Commercial building demand response programme

TRANSPOWER NEW ZEALAND
LIMITED
Request for Proposal
2014 Demand Response Programme –
Commercial Buildings
Revision 5.0
(Registration Cycle 5)
RELEASE DATE: 1 FEBRUARY 2015
CLOSING DATE: 2PM 23 FEBRUARY 2015
RFP No: SUP-12150
© Transpower New Zealand Limited 2014.
All rights reserved.
2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
Overview
Key Information
Details
RFP title
2014 Demand Response Programme – Commercial
Buildings (Registration Cycle 4 – February 2015)
RFP number
SUP-12150
RFP type
Open
Summary
Transpower is seeking to contract up to 100 commercial
buildings to participate in a 6-9 month demand response
programme to test the capability of this target audience as a
demand response resource
Transpower contact for
questions
Trisha Shute
Tender Support Manager
Email: [email protected]
Registration Cycle 3 Closing
Time
23 February 2015 @ 2.00 PM
Respondent presentations
To be advised if required
RFP lodgement
Single copy in PDF format and editable Microsoft Word copy
by email
Expected outcome notification
date for initial registration
cycle
27 February 2015
Expected contract duration
March 2015 – June 2015 (inclusive), or as otherwise
negotiated
Registration Cycle 4 – February 2015
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2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
Contents
Overview ................................................................................................ 2
Contents ................................................................................................. 3
Section A: Services Required ................................................................. 4
1
2
3
4
Proposals sought ........................................................................... 4
Characteristics of DR providers ..................................................... 4
Terms and conditions of this RFP .................................................. 5
Need more help? ........................................................................... 6
Section B: Response Forms ................................................................... 7
Section C: Terms and Conditions of RFP ............................................. 17
Section D: Standard Contract ............................................................... 17
Registration Cycle 4 – February 2015
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2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
Section A: Services Required
1
Proposals sought
1.1
Through this Request for Proposal (RFP) we are seeking proposals from potential
providers of demand response (DR) to participate in our 2014 Demand Response
Programme – Commercial Buildings. This is a price responsive DR programme.
1.2
Our aim is to register up to 100 commercial buildings for the programme.
1.3
These commercial buildings can include, but are not limited to, office buildings,
hospitality, education, warehouses, retail, hospitals and/or data centres. Residential or
industrial buildings are not sought for this programme.
1.4
A commercial building owner can nominate one or more commercial buildings into the
programme, up to a maximum of 10 buildings or an aggregated total demand of 2.5MW
whichever is smaller. These buildings can be offered individually or grouped into a ‘DR
Block’ if they can be co-ordinated and offered as a single offer of demand response1.
However, all buildings contained in a DR Block must be connected to the same grid exit
point (GXP).
1.5
Each building must have peak demand characteristics specified in clause 4.1 below.
1.6
The maximum building and total MW restrictions still apply whether offered as separate
DR blocks containing a single building or multiple DR blocks with one or more buildings
in eachof between 20-500kW.
1.7
The DR programme will be co-ordinated through our Demand Response Management
System (DRMS).
1.8
Due to the large number of buildings sought there will be several Registration Cycles,
with all proposals received during a particular Registration Cycle evaluated at the end of
that Registration Cycle. The closing time for proposals for this, the fifth Registration
Cycle, is 2:00pm on Monday, 23rd February, 2015.
1.9
The Registration Cycles will continue until Transpower has contracted the maximum
number of buildings or until February 2015, whichever is sooner. The 2014 DR
programme will be run between October 2014 and June 2015, inclusive.
2
Characteristics of DR providers
2.1
We are seeking DR from commercial buildings with the following characteristics, which
are pre-requisites for being able to participate in the programme:
2.2
1
2.1.1
peak demand between 20-500 kW;
2.1.2
time of use electricity metering; and
2.1.3
a standby generator.
We prefer commercial buildings located in the Upper North Island (north of Huntly) or
the Upper South Island (north of Timaru). However, commercial buildings in other
geographic locations will also be considered.
