Ҵý Power Making it Profitable to Pursue Net Zero Thu, 12 Mar 2026 15:37:37 +0000 en-US hourly 1 https://wordpress.org/?v=7.0 /wp-content/uploads/2021/01/favicon.svg Ҵý Power 32 32 Grid Modernization Leadership: Perspectives from Women Energy Leaders /2026/03/12/grid-modernization-leadership-perspectives-from-women-energy-leaders/ Thu, 12 Mar 2026 15:17:40 +0000 /?p=5894 Grid modernization leadership is being defined in real time as the electricity system evolves: more renewables, more battery energy storage development, more digitalization, higher peaks, and a faster pace of change across markets, policy, and technology. In honour of International Women’s Day, we hear from the women leaders at Ҵý Power on how leadership has […]

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Grid modernization leadership is being defined in real time as the electricity system evolves: more renewables, more battery energy storage development, more digitalization, higher peaks, and a faster pace of change across markets, policy, and technology. In honour of International Women’s Day, we hear from the women leaders at Ҵý Power on how leadership has evolved, which skills will matter most for the next generation shaping the future grid, and the advice they’d give to anyone considering a career in energy, climate, or infrastructure.

 

WHAT DOES LEADERSHIP LOOK LIKE IN A SECTOR THAT IS TECHNICAL, CAPITAL-INTENSIVE, AND RAPIDLY TRANSFORMING?

Megan Davis:In a sector that is technical, capital-intensive, and rapidly evolving, leadership meansremainingcontinuously adaptable. The landscape is shifting quickly — from regulatory frameworks to market signals to technological capabilities — and static leadership simplydoesn’twork in that environment.

To me, strong leadership in this space requires the ability to reassess assumptions, pivot when necessary, and stay open tonew information.It’sabout balancing conviction with flexibility. You needa clear vision, but you also need the humility to adjust course as conditions change.

Because the grid and energy markets are transforming in real time, the leaders who will be most effective are those who can evolve alongside the industry—not resist it.

JayamaliKasige:Leadership in the energy sector today requires navigating a fundamental shift. From conventional generation to renewables, storage, and digitalization. It’s not just about managing change; it’s about understanding the technical realities behind that transformation.

In highly technical, capital-intensive environments, leaders need credibility with engineers and project teams. They must understand engineering constraints, system reliability, and safety; not at a surface level, but in a way that builds trust. At the same time, they must think commercially and strategically.

Strong energy leaders need to translate technical complexity into financial and long-term strategic outcomes. They bridge engineering and business, ensuring that innovation is practical, reliable, and economically sound.

Kathryn Weber:Leadership in a sector that’s technical, capital-intensive, and rapidly transforming needs to balance vision with coordination. It starts with reading the signals — understanding where the industry is headed, what timing matters, and which decisions need to be made before the window closes. Just as important is the ability to rally and align teams around a clear mission and purpose, especially when the work is complex and long-term.

It also needs to be deeply collaborative. Energy and infrastructure bring together a wide range ofexpertise— across technical domains, commercial realities, policy, and operations — and the industry is full of interdependencies between teams, functions, and stakeholders. Strong leaders create the conditions for that collaboration: they connect dots across disciplines, build shared context, and bring people together to solve the problem, not just execute a plan.

Finally, effective leadership in this space leans into the team’s strengths and values the diversity within it. Because the work requires such a broad mix of skill sets and perspectives, the best leaders foster an inclusive culture where people feel heard, respected, and able to contribute fully. They make space for different viewpoints, draw out expertise, and ensure those voices shape the decisions. I see those qualities reflected in the leadership team every day at Ҵý Power.

Barbara Rosado:In a sector that is highly technical and rapidly transforming,it’simportant to remember that we are still talking about people. Markets evolve quickly — with new regulations, technologies, and operating models — but the people working within them are evolving too. Change takes time to study, understand, and implement effectively.

To me, leadership means recognizing that gap between transformation and human adaptation. A strong leaderidentifieswhere support is needed and creates the conditions for their team to succeed. That might mean providing clarity when regulations shift, helpingprioritize inmoments of complexity, or simply ensuring that learning is part of the process.

It also requires understanding that people work differently. Some need structured check-ins and frequent alignment; others perform best with autonomy and space. Leadership is not one-size-fits-all.It’sabout balancing individual needs with teamobjectives, while keeping everyone aligned around a common goal.

In a capital-intensive and fast-moving industry, human awareness is essential.

 

A BELIEF ABOUT LEADERSHIP THAT HAS EVOLVED FOR YOU:

Barbara Rosado:I used to believe that a leader had to be intimidating; someone who questioned everything, pushed constantly, and led through pressure. For a long time, I thought that intensity was the standard.

That belief changed when I encountered leaders who welcomed me as I am. They still challenged me and gave me space to grow, while also valuing the perspectives I brought to the table. That made me feel capable and useful, not small.

I’ve come to believe that when leaders nurture that feeling in others, they don’t just drive performance, they build strong, confident teams.

 

WHAT SKILLS OR MINDSETS WILL MATTER MOST FOR GRID MODERNIZATION LEADERSHIP?

Megan Davis:I believe a commitment to continuous learning will be one of the most important mindsets for the nextgenerationshaping the future grid. The energy sector — along with the technologies and software that support it — is evolving rapidly. Staying effective requires an ongoing investment in understanding both market dynamics and emerging tools.

To remain impactful, we need to move as quickly as the industry does. That can be challenging, particularly in a complex, high-stakes space. Maintaining stability and confidence while also remaining humble and adaptable is essential.

The leaders and contributors who are successfully leading grid modernization are those who recognize that expertise isn’t static. It’s built through continuous education, curiosity, and a willingness to evolve alongside the systems we’re working to improve.

JayamaliKasige:The future grid will require an expanded mix of skills and mindsets beyond those traditionally associated with the power sector.It’snot about replacing foundational engineeringexpertise, butadding new capabilities — particularly in digital systems and cross-functional collaboration.

The grid is evolving from a centralized and predictable system into a digital, decentralized, and highly dynamic platform. Managing that complexity will require leaders and professionals who canoperateacross multiple domains.

Those shaping the future grid will need strengths in engineering, digital technologies, market structures, and collaboration. The ability to connect technical knowledge with data, policy, and commercial realities will be essential to building a resilient and adaptive energy system.

Leigh Billinghurst: Without hesitation, AI. But, more broadly, curiosity and continuous growth.

The next generation of leaders in grid modernization must embrace AI, not resist it. We’re operating in a world where unprecedented amounts of data are available at our fingertips. The differentiator is no longer access to information — it’s how effectively we receive, interpret, and leverage it. The right tools allow us to focus less on searching for data and more on managing it, extracting insights, and acting on them.

When used well, AI removes some of the administrative burden and creates space for higher-value thinking. It enables us to challenge assumptions, synthesize trends, and focus on solving industry challengeswe’refacing for the first time. That shift allows leaders to be more forward-looking instead of reactive.

But it’s not just about AI itself. It’s about being deeply curious. Asking better questions, investing in your own development, and continuously growing alongside your team and the industry. There are more ways than ever to acquire information, which can feel overwhelming. The leaders who thrive will be the ones who stay intentional, adaptable, and committed to growth.

 

WHAT ADVICE WOULD YOU GIVE SOMEONE CONSIDERING A CAREER IN ENERGY, CLIMATE, OR INFRASTRUCTURE?

Leigh Billinghurst:My advice is simple: get curious and get involved.

There are countless events hosted by passionate people acrossthe energyand climate space. Attend them. Meet people. Ask questions. Learn about the different paths this industry offers.It’sa sector filled with individuals who genuinely care about solving meaningful problems.

If you’re motivated by tackling challenges that haven’t been solved before, problems that evolve daily and demand innovative thinking, this is the right industry for you. It fuels curiosity, growth, and a comfort with complexity. For me, what began as a desire to work in dynamic, fast-moving environments has evolved into something deeper: a passion for contributing to solutions that matter.

Grid strain, rising energy costs, and political barriers aren’t going away; they’re becoming more complex. That’s exactly why we need smart, capable, and committed people entering this space.

Find where your skill set can have the greatest impact. Stay curious. Invest in relationships. The opportunity to make a difference here is real.

Kathryn Weber:Cannonball in! You won’t regret it. It’s a fast-growing space filled with people who are genuinely passionate about solving tough problems. If you’re looking for work you can tie to real-world impact, it’s hard to beat the feeling of contributing to systems that enable the energy transition.

Be curious. The sector is constantly evolving — technologies shift, policy and market structures change, and the challenges are rarely static. Ask questions, stay open, anddon’tbe intimidated by what youdon’tknow at the start (especially in an industry full of acronyms!); the learning curve is part of what makes the work interesting.

It also helps to get clear on what sparks your excitement. “Energy,” “infrastructure,” and “climate” are broad umbrellas, so take time to understand which areas align most with your interests and strengths, and where you can apply your skills and experience.

Finally, lean into the community as you explore your interests.It’sa welcoming space, and there are lots of ways to connect locally and meet people working acrossdifferent partsof the industry. People are happy to share whatthey’velearned and help others find their path.

Barbara Rosado:There are many ways to be involved in the energy sector. I naturally speak from an engineering and technical perspective becausethat’smy background, but the industry needs talent from many disciplines.

For engineers, my advice is simple: master the fundamentals. Study andtruly understandthe basics — physics, mathematics, core power system principles, equipment, operational procedures, and market rules. We are in the middle of a major transformation, but transformationbuilds onfoundations. Onceyou’reworking full-time, it becomes much harder to go back and strengthen those fundamentals if theywereoverlooked.

