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Evaluating the Revenue Impacts of Customer-Sited Renewable Generation Using Load Research Data

Pacific Gas and Electric Company (PG&E) recently applied Demand-Side Management (DSM) concepts to solar photovoltaic (PV) technology to develop the concept of photovoltaics as a Demand-Side Management option (PV DSM). This paper evaluates the ability of a hypothetical PV DSM installation on PG&E's Research and Development office building to reduce building energy and demand requirements. The analysis is based on a year's worth of measured load data and simulated PV output data (PV data are simulated using measured weather data). Results show that PV DSM has the potential to be an effective DSM tool. BACKGROUND Financial pressures and environmental concerns associated with traditional electric utility practices are encouraging utilities to satisfy customer demand using innovative approaches. One approach is to reduce demand using Demand-Side Management (DSM) programs. Several utilities have determined that this approach is cost-effective and have implemented aggressive DSM programs. Another approach is to satisfy increased demand using renewable energy sources. One promising renewable energy technology is photovoltaics (PV). Few utilities, however, have any grid-connected PV plants because this approach is not currently cost- effective.