Con Edison Member Spotlight



Con Edison provides electricity to 3.4 million customers in the five boroughs of New York City and Westchester County, NY. In order to maintain its industry-leading reliable service, Con Edison is pursuing multiple efforts to modernize its infrastructure, increase efficiency, and reduce electricity demand.

Con Edison offers a variety of incentives to its customers for efficiency and demand reduction measures.Customers can save money by using the company’s incentives to upgradelighting and other equipment.  For large commercial and industrial customers, Con Edison will pay up to half the cost of ASHRAE level 3 studies to evaluate energy use and recommend ways to increase efficiency. For more information on the company’s energy efficiency programs, go to: http://www.coned.com/energyefficiency/

Con Edison has two demand response programs for customers who agree to temporarily reduce electric usage when requested by the utility.  The 2 Hour or Less Notification Program (Distribution Load Relief Program) provides load relief during electric system conditions.

The 21 Hour Notification Program (Commercial System Relief Program)provides load relief on the hottest days.Customers participating in both programs can earn up to $500,000 over a three-year period for every megawatt of load relief provided. For information on the company’s demand response programs, go to: http://www.coned.com/energyefficiency/demand_management_incentives.asp.

Con Edison’s Demand Relief Programs are all customer sited.  Committed peak demand reductions are measured and verified when the projects are completed.  The utility gathers information on continued reductions throughout the summer from control systems in place on specific projects and uses the information to forecast future demand for electricity.

This is important for planning infrastructure investments.  Ratepayers fund these investments and the company looks for ways to manage peak demand and avoid or defer investments when it can.

A significant issue that Con Edison faces is the potential closure of the Indian Point Energy Center in 2016.  As a result, Con Edison and the New York State Energy and Research Development Authority (NYSERDA) are seeking to reduce peak demand by 125 MW through demand management.  ConEdison and NYSERDA have dramatically increased the available incentives for various types of demand management technologies.

Energy storage is an important part of this program.  By storing energy at times when demand for electricity is lower and then using it during peak demand periods, customers can reduce stress on the system, thereby increasing system reliability.  By reducing their energy usage at times of peak demand,  customers also reduce their costs.  All parties benefit.

The ConEdison/NYSERDA program is available to Con Edison electric customers and third-party developers acting on behalf of building owners and building managers for projects that can be completed prior to June 1, 2016.  There are separate incentives for thermal storage and for battery storage.  Thermal storage incentives are set at $2,600/kW and battery storage at $2,100/kW.  Both technologies previously had incentive levels at $600/kW.

A proposed project or portfolio of projects must have a combined peak demand reduction of 50kW or greater.  This peak demand reduction is defined as the system-coincident peak demand reduction that occurs between 2 p.m. and 6 p.m., Monday through Friday, from June 1 through September 30, excluding legal holidays. For information on Con Edison’s demand management incentives, go to: http://www.coned.com/energyefficiency/demand_management_incentives.asp

Con Edison has also put in place a separate demand management program in parts of Brooklyn and Queens where demand for electricity is growing quickly.  It is working with customers to help them reduce their usage and battery storage is one of the options the program covers.  When the NYS Public Service Commission approved this program in December, the commission stated that Con Edison would be able to own grid-sided energy storage.

At a time when the electricity grid is undergoing evolutionary and sometimes revolutionary changes, Con Edison is embracing new technologies and methods such as energy storage to provide high-quality, reliable electrical service to its customers.