I would also encourage getting involved early in extracurricular activities, such as research projects, climate groups, and professional associations like IEEE. These experiences deepen your knowledge, expand your network, and help sustain motivation.

For those from other backgrounds, the advice is similar: become excellent at what makes you unique. Then actively look for ways to connect yourexpertise— whether in policy, finance, data, or communications — to the energy sector. The intersection is whereimpacthappens.

 

A BOOK, PODCAST, OR MENTOR THAT INFLUENCED YOU:

Leigh Billinghurst:I’m a big fan of Mel Robbins. Her “Let Them” theory really resonated with me. The idea that life is too short to hold onto habits or dynamics that no longer serve you. Her podcast continues to be both insightful and practical, covering everything from personal growth to daily habits and self-care. It’s a reminder to stay focused on what you can control and keep evolving.

Kathryn Weber:

  • Mentors: We have a great People & Culture team, and I feel grateful to learn from and work with Leigh and Shivani.
  • Book: by Gretchen Bakke.
  • Podcasts: The Interchange and Open Circuit.

 

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Behind-the-Meter: Ҵý Power’s Female Energy Storage Leaders /2026/03/09/iwd-behind-the-meter-energy-storage/ Mon, 09 Mar 2026 19:08:45 +0000 /?p=5890 International Women’s Day is a moment to recognize the women shaping the systems we all rely on. At Ҵý Power, that work is centred on behind-the-meter energy storage: battery systems deployed at commercial and industrial facilities to cut peak demand costs and support a more flexible grid as it evolves. This year, we’re spotlighting a […]

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International Women’s Day is a moment to recognize the women shaping the systems we all rely on. At Ҵý Power, that work is centred on behind-the-meter energy storage: battery systems deployed at commercial and industrial facilities to cut peak demand costs and support a more flexible grid as it evolves.

This year, we’re spotlighting a group of women across Ҵý Power whose paths into energy look very different, but converge on the same reality: the grid is getting more complex. AI and data centers are impacting demand patterns, adding new complexity to grid planning. Weather volatility and climate change continue to test grid reliability. In that environment, practical solutions matter, and behind-the-meter energy storage is among the most actionable tools available to customers today.

In the conversations below, they share what drew them into the sector, the experiences that shaped how they think about the energy system, and what they’re paying closest attention to as grid modernization accelerates.

WHAT INITIALLY DREW YOU TO THE ENERGY SECTOR — AND WHAT HAS KEPT YOU HERE AS THE INDUSTRY EVOLVES?

Megan Davis:With a background in environmental science, I was always interested in the more active, systems-level ways we can protect the environment beyond traditional conservation efforts. Sustainable technology has made meaningful strides in addressing environmental challenges, and I knew I wanted to contribute to that progress.

What really drew me in was how energy technology leverages data science to drive measurable environmental impact. The ability to use analytics and optimization to improve grid performance while reducing emissions felt like a natural intersection of my skills and my values. That alignment ultimately led me to Ҵý Power. I found a place where I could apply my background in a way that feels both technically rigorous and purpose-driven.

Leigh Billinghurst:When I first joined Ҵý Power, I was new to the energy industry. Itwasn’tsomething I had studied or even seriously considered before. My passion has always been building and scaling startups — working through the messy stages of growth and creating operating rhythms that align with culture and bring order to chaos.

As I learned more about the energy system and its impact on the environment, my sense of purpose expanded. I moved from simply wanting to help startups grow to wanting to help those doing meaningful work. That shift grounded my work in something bigger than scale alone.

I don’t thrive in static environments, and the energy industry is anything but static. Between climate uncertainty, rising electricity costs, grid resilience challenges, and political volatility, the landscape is constantly complex. There’s always a problem that hasn’t been solved yet. That uncertainty — that dynamic tension — is exactly where I do my best work.

Kathryn Weber:Seeing the impacts of climate change while travelling was a real catalyst for me; it prompted me to learn more about climate solutions. Paging through the book Project Drawdown, I was struck by how many different pathways exist to address climate change, and energy stood out as a powerful lever for impact.

What’s kept me in the sector is its dynamism and complexity. Energy can feel almost invisible, “lights on, lights off,” yet there’s an incredible amount happening behind the scenes to keep the system reliable and resilient. I’ve stayed engaged because the work constantly expands your perspective on how the grid actually functions and how it needs to evolve.

A moment that really brought that to life was visiting the control room and seeing the real-time balancing act of supply and demand. It made the challenges tangible: the growing influence of data centers, aging infrastructure constraints, and how programs, policy, and market signals shape development.

Working within a cleantech company which contributes to climate solutions has been a genuine pleasure.

BarbaraRosado:I was drawn to the energy sector during my undergraduate studies in Electrical Engineering at UNICAMP. In my fourth year, I took courses in optimization and power systems, and I became fascinated by how advanced analytical techniques could be applied to such a large and critical sector. I was curious about how these tools could meaningfully improve real-world infrastructure.

That curiosity led me to a research project — what we call a scientific initiation — which brought me to Canada for a four-month internship at TMU (formerly Ryerson). I was struck by how different, yet similar, the energy challenges were across countries. Working in an academic lab exposed me to a wide range of power system problems and innovative solutions, and I found myself wanting to go deeper.

I later pursued my MSc and PhD in power systems, focusing on distribution systems, returningto TMU for extended research stays. Over the past decade,it’sbeen remarkable to see how much the field has evolved — and even more meaningful to knowI’vebeen part of that progress. What keeps me here is the sense that my knowledge allows me to contribute to that ongoing transformation.

 

WAS THERE A DEFINING MOMENT IN YOUR CAREER THAT CHANGED HOW YOU THINK ABOUT THE ENERGY SYSTEM OR YOUR ROLE WITHIN IT?

Daniela D’Costa: Early in my property management career in operations, energy was primarily viewed as an operating expense to control. Over time, as I moved into national program management and worked closely with the sustainability team, I began to see the broader impact. Efficiency improvements weren’t just about lowering utility bills — they reduced costs, improved tenant satisfaction, and meaningfully lowered environmental impact all at once.

That alignment between financial performance and sustainability fundamentally changed how I think about the energy system. I realized that decarbonization doesn’t have to compete with business objectives; it can actively strengthen them.

Since then,I’veapproached energy management as both a cost strategy and a climate strategy. Commercial and industrial buildings represent a significant opportunity in the energy transition, and I’ve come to see this sector as a critical lever for accelerating meaningful change.

JayamaliKasige:I graduated as an Electrical Engineer and began my career in power distribution and substation design, although my academic focus had been on power generation. After several years in the field, I realized I wanted to move closer to generation.

That shift became a defining moment for me. As I explored my next step, it became clear that renewable generation was where I wanted to be — not only from a technical perspective, but because it aligned with my desire to contribute to environmental progress and clean energy solutions.

More than a decade ago, I transitioned into the renewable energy sector, focusing on design engineering and renewable operations. Since then, my work has felt more purposeful — combining technical rigour with long-term impact.

Leigh Billinghurst:The defining moment for me was realizing everyone’s “why.” People weren’t just showing up for a paycheque — they were here because they genuinely believed this work is good for the planet. That changed how I saw both the company and my role within it.

In past organizations, when things became uncertain or difficult, the instinct was often to flee. At Ҵý Power, I’ve seen the opposite. We’re surrounded by brilliant minds who want to make the business work — who are committed to relieving stress on the grid, partnering with C&I customers to deliver solutions that don’t disrupt operations, and helping them manage rising energy costs so they can stay focused on their own growth.

That level of intrinsic commitment reframed my role. My responsibility is to build a culture where that passion can thrive — one that attracts and develops the best talent in the industry, empowers teams to test new tools, leverages AI, and enables continuous learning in a rapidly evolving sector. People and culture shouldn’t be seen as red tape. It should be a strategic partner focused on unlocking the full potential of our talent.

Barbara Rosado:Yes. There was a defining shift for me, and it was deeply personal.

During my MSc and PhD, I was extremely hard on myself. The lab environment and the expectations around me often made me feel like I wasn’t doing enough or pushing hard enough. Over time, that pressure began to shape how I viewed the sector itself, as if there were only one way to belong, and that it required constant intensity and perfection.

After finishing my PhD and joining Ҵý Power, my perspective changed. I realized there are many different environments within the energy industry — andit’spossible to contribute meaningfully while still being a whole human being. That was transformative.

Today, I understand that I do belonginthis space. I can keep learning without knowing everything. I can contribute without burning out. That shift changed not only how I see the industry, but how I see myself within it.

 

THE ELECTRICITY GRID IS UNDER INCREASING PRESSURE FROM ELECTRIFICATION AND AI-DRIVEN LOAD GROWTH. WHAT SHIFT DO YOU THINK MORE PEOPLE SHOULD BE PAYING ATTENTION TO?

Megan Davis:One shift I think more people should be paying attention to is the pace and impact of AI-driven load growth and electrification. There’s a lot of discussion suggesting these forces are already the dominant pressures on the grid. While their impacts are becoming more visible, they are not necessarily the most consequential drivers today.

In many regions, dramatically shifting weather patterns driven by climate change are having a more immediate and disruptive effect on system reliability. Extreme heat, cold snaps, and severe storms are stressing infrastructure in ways that feel increasingly unpredictable.What concerns me is that some people still perceive these weather dynamics as “normal” variability, when in reality the baseline has shifted.