DR Block which is a discrete and divisible unit of demand response nominated by the provider.
Registration Cycle 4 – February 2015
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2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
Figure 1: Upper North Island
(GXPs north of Huntly)
Figure 2: Upper South Island (GXPs north
of Timaru)
2.3
If potential providers have commercial arrangements with third parties (such as
aggregators) for the provision of DR, interruptible load or any other kind of demand side
service or obligation that might affect their ability to provide DR under this DR
programme, this must be identified in their proposal. Load cannot be simultaneously
committed to multiple demand side services or obligations. Potential providers can
determine this by contacting the aggregator, retailer or other third party they are
contracted to for assistance on this issue.
2.4
We do not require providers to be industry participants under the Electricity Industry
Participation Code 2010 (the Code). Potential providers who are participants are
reminded that their obligations under the Code will apply as well as their contractual
obligations to provide DR.
3
Terms and conditions of this RFP
3.1
A proposal must include the completed Response Forms in Section B of this RFP and
may include any other relevant information. We will rely on the information in proposals
to decide which DR to procure from which providers - the fees offered by a provider
(Form E) will be a significant factor in this decision.
3.2
The key dates for the RFP process and Registration Cycle 2 are set out in the table on
page 2 of this RFP. Indicative dates for subsequent Registration Cycles (if needed) are
in the following table:
Description
Start Date
Programme Registration Cycle 3 opens
End Date
01 October 2014
Registration Cycle 3 closes
2pm, Thursday 23
October 2014
Evaluation for Registration Cycle 3 &
successful registrations confirmed
31 October 2014
Programme Registration Cycle 4 - 5 opens
01 November 2014
(up to 100 buildings selected or last
Registration Cycle 4 – February 2015
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2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
Description
Start Date
registration round in February 2015)
End Date
01 February 2015
Registration Cycle 4 - 5 closes
24 November 2014
(up to 100 buildings selected or last
registration round in February 2015)
23 February 2015
Evaluation for Registration Cycle 4 - 5 &
successful registrations confirmed
28 November 2014
27 February 2015
3.3
The number of Registration Cycles offered is at our sole discretion and will be
determined relative to achieving the objectives of the programme. A potential provider
who is unsuccessful in a Registration Cycle may submit the same or a different proposal
in any later Registration Cycle.
3.4
A potential provider who submits a proposal does not have to participate in the DR
programme immediately. Potential providers must state in their proposals the
Availability Period(s) during which they will be able to participate. This allows time for
potential providers to establish the necessary systems and processes to provide DR.
3.5
The terms and conditions for the RFP process are at the link set out in Section C of this
RFP. Anyone who responds to this RFP, whether or not a potential provider, will be
deemed to have accepted the terms and conditions of the RFP.
3.6
The contract under which we will procure DR for this programme is at the link set out in
Section D – titled the Price Responsive Demand Response Grid Support Contract.
4
Need more help?
If you need assistance to complete the Request for Proposal Response Forms, please contact
us at [email protected] noting “2014 Demand Response Programme –
Commercial Buildings RFP (SUP-12150)” in the subject line.
All communications will be recorded in a communications log as part of the RFP documentation
requirements. Answers to all questions asked (that are not specific to a respondent’s
organisation) will be made available to all respondents through the notification process. This
information will be available at Transpower’s website at www.transpower.co.nz/demandresponse-programme-2014.
Questions can be posed at any time throughout the programme, except during the evaluation
period of each Registration Cycle.
We look forward to receiving your proposals. Proposals for Registration Cycle 5 must be
submitted by 2pm, Monday 23 February, 2015.
Registration Cycle 4 – February 2015
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2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
Section B: Response Forms
The Response Forms are:
Form A – Respondent Information
Form B – Subcontractors
Form C – Not applicable for this programme
From D – DR Blocks
Form E – DR Fees
Form F – Metering Equipment and Verification Methodology
All of the forms need to be completed and submitted as part of your proposal.
