embracing and thriving in a distributed energy future
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Embracing and Thriving in a Distributed Energy Future Obadiah Bartholomy May 5 th , 2017 Business of Local Energy Symposium Powering forward. Together. The Big Picture Challenges Opportunities Building and transportation Flat or


  1. Embracing and Thriving in a Distributed Energy Future Obadiah Bartholomy May 5 th , 2017 Business of Local Energy Symposium Powering forward. Together.

  2. The Big Picture Challenges Opportunities • Building and transportation • Flat or declining load growth electrification that grow load while • Uncertainty regarding future business decarbonizing the energy system model and revenue generation • Business Model innovation to create new • Advancements in emerging technologies revenue opportunities that are becoming exceedingly more • New cost-effective technologies to price competitive enable the transactive grid of the future • Increasing regulatory pressure for a • Use regulatory support for DERs to distributed, efficient energy future improve grid reliability at lower cost • Rising customer expectations and • Strengthen our customer relationships competition threatening customer by advising and providing them with relationship intelligent solutions 5/5/2017 2 Business of Local Energy Symposium

  3. DER Strategic Outcomes The DER Strategy paves the way forward for SMUD to successfully deliver future value to our customers and community, in alignment with our corporate values and business model. Provide Be Preferred Reduce Contribute to Extends Outstanding Energy Services Pressure on Regional Carbon Access for All Reliability & Provider/Advisor Rates Reduction Customers Power Quality $ Engages Promotes grid Enables all Creates new customers with reliability and Delivers SMUD’s customers to value streams new products, power quality share of a low share in the while reducing services, and through the carbon energy value that more commodity costs advice to help strategic future and long-term DERs on the grid them reach their deployment of grid investments would yield energy goals DERs 5/5/2017 3 Business of Local Energy Symposium

  4. Focal Points for DER Strategy SolarShares for Free fuel for 2 years Fuel Switching Pilots Homes & Promotion for: Businesses Heat Pump Water Heaters Workplace & 2 programs Multifamily Charger All Electric New launched, 3 offerings Incentive offerings Homes, and under development Commercial Building retrofits DCFC ‘Safety Net’ Scaling from 11 MW Network Incentives in 2016 to goal of Pay for Performance 100 MW by 2020 Efficiency Programs 9/14/15 4

  5. Integrating with the Grid Distribution Management System (DMS) & Distributed Energy Resource Management System (DERMS) • Operations Visibility, forecasting, and dispatch of DERs to enhance grid reliability under high levels of DER adoption DER Planning Tool – Customer Adoption Model • Forecasted Customer-level adoption of combinations of DERS under various potential future rate structures • Allow tighter planning for optimizing capital investments and getting rate structures and location-based incentives right 10/18/2016 5 Strategic Development Committee

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