If we misdiagnose what’s driving current strain, we risk misallocating Ҵý. We need to plan for load growth, but we also need to acknowledge that climate volatility is already reshaping grid risk in real time.

JayamaliKasige:One of the most important shifts is how behind-the-meter energy storage is moving from a niche resource to essential grid infrastructure. As electrification accelerates and AI-driven load growth increases demand, the grid needs more flexibility, and energy storage is becoming central to that reliability.

At the same time, we are seeing rapid growth in distributed energy Ҵý. This decentralization is fundamentally changing how power flows across the system. The grid is no longer just a one-way delivery model; it is becoming more dynamic and interactive.

Together, storage and distributed Ҵý are reshaping how we think about planning, operations, and resilience.This shift deserves more attention because it will define how effectively we manage reliability and sustainability in the years ahead.

Daniela D’Costa: The most important shift happening right now is the transition from a centralized, generation-focused grid to a more distributed and intelligent system. Electrification and AI-driven load growth are accelerating demand, but they’re also creating an opportunity to leverage data and automation to better orchestrate how and when energy is consumed.

In my experience, even small operational changes can drive meaningful conservation when applied consistently. At scale, those incremental improvements add up. When you layer in digital controls and analytics, demand becomes something you can actively shape.

The broader conversation shouldn’t focus solely on building more generation. It should also prioritize optimizing and coordinating the assets we already have. A more flexible, responsive grid will be just as important as expanding generation Ҵý.

 

WHAT EXCITES YOU MOST ABOUT WHERE GRID MODERNIZATION AND BEHIND-THE-METER ENERGY STORAGE ARE HEADED?

Barbara Rosado:What excites me most is seeing ideas that once felt theoretical in academia become reality. During my research, we modeled scenarios with high DER penetration, rooftop solar reshaping load profiles, and distributed Ҵý influencing prices. Today, those scenarios are no longer hypothetical; they are actively shaping markets, depending on the region and regulatory structure.

It’salso been fascinating to watch commercial and industrial customers invest more heavily in technology, while data centers introduce entirely new planning challenges for grid operators. The complexity we studied is now unfolding in real time.

Perhaps thebiggest surprise for me over the past six years has been the transformative power of data. While many academic solutionsreliedonhighly complexmethodologies, in practice, strong data analytics and statistical approaches can generate meaningful insights,optimizestrategies, and deliver tangible value. More recently, AI agents have accelerated this even further.

It truly feels like we are only at the beginning. That sense of momentum makes me excited to contribute to what comes next.

Leigh Billinghurst:What excites me most is that many customers don’t yet fully understand the potential of battery energy storage. That both excites and challenges me. The C&I (Commercial and Industrial) sector is already navigating political uncertainty, tariffs, and increased grid stress. For the foreseeable future, batteries will remain one of the most viable and scalable solutions available.

There are grants and policy mechanisms emerging that prioritize and fast-track storage projects, helping reduce barriers that once slowed adoption. That momentum is important. But what excites me most is when customers experience the impact firsthand.

Behind the scenes, our teams have invested years building sophisticated products and continuously enhancing how we manage, analyze, and leverage data — creating real-time and predictive insights that strengthen outcomes. From an employee perspective, it’s energizing to know that the fruits of that labour will pay off. We’ve long known that behind-the-meter energy storage solutions need to be prioritized. Watching customers and the broader market recognize that value validates the commitment and innovation our teams bring every day.

Daniela D’Costa:The capability that will define the next generation of grid modernization leaders is the ability to translate complexity into actionable strategy. The grid is evolving rapidly — with electrification, AI-driven load growth, and distributed energy resource integration reshaping the landscape. The technical dimensions are becoming increasingly sophisticated.

But modernizationultimately comesdown to execution. Leaders will need to align financial incentives, operational realities, and sustainabilityobjectivesin ways that drive measurable outcomes.

Success will depend on turning high-level sustainability ambitions into practical, operational changes that reduce costs, improve performance, and deliver real impact.

 

AT WHAT POINT DOES BEHIND-THE-METER ENERGY STORAGE BECOME ESSENTIAL INFRASTRUCTURE RATHER THAN OPTIMIZATION?

Kathryn Weber:I’d argue energy storage is already shifting from “nice-to-have optimization” to essential infrastructure, and two forces are really driving that.

First is load growth. We’re seeing meaningful increases in overall electricity demand, with data centres and electrification (including EV adoption and heat pumps) adding new requirements on the system, often stressing generation Ҵý to meet peak demand.

Second is the continued growth ofrenewablegeneration. As solar and wind scale, the grid needs more flexibility to manage intermittency and shifting supply patterns. Storage is key to addingthat flexibilityand strengthening reliability.

We’reseeing real-world examples where storage is becoming a requirement to meet today’s needs: the2025 Iberian blackout across Spain and Portugal highlighted how quickly grid disturbances can cascade, underscoring the importance of fast-responding flexibility and resilience in renewable-heavy systems. Energy Storage projects like Lactalis in Ontario are also demonstrating how behind-the-meter energy storage can play a meaningful role during summer peaks. Finally, the volume of storage in— alongsides — reinforces the market’s view that storage is critical for future demand flexibility, reliability, and grid resilience.

 

IF YOU COULD CHANGE ONE THING ABOUT THE ENERGY INDUSTRY OVER THE NEXT DECADE, WHAT WOULD IT BE?

Megan Davis:Over the next decade, I would push for a deeper and more consistent commitment to truly green energy.There’sa common misconception that electrification is automatically sustainable.In reality, electrificationis only as clean as the energy mix powering the grid.

Much of today’s grid is still supported by oil and gas. As load increases, particularly with electrification and digital growth, those sources oftenremainthe default becausethey’redispatchable andrelatively cost-effective. While they provide reliability, they also lock in emissions if wedon’taggressively transition the fuel mix.

What I’d like to see is not just policy support for electrification, but also a stronger commitment to decarbonizing the generation that powers it. At the same time, public education matters. Just because a facility doesn’t have a visible smokestack doesn’t mean its energy use isn’t producing emissions somewhere else. A clearer understanding of that system-wide impact is critical to making meaningful progress.

Daniela D’Costa:If I could change one thing about the energy industry over the next decade, it would be accelerating pathways for women into high-impact, high-growth segments of the sector, particularly in grid modernization, AI integration, distributed energy Ҵý, and capital deployment.

The coming decade will define the future of the energy system, and women should be shaping it in real time, not entering the conversation after the foundation has already been laid.

Expanding representation at every level, from technical operations to executive leadership, isn’t just about equity. It’s about strengthening the industry itself. A more inclusive energy transition will be more innovative, more resilient, and better reflect the communities it ultimately serves.

 

ONE WORD THAT DESCRIBES THE FUTURE OF ENERGY:

JayamaliKasige:Decentralization.

Daniela D’Costa:Intelligent. Data-driven at its core.

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Release: Ҵý Power Awards Bursary to Promising Canadian Cleantech Student /2026/01/19/release-peak-power-awards-bursary-to-promising-canadian-cleantech-student/ Mon, 19 Jan 2026 18:53:41 +0000 /?p=5865 Investing in the emerging energy innovators, Ҵý Power grants $1,500 to student who shows commitment to clean energy sector TORONTO, ON – Ҵý. has awarded its 2025 Future Cleantech Leader Bursary to student Azka Siddiqui, underscoring the company’s belief that human ingenuity remains central to innovation in the clean energy sector, even as […]

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Investing in the emerging energy innovators, Ҵý Power grants $1,500 to student who shows commitment to clean energy sector

TORONTO, ON – Ҵý. has awarded its 2025 Future Leader Bursary to student Azka Siddiqui, underscoring the company’s belief that human ingenuity remains central to innovation in the clean energy sector, even as artificial intelligence reshapes the industry.

The Future Cleantech Leader Bursary, now in its third year, recognizes STEM students who demonstrate a commitment to sustainability, innovation, and leadership within Canada’s growing cleantech sector. In 2025, the bursary received 60 applications from students across the country, reflecting growing interest in cleantech-focused careers.

The $1,500 CAD bursary is part of Ҵý Power’s ongoing effort to support emerging cleantech talent in Canada. This year’s announcement arrives amid increasing debate about whether AI will displace jobs in technical fields. Ҵý Power is emphasizing a contrasting reality: the energy transition depends on people who can steer, interpret, and apply advanced technologies—not be replaced by them.

Siddiqui, entering her first year of Computer engineering, embodies this next wave of innovators. In her statement, she reflected on the opportunity:

Ҵý Power CEO Derek Lim Soo says the company’s investment in student innovators reflects the long-term needs of the cleantech ecosystem.

“The sector is adopting AI at a rapid pace, but technology alone doesn’t solve climate and energy challenges,” said Lim Soo. “Solutions come from people who know how to combine engineering, systems thinking, and emerging tools. Students like Azka represent the future of that work. Investing in them strengthens the entire industry.”

About Ҵý Power

Ҵý Power delivers end-to-end battery storage development and energy optimization solutions powered by industry-leading peak forecasting and market intelligence. Working across North America, they help large energy users cut electricity costs, unlock new revenue streams, and pursue sustainability goals. Through strategic investor partnerships and a shared-savings model, Ҵý Power removes capital cost barriers for customers, offering zero-CapEx battery storage development and operation.