Some of the tables in the Response Forms will become schedules to any resulting contract for
DR. Those tables are identified as “For contract”.
Unless the context requires otherwise, capitalised terms in the Response Forms have the
meanings given to them in the Price Responsive Demand Response Grid Support Contract,
which is at the link set out in Section D.
Registration Cycle 4 – February 2015
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2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
Form A – Respondent Information
This form collects information and contact details for your company or organisation.
RESPONDENT INFORMATION
Name of Respondent
Where Respondent is
a partnership or joint
venture, list full names
of partners or joint
venture parties
Street Address
Postal Address
Contact Person
Telephone Number
Email address
GST Number
Signature
Name:
[Where the
Respondent is a
partnership or joint
venture, evidence of
signing authority is
attached]
Designation:
I confirm that I am a duly authorised representative of the Respondent
with authority to commit the Respondent to this Proposal.
Signature:
Date:
Registration Cycle 4 – February 2015
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2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
Form B – Subcontractors
If you intend to use other people to help you deliver the services you are offering as part of your
proposal, then their details must be recorded on this form. For example, if you are using someone to
provide you with metering information, this form must include the details of the company providing this
service. Similarly, if you are using someone to participate in the programme on your behalf, this form
must include the details of the company providing this service.
If you are not using another person to help deliver the services, then you do not need to complete this
form.
SUBCONTRACTORS
Subcontractor name
Contact person
Address
Telephone number
Email address
Services to be
provided by the
subcontractor
Registration Cycle 4 – February 2015
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2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
Form C – Not applicable for this porgramme
Registration Cycle 4 – February 2015
Page 10 of 17
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2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
Form D – DR Blocks
This form must be completed for each DR Block proposed. Please refer to our Guide to Demand
Response for further information to help you fill in this Form.
DR BLOCK INFORMATION (For Contract)
Block ID:
ICP (1)
Block demand
reponse capacity
(kW) (2)
Availability Period
Call Notice Period
Notes:
(1)
The Installation Control Point (or ICP number, found on your electricity bill) at which the Block
will be provided.
(2)
The expected ‘Block demand response capacity’ of the combined building in the DR Block must
be provided in kW. Where multiple buildings (ICPs) are included in a DR Block, all buildings
(ICPs) must be supplied from the same grid exit point. In addition, the block capacity for the DR
Block will be calculated as the sum of the capacities of the ICPs listed, unless otherwise
specified.
OTHER INFORMATION
If possible, please provide a sufficient level of information in the following table to assist Transpower in
evaluating your proposal.
OTHER INFORMATION
What is the standby generator’s capacity (name plate rating or operational output) for the DR Block in
kilowatts (kW) ?
Is the Block offered by the Respondent (directly or through a third party) for another demand side
service or obligation, such as interruptible load or local lines company direct control?
Yes / No / Don’t know
If yes and through a third party, please provide the name of the third party.
If yes, please specify how the dual obligations will be managed?
Registration Cycle 4 – February 2015
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2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
OTHER INFORMATION
Is the standby generator sized (in kW) for:

emergency purposes (e.g. to provide emergency lighting, lifts etc to enable occupants to vacate
the building safely) Yes / No

OR business continuity purposes (e.g. to supply the whole building’s requirements during a
power outage, including computers, lighting heating, lifts etc) Yes / No
Is the standby generator capacity greater than the total building demand?
Yes / No
If yes, does the generator inject the additional capacity into the local network?
Yes / No
If yes, do you have an existing contract with the local lines company and your retailer for this?
Yes / No / Don’t know
If no, will you configure the standby generator to meet the building’s demand or operate islanded?
When responding to a DR Call, do you intend to remain synchronised to the local network, or will you
operate islanded (i.e. transfer the demand to the generator and then disconnect from the network
supply)?
Note: There is no requirement for the standby generation to be able to export into the local network for
this DR programme. Where a commercial building has standby generation capability that is greater than
its demand, it must either have arrangements in place with the local lines company to inject into the
network; or operate to match generation to the building’s demand and not export, or it must operate
islanded from the local network during DR Calls.
