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Demand Management Frequently Asked Questions

  1. Why are the new demand management incentives available?
  2. Who can receive the incentives?
  3. What are the eligibility requirements for a project?
  4. What is the difference between the demand management incentives and the existing Energy Efficiency Programs (EEPS) incentives?
  5. Can a customer receive incentives from both programs?
  6. Why do these projects require measurement and verification?
  7. Who incurs the cost of measurement and verification?
  8. Can a third party project developer receive the incentive?

1. Why are the new demand management incentives available?

New York State has recognized the significant reliability needs which could occur if the Indian Point Energy Center was retired. These incentives are available to help achieve 125 MW of permanent peak-coincident electric load reductions by June 1, 2016.

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2. Who can receive the incentives?

Building owners and building managers who are Con Edison electric customers and third-party developers acting on behalf of the building owners are to receive the incentives.

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3. What are the eligibility requirements for a project?

A project or project portfolio must have a combined peak demand reduction of 50kW or greater in order to qualify. For third-party applicants that aggregate projects across a portfolio of customers, each facility within the portfolio must reduce a minimum of 10 kW peak demand. Eligible measures will include thermal storage, battery storage, demand response enablement, building management systems, chiller/heating ventilation and air conditioning, lighting, and fuel switching. All baseline conditions must be verified by a pre-installation inspection, at minimum. Approved projects must be installed and operational by June 1, 2016.

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4. What is the difference between the demand management incentives and the existing Energy Efficiency Programs (EEPS) incentives?

The demand management incentives are for eligible measures that achieve a minimum 50 kW reduction during the prescribed time period Monday – Friday, 2-6 p.m., for the months of June through September. The existing energy efficiency programs incentives are determined by kWh savings at any time of the day.

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5. Can a customer receive incentives from both programs?

Yes. After an applicant satisfies the demand management incentive eligibility requirements and EEPS program requirements, the applicants will receive both incentives.

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6. Why do these projects require measurement and verification?

Measurement and verification (M&V) is required to verify the demand savings for the project. M & V can also accurately assess the energy savings for the project, validate equipment performance, and can help the customer improve operations and maintenance.

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7. Who incurs the cost of measurement and verification?

The costs of measurement and verification will be incurred by Con Edison or NYSERDA.

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8. Can a third-party project developer receive the incentive?

A third-party developer can receive the incentive on behalf of the account holder, with the account holder’s signed permission.

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Last Updated: 09/30/2014