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Achieving Precision in GA Forecasting: Maximizing Global Adjustment Cost Reduction in 2025 /2025/09/08/ontario-global-adjustment-cost-reduction/ Mon, 08 Sep 2025 15:21:33 +0000 /?p=5838 The Changing Ontario Energy Market Ontario’s electricity system is in the middle of a significant transformation. Rising electrification, volatile demand patterns, and growing participation in demand response programs are making it increasingly difficult to predict when the grid will experience its highest system peaks. For decades, the Independent Electricity System Operator (IESO) has relied on […]

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The Changing Ontario Energy Market

Ontario’s electricity system is in the middle of a significant transformation. Rising electrification, volatile demand patterns, and growing participation in demand response programs are making it increasingly difficult to predict when the grid will experience its highest system peaks.

For decades, the Independent Electricity System Operator (IESO) has relied on demand forecasting to balance supply and demand, set pricing, and allocate costs such as the Global Adjustment (GA). But in 2025, using IESO’s forecasts for peak forecasting has become dramatically less reliable.

For Ontario’s largest commercial and industrial (C&I) energy users, this matters because the top five coincident peaks determine a huge portion of next year’s GA costs. Missing just one of those five peaks can cost millions.

This is where precision in peak forecasting becomes a true competitive advantage.

Ontario is also shifting toward becoming a double-peaking market, meaning both winter and summer electricity demand will reach similarly high levels. Historically, Ontario has been a summer-peaking system, but by the 2030s demand growth from industrial expansion, data centers, and electrification will make winter peaks just as significant. and is proposing new clean supply Ҵý to meet it. For large energy users, this shift underscores the importance of partnering with a market leader for global adjustment peak forecasting.

Ontario Ҵý Demand Forecast
Figure 1: Ontario’s Net Annual Ҵý Demand Forecast (2026–2050), Source: IESO,

Why Global Adjustment Cost Matters for Large Energy Users

The Global Adjustment charge accounts for the costs of building and maintaining Ontario’s electricity system, including investments in generation and conservation. For C&I facilities with demand greater than 2 MW, participation in the Industrial Conservation Initiative (ICI) allows them to reduce GA costs by curtailing demand during the top five system peaks each year.

The math is simple:

  • Hit more peaks → Lower GA costs next year.
  • Miss peaks → GA costs rise dramatically.

 

But the execution is anything but simple. Predicting the exact hours of Ontario’s top five coincident peaks requires not just weather and load forecasting, but also accounting for how demand response participation and operational shifts across the province are reshaping demand in real time.

 

Ontario’s Market Renewal Program and the Role of Global Adjustment

Ontario’s electricity sector is undergoing its Market Renewal Program (MRP), a multi-year effort led by the IESO to improve efficiency and enhance competition in the province’s wholesale market. While MRP will introduce changes such as a single-schedule market and enhanced day-ahead processes, one constant remains: the Global Adjustment is here to stay. As outlined in our recent article on the Market Renewal Program, the GA charge will continue to represent a major portion of costs for large energy users.

This is an important reality for Ontario’s C&I facilities. Even with evolving market structures, GA remains the single largest driver of electricity expenses. That means peak management strategies and accurate forecasting will remain the most effective levers for reducing costs. In other words, while the market around it is modernizing, the incentive to capture top peaks and minimize GA costs is not going anywhere.

 

2025: The Most Difficult Year Yet for GA Forecasting

This year, two unique factors have made peak forecasting more challenging than ever before:

  1. Demand Response Growth:
    Demand response (DR) has grown in participation and impact. On high load days, DR activations can flatten the curve so much that peaks either disappear or shift to new times of day not explained by temperature or grid conditions. The result? No two peak days look alike.
  2. IESO Data Inconsistencies:
    The IESO has acknowledged providing inaccurate load data on certain days without full transparency on when or how it will be remedied. Many market participants and service providers build their forecasts primarily around IESO-provided data. This year, that reliance has led to widespread misses of coincident peak events.

 

Together, these factors have made 2025 a year in whichtraditional forecasting approaches have struggled, leaving many large facilities frustrated with underperformance.

 

Proven Results in a Tough Year

Despite these challenges, Ҵý Power’s forecasting has continued to deliver strong, measurable results for Ontario clients.

  • 4 of 5 Top Ҵýs Accurately Predicted (within a strict 2-hour window)
  • 2 of those were #1-hour predictions — meaning if facilities only had a single discharge hour, they still would have caught the peak
  • 25 calls were made to achieve this precision — carefully balancing the need for accuracy with operational efficiency

 

Importantly, we don’t “move the goalposts.” Some service providers claim peak hits if they fall within a 3–4 hour window, but we know that’s not realistic for facilities with 2-hour batteries or limited curtailment windows. Our standard is clear: a forecast is only counted as a hit if the actual peak hour is inside our top two predicted hours of the day.

Why Accuracy Matters to Your Business

For facilities which are large energy consumers, forecasting accuracy isn’t just about numbers — it translates directly into financial performance.

  • Maximized Savings: Every accurately captured peak results in Global Adjustment cost reduction for the following year, often representing millions in avoided costs.
  • Reduced Risk: Narrow 2-hour precision means batteries and curtailment strategies are deployed efficiently, reducing wear-and-tear and unnecessary operational disruption.
  • Operational Certainty: Confidence in forecasts allows energy managers and CFOs to plan with clarity, even in an uncertain grid environment.

What Sets This Forecasting Apart

While many competitors rely heavily on IESO forecasts and broad performance windows, Ҵý Power takes a fundamentally different approach.

  • Independent Forecasting: We don’t rely solely on IESO data, which has proven unreliable this year. Instead, we use multiple proprietary data sets and models to build forecasts that remain resilient even when official data is wrong.
  • Tighter Accuracy Standard: We only count a “hit” if the peak occurs within our 2-hour prediction window. This matters because it matches the operational reality of facilities with 2-hour batteries or curtailment programs — giving you a more honest measure of performance.
  • Enhanced Data & Constant Innovation: Our forecasting team integrates enhanced weather models, operational signals, and proprietary analytics. We continually evolve to adapt to Ontario’s fast-changing market conditions.

 

This commitment to independence and precision is why our clients consistently achieve stronger GA reductions compared to facilities that rely on looser or less resilient forecasting methods.

Customer Benefits: What This Means for Your Facility

If you are a large Ontario energy user with more than 2 MW of peak load, the benefits of precision forecasting translate directly to your bottom line:

  • Lower Global Adjustment Costs: Capture more of the top five peaks and lock in significant year-over-year savings.
  • Optimized Asset Use: Batteries, backup generation, or load curtailment programs are deployed strategically — not wastefully.
  • Competitive Edge: Reduced energy costs improve operating margins and free up capital for reinvestment in core business operations.
  • Peace of Mind: Reliable forecasts mean you can focus on production and growth, not chasing unpredictable system peaks.

Looking Forward: Preparing for an Uncertain Future

Ontario’s electricity system is only going to get more complex. Load growth is outpacing new supply, demand response is expanding, and electrification of transportation and industry will reshape load curves in unpredictable ways.

In this environment, accuracy and adaptability in forecasting will define winners and losers in GA cost management. Facilities that rely on outdated models or broad 3–4 hour windows risk overspending and underperforming.

By contrast, facilities that adopt precision-driven, independent forecasting strategies will not only minimize costs but also position themselves as leaders in sustainability, resilience, and competitiveness.

Take Action for Global Adjustment Cost Reduction

Global Adjustment costs don’t have to be unpredictable or uncontrollable. With the right forecasting partner, large energy users in Ontario can take control of their GA costs, reduce risk, and unlock measurable financial value — even in the most challenging years.

At Ҵý Power, we’re proud to deliver results that speak for themselves. Precision, adaptability, and customer savings are at the core of everything we do. And as Ontario’s grid evolves, we’ll continue to innovate to keep our customers ahead of the curve. Or, should we say, ahead of the “load curve.”

Ready to reduce your Global Adjustment costs? Contact us today to book a discovery call.

The post Achieving Precision in GA Forecasting: Maximizing Global Adjustment Cost Reduction in 2025 first appeared on Ҵý Power.

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What Ontario’s Energy for Generations Plan Means for Class A Global Adjustment Costs /2025/06/23/ontario-energy-plan-class-a-global-adjusment/ Mon, 23 Jun 2025 18:08:53 +0000 /?p=5777 Authored by: Jessica M. and James C. from Ҵý Power’s Markets Team   Ontario is entering a new era in energy planning. In June 2025, the province released its Energy for Generations plan, a long-term supply framework to meet growing electricity needs through investments in nuclear refurbishments, new gas and storage facilities, renewables, and transmission […]

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Authored by: Jessica M. and James C. from Ҵý Power’s Markets Team

 

Ontario is entering a new era in energy planning. In June 2025, the province released its Energy for Generations plan, a long-term supply framework to meet growing electricity needs through investments in nuclear refurbishments, new gas and storage facilities, renewables, and transmission infrastructure. The plan reflects Ontario’s goals of ensuring reliable, affordable, and sustainable power for the future.

For Class A electricity customers, industrial and commercial consumers whose electricity costs are tied to their contribution to system-wide peak demand, these changes mark the end of a short-lived era of subsidy-driven relief. With Global Adjustment (GA) charges poised to rise sharply, Class A customers need to prepare now for a decade of higher costs.

The 2020 Class A Global Adjustment Subsidy: Temporary Relief

Ontario’s 2020 budget temporarily reduced Global Adjustment costs by shifting a portion of the cost burden from electricity users to the provincial tax base. This subsidy created short-term relief for industrial and commercial customers, reducing electricity bills for Class A and Class B customers. However, that program was always temporary. As Ontario transitions into its long-term “Energy for Generations” supply plan, Class A customers face rising GA costs again, likely to exceed pre-2021 levels in the coming decade.

