Demand Bidding Program (DBP)
The Demand Bidding Program (DBP) pays you an incentive to reduce your electric load when notified of a demand response event day by PG&E. This is a relatively low-risk demand response program that allows you to submit load reduction bids for a DBP event, which can be called on a day-ahead or day-of basis. For any event, you may elect to submit or not submit a bid. If you submit a bid, you can still choose to forgo reducing your electric load without penalty.
- For day-ahead events, you will receive an event notice by noon on the business day before the planned event. You will have until 3 p.m. that day to submit bids via InterAct, PG&E's Internet-based en
- For day-of events, you will have one hour after receiving the event notice to submit bids via InterAct. PG&E will notify participants of bid acceptance within 15 minutes of the bid acceptance window closing.
- If you already have accepted bids for a day-ahead event when a day-of event is issued, you may: 1) increase your bids for those hours that the day-ahead event and day-of event coincide; or 2) submit new bids for those hours in the day-of event that were not part of the day-ahead event. If no adjustments to the bid are made, your bid will be automatically transferred to the day-of event and will be paid the higher incentive price.
- Your bid must be for a minimum of two consecutive hours within the planned event window and must meet a minimum reduction of 50 kilowatts (kW) each hour.
On the day of the event, you should execute your specific load reduction steps. Having a completed Event Day Action Plan gives you a tool for event day execution, and for sharing with others to help manage your facility’s energy use. On the day after the event, check your event day load reduction performance using InterAct.
Incentive payments for load reduction achievement start at 50 percent of bids and cap at 150 percent for any hour of the event. There is no penalty for not achieving load reductions. The incentive cap for day-ahead events is 200 percent of your accepted bid for any hour of the event. Your regular electric service bills will continue to be calculated each month based on your actual recorded monthly demands and energy usage. Your incentive payment will be applied to your bill within three months after the event month.
- If your bid is accepted, you will receive a credit equal to the qualified load reductions you achieve for each hour of the event, multiplied by the applicable incentive rate. The incentive rate is $0.50/kW per hour for day-ahead events and $0.60/kW per hour for day-of events.
- Your hour-by-hour load reduction will be determined as the difference between a baseline and your actual electric usage during the event. The baseline is determined by calculating the energy usage of the prior 10 days to the curtailment event day. The previous 10 days will include Monday through Friday and exclude PG&E holidays and event days.
- You also have an option to elect a “day-of adjustment” to this baseline. The day-of adjustment allows an adjustment to the baseline (up or down) based on you energy usage the morning of the event. The day-of adjustment is based on the first three of the four hours prior to the event and is capped at +/- 20 percent. For the current year, you must make a one-time election. Beginning May 1, 2011, you may elect the day-of adjustment option each time you submit a bid.
Enroll by submitting an application using PG&E’s online enrollment system. Gather a recent PG&E bill for your account and meter numbers, which are used to access the enrollment system. You can also use the enrollment system to manage and track your application.
To qualify for DBP, you must meet all of the following requirements:
- You take electric service as a PG&E bundled-service customer. You may also be eligible as a Direct Access or Community Choice Aggregation customer.
- Your electric service is billed on a demand time-of-use electric rate schedule. Schedules AG-V, AG-R, and S are not eligible for this program.
- Your electric Service Agreement had a billed maximum demand of 200 kW or greater during any one of the past 12 billing months.*
- You must have access to e-mail, the Internet and an alphanumeric pager or cell phone capable of receiving text messages.
- You cannot be a participant in PG&E's Capacity Bidding Program (CBP), the California ISO's Participating Load Program, any PG&E sponsored non-tariff Demand Response program, or any other pay-for-performance program.
*Service Agreements less than 200 kW may be enrolled as part of an aggregated group provided that at least one Service Agreement in the group has had a billed maximum demand of at least 200 kW within the past 12 months, and each Service Agreement in the group takes service from PG&E under the same federal tax identification number.
- Your facility must have an electric interval meter that can be read remotely by PG&E.
- If your facility does not have an electric interval meter that can be read remotely by PG&E, we may be able to install one, provided your billed maximum demand is over 200 kW (or 50 kW per site for an aggregated group), you are a bundled service or Community Choice Aggregation customer, and you agree to remain in the Demand Bidding Program for at least one full year.
- If you are a Direct Access customer and your facility does not have an electric interval meter that can be read remotely by PG&E, please contact your electric service provider to make special arrangements with PG&E.
Customers who participate in DBP may also be eligible for participation in additional PG&E Demand Response programs. For details review the Dual Participation fact sheet.
For more information about how your business may benefit from the Demand Bidding Program and our other Demand Response programs, contact your PG&E Account Representative or call our Business Customer Service Center at 1-800-468-4743.
Please review the Demand Bidding Program tariff for a full description of the program.