ENBALA Power Networks, which operates smart grid networks, announced it is one of the first providers to deliver demand-side load Regulation Service (Grid Balance) to PJM, which is the largest integrated electricity market in the world, covering all or part of 13 states and the District of Columbia.
Grid Balance is the continuous, real-time balancing of the electricity grid using demand-side loads. With grid balancing, loads can now deliver on this challenging ancillary service. Prior to delivering Grid Balance in real-time to PJM, ENBALA's technology had to pass three certification tests before PJM would allow it to connect and enter the market.
The company is qualified to participate in the PJM market because of two recent modifications. First, a PJM rule change now makes it possible to deliver smaller amounts of Grid Balance from an individual load (dropping the minimum amount from 500 kW to 100 kW), which encourages demand-side loads to participate in the grid. Second, ENBALA was recently approved by the Federal Energy Regulatory Commission (FERC) to participate in US wholesale electricity markets.
“We've long seen the value of demand-side resources in our markets, so expanding the opportunities for demand response to participate in the regulation service market makes sense and offers new qualities such as fast response,” said Andrew L. Ott, PJM senior vice president of Markets, in a statement. “Above all, demand-side resources offer another means of cost-effectively enhancing overall grid reliability.”
This is a significant achievement for ENBALA because Grid Balance is the most demanding of all ancillary services. It’s a great start to connecting loads in real-time to support the management of the electric power system, says Ron Dizy, president and CEO, ENBALA Power Networks. “Demand-side management has a large role to play in the future of the Smart Grid and Grid Balance is just the beginning.”
Following this development, American Water is the first company with loads connected to ENBALA's Smart Grid network and responding in real-time to the needs of the grid. The company continues to expand its involvement by connecting a growing number of assets to the ENBALA Power Network.
ENBALA recently got approval from FERC for market-based rate authority. ENBALA was authorized to participate in wholesale electricity markets as a Category 1 seller and has market-based rates authority for the sale of electric energy, capacity and ancillary services on a commercial basis.
Following this authorization, ENBALA is allowed to participate in the following markets: PJM Interconnection, New York Independent System Operator, ISO New England, California Independent System Operator and Midwest Independent Transmission System Operator.
Rajani Baburajan is a contributing editor for TMCnet. To read more of Rajani's articles, please visit her columnist page.Edited by
Jennifer Russell