Ending the Renewable Cost Shift Program

In 2021, Ontario introduced the Renewable Cost Shift, a program that temporarily moved a large portion of above-market renewable energy contract costs, normally recovered through the GA ,onto the provincial tax base. This was done in response to mounting pressure over high industrial electricity costs.

The Financial Accountability Office (FAO) summarized the subsidy’s impact:

“$7.2 billion will be provided to reduce electricity bills for industrial ratepayers. Most of these payments ($6.9 billion) will be through the Renewable Cost Shift, which will provide a 14 per cent reduction to a typical industrial ratepayer’s electricity bill in 2021–22.”

This was a meaningful reduction, particularly for Class A customers, defined as large electricity users with peak demand generally over 1 MW (or 500 kW in select sectors). These users are billed based on their consumption during the five system-wide peak demand hours of the year, a structure known as the Industrial Conservation Initiative (ICI).

However, the FAO also cautioned:

“The discount will decline over time as the subsidized renewable energy contracts expire.”

The newly released Energy for Generations plan confirms that this temporary relief will begin phasing out in 2026. Once that happens, the full costs of legacy renewable contracts will return to electricity bills, placing the burden squarely back on Class A customers.

In other words, the 14% relief enjoyed by Class A customers from 2021 through 2025 will begin coming to an end, and unless new mitigation measures are introduced, GA charges are likely to rise significantly in the coming decade.

New Capacity Procurements Are GA‑Funded, Not Market‑Settled

As part of Ontario’s Energy for Generations plan, Ontario is moving forward with a wide pipeline of new capacity procurements—ranging from gas generation and energy storage to renewable projects and nuclear refurbishments.

Crucially, these projects are not compensated through market-set energy prices. Instead, they are paid through fixed availability contracts, with all associated costs recovered fully via the GA.

This is supported by IESO documentation on settlement processes:

  • The explains that for contracted generators, “the contract payments will be recovered through the global adjustment” rather than through real-time energy market transactions.

 

Adding further clarity, the defines GA as the mechanism that “reconciles differences between payments made to generators at the competitive wholesale market price and payments made at regulated rates or contracts that differ from the wholesale market price.”

The cost of new contracts, like those from long-term RFPs, gas plant upgrades, and nuclear refurbishments, doesn’t flow through market electricity prices. Instead, they’re paid through the GA. As more of these contracts are signed, the GA pool will grow, increasing costs for Class A customers who are charged based on their contribution to system peaks.

Rising Ҵý Demand Will Drive GA Costs Higher

Ontario’s electricity system is entering a phase of sustained demand growth, driven by electrification, industrial development, and economic expansion. This growth will increase peak demand, the maximum electricity required at any moment on the grid, putting upward pressure, particularly for Class A Global Adjustment costs.

The chart below from the IESO’s 2025 Annual Planning Outlook shows projected net annual peak demand rising from about 24 GW in 2026 to 36 GW by 2050 for summer peaks (a 48% increase) and from 23 GW to 37 GW for winter peaks (a 57% increase) over 25 years.

Ontario Ҵý Demand Forecast
Figure 1: Ontario’s Net Annual Ҵý Demand Forecast (2026–2050), Source: IESO,

This forecasted increase is driven by:

  • Electric Vehicle (EV) Battery Plants and Charging Infrastructure: The shift to EVs, including manufacturing and charging, is a major demand driver, expected to contribute 20 TWh by 2035.
  • Hyperscale Data Centers: Data centers supporting AI and cloud computing will account for 13% of new electricity demand by 2035.
  • Building Electrification and Heat Pumps: Residential and commercial sectors are adopting electric heating, increasing demand.
  • Economic Growth in Urban and Industrial Hubs: Areas like Toronto and Windsor are seeing industrial and population growth, boosting electricity needs.

Why This Matters for Class A Global Adjustment

To meet rising peak demand, Ontario must build and maintain:

  • New Generation Capacity: This includes gas, storage, and renewables procured through long-term contracts.
  • Expanded Transmission and Distribution Infrastructure: To connect new Ҵý and support load growth.
  • Refurbished or Extended Nuclear Units: To ensure reliable baseload supply.

 

As mentioned, all of these projects are funded through fixed-price contracts recovered through GA—not the market.

Under the ICI, Class A customers’ GA charges are calculated based on their electricity usage during the five highest demand hours of the year. As system peaks increase and more contract costs are added to the GA, customers who cannot accurately predict and manage usage during peak hours will see significantly higher charges.

Nuclear Refurbishment, Pickering Extension, and SMRs: GA Cost Drivers

Ontario’s electricity reliability plan hinges on a major expansion and renewal of its nuclear fleet. While critical for long-term supply, these projects come with high costs that will be recovered through GA.

For Class A customers, this means larger GA pools and higher exposure to peak-related charges, particularly during the transition to new nuclear capacity.

IESO Nuclear Refurbishment Schedule

Figure 1: Nuclear Refurbishment and Retirement Schedule:, Source: IESO,

Bruce and Darlington Refurbishments

Ontario is refurbishing reactors at both Bruce Power and Darlington, with projects exceeding $12 billion at Darlington alone.

These are fixed-price, long-term contracts, meaning ratepayers pay whether or not the power is needed or used. This means costs are embedded in GA, adding billions in fixed recovery costs over the next 10–15 years.

Pickering B Life Extension

The government extended the life of Pickering B (Units 5–8) through 2026. While this is less costly than a full refurbishment, it still adds operational and maintenance costs to the GA pool.

SMRs: New Nuclear for the 2030s

Ontario plans to build four SMRs at Darlington, with the first unit expected online by 2034. These units represent a major capital investment and will also be paid through availability contracts—adding yet another layer of fixed GA costs starting in the 2030s.

Contracted Gas Capacity: Rising Fixed Costs in the GA

Ontario is increasingly relying on contracted Ҵý to meet growing system needs. Since 2022, the IESO has procured over 1,400 MW of firm capacity through various mechanisms:

  • 1,177 MW from the Expedited and Medium-Term RFPs
  • 255 MW through Same Technology Upgrades (efficiency gains at existing gas facilities)
  • 43 MW from the Brighton Beach natural gas upgrade

 

These Ҵý are paid based on availability, not dispatch. That means the system pays, via long-term contracts, regardless of how often the Ҵý run. All associated costs are recovered through the GA.

This shift away from market-settled generation is illustrated in the chart below:

Class A Global Adjustment Ontario Energy Needs

Figure 1: Remaining Energy Needs and Future Procurements and Programs Required (2029–2034),

The growing dark blue segments show how a rising share of Ontario’s energy needs, especially by 2034, will depend on future procurements, all of which will be paid through contract structures that flow through the GA.

Market Renewal Won’t Solve Global Adjustment Pressures

In May 2025, Ontario launched the Day-Ahead Market as part of its broader Market Renewal Program. These reforms improve how electricity prices are set, increase transparency, and enhance system efficiency.

But market efficiency alone won’t lower GA costs.

Why? Because the bulk of Ontario’s electricity still comes from power plants that are paid for through long-term contracts or regulated rates. Even with a more efficient market, the structural cost burden of contracted capacity remains and will continue to grow.

In other words, while the market reforms are useful, they don’t affect the part of the system where most of the money is spent. The GA will keep going up as Ontario adds more contracted supply to meet future demand.

The Impact of “Energy for Generations” on Class A Customers

The bottom line is clear: the phase-out of subsidies, surge in contracted capacity, and sharp demand growth all point to a new era of higher GA costs for Class A customers.

As Ontario brings more capacity online through long-term contracts and continues with large infrastructure projects like nuclear refurbishments, the size of the GA cost pool is expected to grow. Because these costs are fixed and outside the energy market, they are passed on through the GA regardless of how much energy a customer uses overall.

Unless customers can accurately predict and reduce usage during peak hours, they face increasing costs in the years ahead.

Conclusion: Take Action Before the GA Curve Steepens

The Energy for Generations plan signals long-term reliability and sustainability—but with real cost consequences for large energy users. With GA costs set to climb starting in 2026, proactive planning is no longer optional—it’s essential.

At Ҵý Power, we help Class A customers protect their bottom line through:

 

Ready to reduce your GA exposure? Contact us today to book a discovery call.

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Navigating Ontario’s Market Renewal Program: A Guide for Class A Customers /2025/04/07/ontario-market-renewal-program-ieso/ Mon, 07 Apr 2025 16:13:19 +0000 /?p=5758 Authored by: Jessica M. and James C. from Ҵý Power’s Markets Team   Ontario’s electricity market is gearing up for a big shift on May 1, 2025, with the implementation of the Market Renewal Program (MRP) changes to the Independent Electricity System Operator (IESO)’s energy market. Through the MRP, the IESO aims to provide greater […]

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Authored by: Jessica M. and James C. from Ҵý Power’s Markets Team

 

Ontario’s electricity market is gearing up for a big shift on May 1, 2025, with the implementation of the (MRP) changes to the Independent Electricity System Operator (IESO)’s energy market. Through the MRP, the IESO aims to provide greater transparency, competition, and market efficiency. The market is moving from a two-schedule market to a single schedule market (SSM) with the goal of aligning price and dispatch signals and revealing areas that require investment to further support system reliability and ultimately lead to a robust and efficient energy market while aligning with other major ISOs in North American.

