Re Electricity Costs: How Savvy Building Owners Can SAVE (If They Understand the Restructuring Power Industry)

Abstract

This article discusses the physical capabilities the building
equipment must have in order to participate in real-time energy and
reliability service markets. It also discusses the decision process the
building operator will want to go through to minimize its energy
costs, considering all of its options and costs. Since energy and con-
tingency reserve prices are volatile, building owners and operators
will want to move between these markets dynamically. It is likely
that the decision process, while remaining under the building opera-
tors control, can be automated.
Similarly, the requirements for price disclosure, communications,
aggregation, monitoring, and certification on the bulk power system
side are discussed. Finally, we discuss how the entire system could
operate to the benefit of both the building owner and the power sys-
tem.