AWARD YEAR
2017
CATEGORY
Community
GOALS
Affordable & Clean Energy
KEYWORDS
electricity, use behavior
COUNTRY
United States of America
DESIGNED BY
Building Science Innovators, LLC
Myron Katz, PhD, Norman Witriol, PhD
WEBSITE
https://www.sciencecanchangetheworld.org/en_US/solutions/renewable-energy/customer-lowered-electricity-price--clep-.html
Customer Lowered Electricity Price
Incentivizes customers to alter energy use behaviors.
Customer Lowered Electricity Price (CLEP) is distinguished by its win-win-win solution for the resident, the utility and the regulator. CLEP incentivizes customers to alter energy use behaviors to make pre-planned or automated electricity purchases at cheaper times of day when aggregate demand is lower. Smart purchases and demand cuts save the utility money--much of which can be paid to these customers. Key idea: the best way to balance between utility and consumer investment is to pay customers via timely rewards that are < the actual utility cost savings generated by that customer. Then: customers will make timely investments to raise the associated reward payments.
Customer Lowered Energy Price [CLEP]
• Lowers electricity cost for all customers;
• Superior demand response;
• Finances multi-thousand-dollar batteries in buildings;
• Harvests cheap non-peak power for peak power use;
• Pays 5% better than net energy metering but has no subsidy;