This shift will impact how dispatchable load and non-dispatchable load (NDL) customers pay for their energy consumption. Below is an overview of the MRP changes that customers will see on their bills.

 

Understanding Market Renewal Program: Key Changes and Benefits

Dispatchable loads will see the replacement of real-time, uniform, unconstrained pricing with Locational Marginal Pricing (LMP). The LMP will include:

  • Referencing pricing—the price of energy at a specific location on the grid based on available supply, known as the ‘reference bus’;
  • Congestion pricing—the cost of servicing incremental demand in relation to the reference bus (i.e. if energy flows from one location towards the reference bus, congestion pricing will be negative. If the opposite occurs, it will be positive)
  • Loss pricing—the cost incurred as a result of system losses associated with servicing incremental demand at the applicable reference bus. Loss factors are a function of a resource’s distance from the reference bus and the transmission system flows. Loss pricing will be established on an hourly basis for inclusion in the LMP. The greater the system losses, the lower the LMP.

NDLs can expect to see replaced with Day-Ahead Ontario Zonal Price (DA-OZP). The DA-OZP will be calculated as the average of all day-ahead LMPs across the applicable load zone, of which there will now be four:

  • Northwest—includes the remaining territories northwest of the Northeast and Southern regions
  • Northeast—includes approximately the regions that fall south of Attawapiskat and Wawa and north of the two Southern regions
  • Southeast—includes the Essa, Ottawa, Toronto and East regions
  • Southwest—includes the Bruce, Niagara, Southwest and West regions

An NDL will be billed based on their forecasted hourly energy consumption at the applicable DA-OZP rate plus or minus any deviation in their actual consumption at the applicable real-time LMP rate:

[DA-OZP ($/MWh) x Net Forecasted Load (MWh)] + [RT-LMP ($/MWh) x Net Real-Time Load Deviation (MWh)]

 

What This Means for Class A Customers—and How Ҵý Power Can Help

While we recognize that these changes introduce uncertainty for customers as they try to understand how their energy costs will shift under the new Market Renewal Program (MRP) system, the good news is that Ҵý Power can help mitigate some of that price concern by helping customers regulate their energy consumption and continuing to provide other cost mitigation services, like Global Adjustment (GA) charge management.

An energy storage system can help manage energy charges by dispatching when consumption is forecasted to supersede historical forecasted hourly loads to decrease the likelihood that customers will be billed at a higher rate in the real-time market. This is known as non-coincident peak (NCP) management and can be beneficial for customers with volatile load profiles. This allowsour customers to operate with increased energy cost predictability and can be further optimized to capitalize on pricing differences through different operational strategies.

One thing that will remain the same under the MRP is the GA charge is here to stay. As regional constraints under the new pricing reform become more transparent, there is potential that this will spur energy development and increase GA charges in years to come. New generation capacity can mean greater cost recovery and, ultimately, higher GA charges.

Ҵý Power remains well-positioned to help customers mitigate that charge, as we always have. With our peak forecasting capabilities, Ҵý Power helps Class A customers manage their Ҵý Demand Factor (PDF) and decrease their GA charges for the subsequent year.

 

Stay Ahead with Ҵý Power

The IESO’s MRP will introduce new complexities to our energy charges but Ҵý Power can help turn it into your advantage. With a proven GA management track record, software, and battery storage, you’re ready for May 1, 2025, and beyond.

Ready to optimize your energy strategy? Contact us today for a tailored consultation.

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Beyond Demand Response: Amping Up with Demand Side Management /2025/01/24/beyond-demand-response-amping-up-with-demand-side-management/ Fri, 24 Jan 2025 19:21:37 +0000 /?p=5724 As the economy grows, so does the demand for energy—stretching our power grid to its limits. Across North America, utilities face rising challenges to maintain grid reliability while avoiding service disruptions and price spikes for customers. The solution lies not just in expanding infrastructure but in smarter, more efficient energy use. That’s where demand side […]

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As the economy grows, so does the demand for energy—stretching our power grid to its limits. Across North America, utilities face rising challenges to maintain grid reliability while avoiding service disruptions and price spikes for customers. The solution lies not just in expanding infrastructure but in smarter, more efficient energy use. That’s where demand side management (DSM) comes in, helping facilities become part of the solution while unlocking significant savings.

 

What is Demand-Side Management?

Demand side management (DSM)is an umbrella term referring to a utility-led strategy that optimizes how and when energy is used by consumers. DSM programs use a variety of methods to encourage consumers to use less energy during peak hours or shift their energy use to off-peak times. By encouraging efficiency and flexibility, DSM programs reduce the need for costly upgrades to generation and distribution infrastructure.

DSM programs have a longer time horizon and incentivize efficiency. It encompasses a wide variety of initiatives, such as:

  • Equipment and process upgrades
  • Load shifting
  • Ҵý shaving
  • Demand response (DR), a subset of DSM

 

Some well-known examples of DSM programs are the and the .

DSM also encompasses initiatives such as retrofits, behaviour change programs, and education to encourage energy-efficient practices among end-users. These programs aim for long-term impact, ensuring that facilities transition to smarter energy use while achieving operational and cost efficiencies.


Demand Response: A Key Component of DSM

In comparison, demand response (DR) is a program subset of DSM. It has a shorter-term outlook and incentivizes flexibility to respond to specific grid events in real-time or near-real-time, stabilizing the grid while earning incentives.

Facilities commit to adjusting their energy consumption in real-time to balance out various stresses on the grid. The aim is to address fluctuations in the grid as they happen, and facilities are rewarded for that energy flexibility. Even if its total energy consumption remains constant year on year, a facility can lower its utility bills by temporarily reducing or shifting its electricity usage in response to grid capacity or pricing spikes. Under some DR programs, facilities can use batteries to automatically curtail their demand on the grid as needed or even monetize their electricity savings by qualifying for expanded incentives.

In our previous post, we examined demand response for industrial facilities and briefly discussed how it differs from demand-side management.

Demand Response (DR):

  • Definition: DR is a specific subset of DSM focused on short-term actions to reduce or shift electricity demand during periods of stress on the grid or market price spikes.
  • Scope: Targeted and event-driven, typically involving real-time or near-real-time adjustments in energy use.
  • Goal: Provide grid flexibility, prevent blackouts, and manage costs during peak demand or grid emergencies.
  • Mechanism:
    • Signals from utilities or grid operators (e.g., price changes, requests for load reduction).
    • Participation in DR programs is often incentivized financially.
    • Enabled by technology like smart meters, building automation systems, and battery storage.
  • Example: A commercial building adjusting temperature or turning off non-essential equipment during a demand response event.

Key Differences:

Demand Side Management (DSM) Demand Response (DR)
Timeframe Long-term, ongoing Short-term, event-driven
Objective Optimize overall energy usage Respond to specific grid conditions
Mechanism Efficiency upgrades, retrofits, education, behaviour change Real-time energy use adjustments via automation or manual action
Scope Broad. Includes DR as a subset Narrow. Focuses on immediate grid support

 


How DSM Empowers Large Energy Users Facilities

Facilities with significant energy needs—like manufacturers, cold storage facilities, and multi-facility campuses—can benefit immensely from DSM initiatives. Here are some examples of how DSM works in practice for these sectors:

1. Manufacturing and Processing Plants

  • Smart Metering: Real-time energy data helps identify inefficiencies.
  • Heat Recovery Systems: Reuse waste heat for industrial processes.
  • Battery Storage: Shift grid reliance during peak periods and automate DR participation, reducing costs.
  • Advanced Automation: Optimize production schedules to align with off-peak energy hours, saving on costs while maintaining output.

 

2. Cold Storage and Warehousing

  • Efficient HVAC Systems: Reduce the energy intensity of refrigeration and climate control.
  • Load Shifting: Leverage battery storage to power equipment during on-peak hours.

 

3. Steel, Cement, and Industrial Gas Facilities

  • Ҵý Shaving: Smooth out energy peaks to reduce demand charges.
  • On-Site Generation: Install renewable systems to lower overall grid dependency.
  • Energy-Efficient Upgrades: Retrofit older equipment to modern standards for improved energy performance.

 

At Ҵý Power, we specialize in developing and optimizing battery storage, solar + storage, and smart EV charger management. These kinds of projects may even qualify for rebates from your local utility or for payments from capacity markets, depending on your region. If you’re contemplating energy-efficiency projects for your facility, our experts can help you explore local incentives and figure out next steps.


Why Invest in Demand Side Management Initiatives?

1. Stabilizing the Grid

By reducing peak demand and increasing efficiency, DSM ensures a more resilient and reliable electricity grid. For facilities, this means fewer disruptions and a more predictable energy landscape. Facilities with behind-the-meter energy storage solutions and renewable energy systems contribute significantly to this grid stability.

2. Boosting Your Bottom Line

DSM reduces energy costs through efficiency, curtailment, load shifting, and participation in incentive programs. Facilities can monetize their energy flexibility with distributed energy Ҵý (DERs). Additionally, demand-side programs help facilities optimize operational schedules to consume energy at lower tariff times, further reducing costs.

3. Pursuing Net Zero

Another important benefit of DSM is that it helps energy managers achieve their environmental targets. By transitioning to more efficient equipment and processes, as well as reducing energy consumption during peak demand periods, your facility can reduce its Scope 2 emissions.


Why Choose Ҵý Power?

