Demand Energy announces project milestone

Demand Energy's DEN.OS software platform is helping New York buildings to benefit from the state's demand management programme. Pic: Demand Energy.

Demand Energy’s DEN.OS software platform is helping New York buildings to benefit from the state’s demand management programme. Pic: Demand Energy.


By Jason Deign

Demand Energy last week announced completion of the first five energy storage projects in New York’s Demand Management Program (DMP).

One of the five 100kW, 400kWh behind-the-meter energy storage systems installed in five separate Glenwood properties across Manhattan has already passed measurement and verification (M&V) testing.

M&V certification is currently underway with the other four projects within the DMP, which is managed by utility Consolidated Edison (Con Ed) along with the New York State Energy Research and Development Authority (NYSERDA).

The aggregated behind-the-meter systems, with batteries from EnerSys, are powered by storage system developer Demand Energy’s Distributed Energy Network Optimization System (DEN.OS).

“We have been working during the off-peak season to install and interconnect the next four systems which make up the first 2MWh of installations for Glenwood,” said Shane Johnson, vice president of client services.

Operating storage systems for four years

“We have been operating distributed energy storage systems for Glenwood over the last four years.”

Demand Energy’s software platform, DEN.OS, “can aggregate a mixture of distributed renewable energy systems to respond to Con Ed’s localised peak problems and allow Glenwood to respond to a variety of load conditions and the demanding requirements of the New York energy market,” he said.

To qualify for the DMP incentive program, Demand Energy had to demonstrate that its first battery energy storage system could deliver four hours of continuous output, from 2pm to 6pm, for a period of four weeks.

Demand Energy’s storage system cut loads at Glenwood’s Paramount Tower by 100kW continuously during the period covered during tests validated by NYSERDA’s independent contractor, Energy Resource Consulting.

Upon completion of this phase, the Paramount Tower system was moved into operation immediately to take advantage of the DMP operational season, which lasts from the beginning of summer until September 30.

Delivering demand charge reduction

Beyond this time, Glenwood is free to switch operating modes and move into delivering demand charge reduction and other load management operations during the off-peak season.

“At Glenwood we have always believed that we need to do our part and support load reduction on the grid during the critical summer power season,” said Josh London, vice president of management for Glenwood, in a press release.

“With the flexibility of Demand Energy’s system, we can participate in the summer DMP program and then use the energy storage system to reduce our demand charges during the off season.”

This “provides added stability to the local operating grid by flattening our building’s load,” he commented.

The remaining four systems started measurement and verification testing at the beginning of this month. The tests will be completed next week. Demand Energy is due to install another five systems for Glenwood over the summer.

Energy storage enrolled in the DMP

When completed, Glenwood, one of New York City’s largest owners and builders of luxury rental apartments, will have 1MW and 4MWh of aggregated behind-the-meter energy storage enrolled in the DMP.

The New York DMP was designed to deploy verifiable load reduction during the summer load season.

In particular, it aims to help reduce stress on the distribution grid within New York City for four hours during the weekday peak hours between 2pm and 6pm.

The New York energy grid can be strained during peak hours to a level of stress that can cause system disruption in the five boroughs of New York City.

All electric grids need to match load with supply in order to maintain stability, and the New York City region experiences peak loads that can vary by 2GW for a short duration of time during the summer air conditioning season.

The impact of Hurricane Sandy

Grid resilience is a big deal for the state following the impact of Hurricane Sandy in 2012.

Since then New York has been free of extreme weather but global warming has observers on tenterhooks ahead of a possible grid-stressing event this summer.

“We are fully behind the efforts being made by Con Ed and NYSERDA to improve the resilience of New York’s grid in the face of extreme weather conditions and load growth that could stress the grid,” said London.

“We see the DMP as a significant step in averting grid incidents in the event of a heat wave, which fortunately has not hit the city in the last two years but could well arise this summer.”


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