How much time do you require to switch the building back to mains power supply following the
completion of a DR Call?
Are there any operating restrictions on the generator? (e.g. consent conditions, operating hours, other)
Yes / No
If yes, please specify.
Registration Cycle 4 – February 2015
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2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
OTHER INFORMATION
Do you have a regular testing regime in place for your standby generator?
Yes / No / Don’t know
Please specify what tests are undertaken as part of the testing regime (e.g do you simulate a mains fail
or test the generator while remaining connected to the network)?
Do you have a control system in place to automatically manage the operation of the standby generation,
or is it done manually?
Registration Cycle 4 – February 2015
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2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
Form E – DR Fees
This information is a key component for the evaluation of potential participants and will form part of
the final contract should your proposal be accepted. Please complete one form for each proposed
DR Block.
Information on your Indicative Strike Fee is required, however it is optional whether you nominate
an Establishment Fee or Availaibility Fee for a DR Block.
Please refer to our Guide to Demand Response for an explanation of these Fees.
FEES (For Contract)
Block ID:
Establishment Fee (one-off)
$
Availability Fee (per Availability Month)
$/month
Indicative Strike Fee (per Call)
$/MWh
Registration Cycle 4 – November 2014
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2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
Form F – Metering Equipment and Verification Methodology
The following information about the type of metering that is used within your commercial building
must be provided for each DR Block proposed.
An explanation of the methodologies and terms used on this form can be found in our Guide to
Demand Response.
METERING INFORMATION (For contract)
Block ID:
Metering
Equipment
Type of meters (For contract)
Time of Use Meter Yes / No
Please indicate if the meter is a:
Please circle or
delete as
appropriate

Retailer’s revenue meter, OR

3 party “check” meter
rd
Meter manufacture & model
Frequency of data capture (For
contract)
30 minutes Yes / No
If other please specify
Access to metering data
Yes / No
Metering data available within 20
business days of Call
Yes / No
If metering data is available,
would you give Transpower
permission to obtain metering
information directly?
Yes / No
Please specify metering service
providers name
AMS / Other (please specify)
If you are unsure about which measurement and verification methodology to use, then please enter
“default” and the default methodology will be applied.
VERIFICATION INFORMATION (For contract)
Block ID:
Measurement
Method (1)
Please circle or
delete as
A measurement method is how
the system calculates
performance of a participant’s
response after an event has
occurred. (For contract)
1) Firm Service Level (FSL) via Generation
2) Guaranteed Load Drop (GLD) via Generation
Note: If no option is selected the
Registration Cycle 4 – November 2014
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2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
appropriate
Default option is Guaranteed Load
Drop via Generation
Customer
Baseline Load
(CBL) (2)
A CBL is a proxy for what the load
would have been absent the load
reduction
1) 3 Day with SAA (Symmetric Additive Adjustment)
2) 5 Day with SAA (Symmetric Additive Adjustment)
Please circle or
delete as
appropriate
Note: if no option is selected the
Default CBL option is 3 Day with
SAA
Registration Cycle 4 – November 2014
3) Meter Before Meter After (MBMA)
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2014 DEMAND RESPONSE PROGRAMME – COMMERCIAL BUILDINGS RFP
Section C: Terms and Conditions of RFP
All Respondents must review the terms and conditions for the RFP, as posted on the
Demand Response page of Transpower’s website:
https://www.transpower.co.nz/projects/demand-response-project/demand-responseprogramme-2014
Anyone who responds to the RFP will be deemed to have accepted the terms and
conditions of the RFP.
Section D: Standard Contract
All Respondents must review Transpower’s standard Price Responsive Demand
Response Grid Support Contract, as posted on the Demand Response page of
Transpower’s website:
https://www.transpower.co.nz/projects/demand-response-project/demand-responseprogramme-2014
Registration Cycle 4 – November 2014
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