At Ҵý Power, we’re experts in implementing energy storage solutions tailored to industrial and commercial facilities. Our end-to-end services include:

 

Demand-side management is about building resilience, lowering costs, and preparing for a sustainable future. If you’re ready to explore how our solutions can transform your facility’s energy operations, Ҵý Power is here to help. Contact us today to learn more or see if your facility could be eligible for a zero capex energy storage system through a shared savings agreement.

Our market knowledge and expertise can help you get the most out of your energy operations.

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Navigating Demand Response: Find the Right Program for Your Facility /2024/09/04/navigating-demand-response/ Wed, 04 Sep 2024 15:45:11 +0000 /?p=5281 As an energy manager of an industrial or manufacturing facility, one of the challenges that probably keeps you up at night is reducing your facility’s utility bill. After all, how do you reduce consumption and avoid peak charges when so many of your operations are mission-critical? That’s where energy storage and demand response programs come […]

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As an energy manager of an industrial or manufacturing facility, one of the challenges that probably keeps you up at night is reducing your facility’s utility bill. After all, how do you reduce consumption and avoid peak charges when so many of your operations are mission-critical? That’s where energy storage and demand response programs come in.

While demand response programs were developed to help balance the electrical grid at peak times and avoid blackouts and brownouts, they have many trickle-down benefits for facilities and the greater community. By enrolling in a demand response program, facilities can realize significant bill savings for reducing their energy demand during these periods of peak stress on the grid. In some cases, they can even earn revenue through grid services.

Essentially, demand response programs monetize your facility’s ability to be flexible with its energy usage. In this blog post, we take a deep dive into the world of demand response programs, how they work, and which programs are available.

 

Demand response 101: Understanding the basics

Balancing the electrical grid is no small task. The grid is being stretched to the max to meet our insatiable need for energy for everything from cooling and AI to EVs. Add to that the intermittency of renewables, and you have a perfect storm. Demand response programs help utilities meet this demand without relying on fossil fuel-fired peaker plants. What does all this mean for you?

Demand response (DR) is an that maintains grid reliability and security while helping lower electricity prices. At peak times, such as during a heat wave when the need for cooling spikes, demand may surpass a utility’s generation capacity. In this case, a utility will either be forced to rely on peaker plants or ask demand response participants to lower their demand, mitigating any possible grid issues. And that’s where your facility can play a key role.

During a DR event, a facility will reduce or eliminate unnecessary energy loads (load shed). However, this isn’t always possible, and in those cases, load shifting might be a more effective strategy. This refers to shifting when the peak load occurs to reduce the demand costs and balance the grid. There’s also a sophisticated form of load shedding known as , which automatically sheds loads based on pre-programmed policies between the utility and its customers. Often, batteries are used for load shifting and load shedding as they enable a facility to lower peak demand.

When choosing a demand response program, you might come across the term demand-side management (DSM). While they are similar, there are some noteworthy differences. The key distinction is the aim of the program. With DSM, the focus is on reducing energy demand over the long term. This would include things like switching to energy-efficient light bulbs or rebates for customers who purchase ENERGY STAR-certified appliances. Demand response, on the other hand, reduces or shifts demand in response to real-time grid events, helping address fluctuations as they happen.

 

Demand Response in Action

Lactalis Canada Inc., a subsidiary of the world’s #1 dairy group, Lactalis Group, was looking for a solution to reduce their demand charge costs. Like many manufacturing and industrial sites, the rising costs of energy paired with momentary power fluctuations were impacting production levels, schedules and the bottom line.

With three sites live so far, the batteries reduce energy costs through peak shaving and demand response, with a focus on reducing Global Adjustment charges. The batteries are operated in accordance with Ҵý Power’s industry-leading grid event forecasting capabilities.

Impact:

  • Reduced utility costs
  • ~$184,000 energy savings as of September 2024

See the full project details >

Demand response-enabled battery in front of a dairy processing plant

Customer
Lactalis Canada
Location
Ontario, Canada
Activation
2021
Capacity
2 MW / 4.5 MWh

 

Why facilities choose to become demand response Ҵý

Participating in a DR program is not only an opportunity to tap into a new revenue stream but also turns energy consumers into prosumers who can play an active role in shaping our energy future. By helping balance the grid, these facilities are contributing to a cleaner tomorrow.

Other benefits of participating in a demand response program:

  • Lower energy costs due to curtailing energy usage at peak times
  • Generate revenue from your ability to reduce energy consumption during peak times
  • Contribute to your local community by helping avoid blackouts and brownouts
  • Protect operations by preparing your equipment for blackouts when you receive a DR warning
  • Reduce emissions by helping utilities avoid peaker plants

 

There are demand response programs across the US and Canada. While they all have similar benefits, California, Massachusetts, and Ontario have the most favourable markets for generating revenue from demand response. These regions offer a range of demand response programs with robust incentives and support mechanisms that make enrolling in a demand response program worthwhile.

 

Making sense of demand response programs

Demand response programs vary greatly from state to state. Things to consider include the rates of payment, required response time, and whether there are any penalties.

A few of the most popular demand response programs include:

  • Capacity – These are the most common type of demand response program. It usually has a longer response time than other programs.
  • Economic – These demand response events are in response to pricing spikes. The aim is to stabilize the near-term energy price level.
  • Ancillary – These are fast-response programs to balance the grid in the event of a power outage, extreme weather events, or insufficient generation.
  • Utility – These are utility-level programs that grid operators use to balance the grid. They can be combined with grid-level programs.

 

Choosing a demand response program that’s right for you

When choosing a demand response program, there’s a lot to consider, and the decision can quickly become overwhelming. It’s important to consider a range of factors, like whether you have specific revenue generation goals and which operations can be temporarily shut down.

Once you’ve made these decisions and have a better idea of what you’re looking for, it’s important to explore the different demand response programs. Below, we break down the main demand response programs in California, Massachusetts, and Ontario.

 

Program name Location & Provider Description Eligibility Benefits

California

Proxy Demand Response California, CAISO A way for companies to sell their electricity savings directly to CAISO’s wholesale market without going through an intermediary.
  • 0.1 MW (100 kW) for Day-Ahead and Real-Time energy
  • 0.5 MW (500 kW) for Day-Ahead and Real-Time energy Non-Spinning Reserve, and Spinning Reserve
  • Smaller loads may be aggregated together to achieve minimum
Financial incentives based on aggregated load reduction participation in energy markets.
Reliability Demand Response Resource (RDRR) California, CAISO Enlists large energy users to reduce their electricity usage during times of emergency.
  • Minimum load curtailment of 0.5 MW (500 kW)
  • Deliver reliable energy in real-time, reaching full curtailment within 40 minutes
  • Minimum run time > 1 hour
  • Maximum run time < 4 hours
Financial incentives based on aggregated load reduction participation in energy markets.

Massachusetts

Clean Ҵý Energy Standard Massachusetts, Department of Energy Resources Rewards renewable generation and energy storage systems that contribute to grid resiliency via demand response.
  • New renewable Ҵý that came online after January 1, 2019
  • Existing renewable Ҵý that add new energy storage capacity of at least 25% of the renewable nameplate capacity
  • New energy storage that is charged primarily from renewables
Over ten years, a CPS will save ratepayers $710 million net and reduce CO2 emissions by 560 thousand metric tons.
ConnectedSolutions Massachusetts, utility-level A utility-level program that offers incentives for reducing energy consumption during peak demand events, managed by Eversource, National Grid, Unitil. Must have an account with National Grid, Eversource, or Unitil. You can participate with renewable-only, renewable + storage, and storage-only systems. For Cape Light Compact Customers, Eversource, and Unitil customers, add $65/kW-summer (total $100/ kW-summer) to the Targeted Dispatch incentive when curtailing/discharging with electrochemical battery storage such as a lithiumion or redux battery.

Ontario

The Industrial Conservation Initiative Ontario A demand response incentive for medium and large-sized facilities. This program rewards participants who shift usage away from peak hours. Must have an average monthly peak demand greater than 500 kW during an annual base period from May 1 to April 30. Save up to 1/3 off your bill.
Demand Response Auction Ontario An IESO-administered program where participants commit to reducing electricity consumption during peak periods. Large commercial, industrial, and institutional consumers with the ability to reduce load on short notice. Participants are paid based on their capacity to reduce demand.

Learn about more energy incentives and programs on our Ҵý page >

 

 

Questions to ask before choosing a demand response program

While there are a range of demand response programs out there, the key is to find one that suits your needs and objectives. A good place to start is by asking the right questions. This will help you assess a program’s suitability.

  1. What are the eligibility criteria for participating? Different DR programs are available for different customers, including residential, commercial, industrial, manufacturing, and agricultural. It’s important to check the eligibility requirements of a particular program to see if you qualify.
  2. What is the minimum load reduction or participation threshold required? Most demand response programs have a minimum load reduction requirement to ensure participants contribute significantly to grid stability during peak demand.
  3. Are there penalties or consequences for non-compliance? Some programs include penalties for failing to reduce electricity demand by the agreed-upon amount.
  4. How much control will you have over your energy usage during demand response events? Some programs offer flexibility in how and when you reduce your energy usage, while others may have strict guidelines.
  5. How might participation in this program impact your day-to-day operations? Reducing energy usage during demand response events can affect your facility’s productivity, especially if energy-intensive processes are involved.
  6. Are there specific technical requirements or equipment needed to participate? Demand response programs may require specific technologies or equipment, such as smart meters or energy management systems, to monitor and manage energy usage during demand response events.
  7. What are the financial incentives? Financial incentives are a key motivator for participating in demand response programs. These can include direct payments, bill credits, or reduced energy rates.
  8. What is the duration of the program, and what are the terms of commitment? Knowing the duration of the program and the terms of your commitment is important for long-term planning.
  9. Are there any regulatory requirements? Some demand response programs may have regulatory implications, especially if they are tied to government policies or incentives.
  10. How will integrating a battery affect your facility’s participation in demand response programs? Integrating a battery will enhance your facility’s flexibility by enabling you to store energy for peak times, respond quickly to demand signals, and reduce reliance on the grid, thereby increasing your potential savings and program eligibility.

