONE HOUR IF NECESSARY ‣ CHARGING IS PERFORMED DURING OFF- HOURS, AND NOT CONSIDERED IN ANALYSIS ‣ “NORMAL” OPERATIONS ASSUMES PEAK- SHAVING ‣ BATTERY IS USED TO SHAVE 8 UNITS OF ENERGY OVER 4 HOURS ‣ PEAK IS REDUCED FROM 9 TO 6

MARKET DISPATCH ‣ ASSUME NOW THAT RESOURCE MAY NOW BE CALLED FOR REDUCTION EITHER BY AN ISO OR A DISTRIBUTION OPERATOR ‣ THE RESOURCE IS ENROLLED TO PROVIDE THE FULL RANGE OF REDUCTION, IN THIS CASE 8 UNITS OF ENERGY ‣ BATTERY IS CALLED TO REDUCE DURING A 3 HOUR WINDOW ‣ 8 UNITS OF ENERGY ARE CONTRIBUTED (MEASURED VIA METER) ‣ NOTE THAT PEAK LOAD IS UNCHANGED DISPATCH WINDOW

DEMAND REDUCTION & DISPATCH ‣ STORAGE OPERATOR MIGHT DECIDE TO NOT PROVIDE FULL REDUCTION AS CALLED, IN ORDER TO PERFORM SOME PEARK REDUCTION ‣ THE RESULTING PROFILE WILL SHOW LESS PEAK REDUCTION BUT ALSO SOME DR, NEITHER OF WHICH SHOW THE FULL BENEFIT OF THE PREVIOUS SCENARIOS ‣ BATTERY TO CALLED TO REDUCE DURING A 3 HOUR WINDOW ‣ 5 UNITS OF DEMAND REDUCTION SUPPLED (AS OPPOSED TO 8) ‣ PEAK REDUCED TO 7 (AS OPPOSED TO 6) DISPATCH WINDOW

DISPATCH PERFORMANCE USING METER PEAK LOAD VIA IOU METER DAY 1 = 6 UNITS DAY 2 = 9 UNITS DAY 3 = 7 UNITS DAY 1 DAY 2 DISPATCH DAY 3 DISPATCH DISPATCH PERFORMANCE CAN BE MEASURED DIRECTLY: DAY 1 = NOT APPLICABLE DAY 2 = FULL REDUCTION (8 ENERGY UNITS) DAY 3 = PARTIAL REDUCTION (5 ENERGY UNITS)

DISPATCH PERFORMANCE USING BASELINE DAY 2  ACTUAL REDUCTION IS THE FULL AMOUNT (8 ENERGY UNITS)  BUT THE BASELINE, DAY 1 IS THE SELECTED BASELINE DAY, AND THE CALCULATED REDUCTION WILL BE ONLY 5 ENERGY UNITS DAY 1 DAY 2: DISPATCHDAY 3: DISPATCH DAY 3  ACTUAL REDUCTION IS 5 ENERGY UNITS, A PARTIAL REDUCTION  USING THE BASELINE, DAY 1 IS AGAIN THE SELECTED BASELINE DAY, AND THE CALCULATED REDUCTION WILL BE ONLY 2 ENERGY UNITS

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