 

Final thoughts

While the world of demand response programs can be daunting at first, it’s worth exploring. Because with a little effort, you’re bound to find a program that suits your facility.

Whatever your objectives, demand response programs are a powerful way to contribute to a stable grid and cleaner energy future, especially when you have the right technology. It’s truly a win-win. Reach out, and our energy experts will help you find the ideal program for your facility.

If you’re seeking ways to optimize your current energy strategies, talk to us about our end-to-end battery energy storage solution or our peak event notification service.

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Interview with Our IT Infrastructure and Security Analyst /2024/07/18/interview-with-our-it-infrastructure-and-security-analyst/ Thu, 18 Jul 2024 12:18:12 +0000 /?p=5249 We sat down with Ҵý Power’s expert on all things IT & Security – Kevin Sauves. Kevin is a Certified Information Systems Security Professional (CISSP). Which means he possesses the knowledge and skills to effectively design, implement, and manage a best-in-class cybersecurity program. This is one of the most respected certifications in the cybersecurity field, […]

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kevin sauvesWe sat down with Ҵý Power’s expert on all things IT & Security – Kevin Sauves. Kevin is a Certified Information Systems Security Professional (CISSP). Which means he possesses the knowledge and skills to effectively design, implement, and manage a best-in-class cybersecurity program. This is one of the most respected certifications in the cybersecurity field, recognized worldwide.We chatted about his journey in IT, the importance of curiosity, his perspective on security, the balance of both convenience and privacy, and tips on how we can all up our security game.

Tell us about your role with Ҵý Power and what you enjoy most.

I’m an IT Infrastructure and Security Analyst with Ҵý Power. Broadly, that means that I help people fix problems. I love technology and understanding how a machine ‘talks to itself’ so to speak, along with the security aspect. When things aren’t working properly that’s where I’m most curious. My role is to act as the liaison between security and implementation and to be as secure as we can.

What inspired you to pursue a career in IT and Security?

It’s funny. I was 11 and I had just built my first computer. It went up in flames. It was very smoky, but when I went back to the computer store, they provided insight on the cause. It was an issue with a stick of Random Access Memory (RAM) that was not properly installed leading to the sparks. It’s the story of my life, assessing errors, and acting on errors to improve.

I’ve always loved fixing things but the interest in security happened later. I had a great former manager that made me aware of the security world. When we completed our security certification with that organization, that’s when I knew that was where I wanted to go.

The past few months you’ve been co-hosting Security Lunch & Learns for our internal team. What types of topics have been discussed, and from your perspective, why are these discussions so important?

I’ve been co-hosting these Lunch & Learns with Mark Reale, and we didn’t expect that it would be this exciting.

It all started when he and I were talking about how we can make it fun to talk about current technology (e.g. biometrics, encryptions) and ways we can both protect ourselves and make it interesting for others. Mark has always had a good perspective on this. The Lunch & Learns was intended to be a platform where we would chat about security, policies, and what’s going on within Ҵý Power. The forum started expanding and people brought their own topics. These days, we’re talking about policies we’re looking to implement as we work towards a better security posture.

A photo of a cute, smiling corgi dog
A very important photo of Kevin’s corgi, Ahsoka

There’s been a high level of turnout to the Lunch & Learns, can you speak to the ways in which you’ve engaged the team around security and your perspective on the success of this initiative?

The forum has been great; people love to go there and talk about what’s on their mind as it relates to security. Security for me is the intersection of convenience and privacy and how we can make it balance. You can’t have one without the other. Each organization is different but putting this on the radar for employees early on, implementing it as part of our policies from get-go, and tracking progress is important. That way employees can put in their two cents, and it brings awareness to us on areas we may not have yet thought of.

In fact, some people from the company have formed an informal “Loophole Committee” where they try to find vulnerabilities in the policy. It started as a joke, but it’s actually become a fun way for people to be engaged with our new policies

What are two quick ways we can all up our security game?

  1. Know the tech you are going to implement. It is very easy for you to buy or install any tech, but if you don’t know what information they can get from you it can be a concern. You need to know where your information is going. Often if it’s free, it’s likely they want access to your information.
  2. Password managers. Shoutout to ! This is probably my favorite product ever. I use it professionally and personally. There are so many passwords we have that we often don’t recall. To offer both a secure solution and to store your passwords in one place where you know where it will be – it’s life changing! And knowing everything is secure… that’s big!

For those looking to pursue a career in IT, what advice would you give?

Be good people. I started my career while working for Apple which turned my eyes to IT and security. If you want a career in IT, you need the ‘je ne sais quoi’, that customer service mindset and friendliness. The human aspect of this is very important. Respecting others and coming to a problem with a curious mindset to understand why the problem is occurring is important. Be curious, be the subject leader on the tech you love, continue to build something on the side, and make mistakes!

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Ҵý Shaving or Load Shifting: What Every Industrial Facility Needs to Know /2024/07/17/peak-shaving-or-load-shifting-heres-what-every-industrial-facility-needs-to-know/ Wed, 17 Jul 2024 14:22:08 +0000 /?p=5264 Few things impact an industrial facility’s utility bill more than peak loads. These are periods of high energy usage, usually in the evening or during weather extremes when the grid is strained and renewables aren’t available. To meet this demand and avoid blackouts or brownouts, utilities are often forced to rely on fossil fuel peaker […]

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Few things impact an industrial facility’s utility bill more than peak loads. These are periods of high energy usage, usually in the evening or during weather extremes when the grid is strained and renewables aren’t available. To meet this demand and avoid blackouts or brownouts, utilities are often forced to rely on fossil fuel peaker plants, causing electricity rates to soar.

For industrial facilities, this becomes especially problematic when the bulk of their energy usage is during peak load periods, resulting in costly . But how can industrial facilities avoid these costs while still powering their mission-critical operations?

There are two options: peak shaving and load shifting. While both energy management approaches reduce stress on the grid, they differ in their timing, approach, and objectives.

 

Ҵý Shaving Explained

Ҵý shaving is about reducing energy consumption during . As its name suggests, it involves ‘shaving’ energy peaks. At peak demand, another energy source besides the grid will be used. Often, this is a demand-side battery that stores energy during off-peak times when renewables are abundant to be discharged at peak times.

A line graph showing typical energy usage of a building. The line peaks in the afternoon, and there is a chunk of this taken up by a battery and alternative sources. The rest of the energy is provided from the grid.
Ҵý shaving with a battery or alternative energy source

 

A line graph showing typical energy usage where the spike occurs in the afternoon. The graph also shows the adjusted usage where the energy is the same, except during the afternoon where the peak is lower.
Ҵý shaving through curtailment

Batteries add reliance and stability to the grid. They’re also an essential resource for reducing an industrial facility’s energy bills as they avoid reliance on the grid at peak times when energy is the most expensive. Demand-side battery energy storage systems can also be bidirectional, meaning they can discharge to the grid, helping further balance the grid while adding an additional revenue stream to industrial facilities.

Bidirectional Charging In Action

In 2019, we activated a 1 MW/ 4 MWh demand-side battery system on the premises of a manufacturing site in Kearny Mesa, San Diego. The battery is used for time-of-use rate shifting, demand charge reduction, and demand response. In addition to the site being equipped with a CAISO and RIG, the energy system can be managed and optimized with Ҵý Power’s software, Ҵý Synergy, turning it into a flexible grid resource. This project has delivered approximately $554,000 in savings since it came online in 2019.

Ҵý shaving can be achieved with different technologies:

  • Battery energy storage systems: Solve for the intermittency of renewables, storing energy when renewables are abundant to be discharged at peak times
  • On-site generation: This includes solar and wind turbines, which produce energy that can be used during peak demand. Works best when combined with energy storage
  • Curtailment: Where a facility intentionally limits or reduces its power consumption by powering down non-essential machinery and operations.
  • Energy efficiency: Energy efficiency can help a facility reduce energy usage at peak times. In Toronto, for example, various energy efficiency measures, like adjusting a facility’s global temperature and optimizing chiller temperature setpoints, can save on Global Adjustment fees.

 

Example of Ҵý Shaving in Action
Location Ontario, Toronto
Activation July 2022
Capacity 500 kW / 1,000 kWh
Overview John’s facility has high energy demand during peak hours, especially in the summer. To reduce demand charges associated with this energy usage, the facility invested in a 500 kW / 1,000 kWh BESS.
Total Monthly Savings Non-coincident charges (without BESS): $39,062.52
Non-coincident peak savings: $4,890.76

Using peak shaving, there was a savings of just over 12% on a single bill.

These are based on a facility’s load and usage. A battery is used to shave off these charges.

 

Load Shifting Explained

Load shifting is similar to peak shaving in that it aims to alleviate stress on the grid during peak times. But it works differently. With load shifting, energy consumption is shifted from peak hours to off-peak hours when demand is the lowest. This balances the grid by shifting demand to off-peak times. Load shifting is all about redistributing energy consumption.

A line graph showing the typical energy usage with a peak in the afternoon. There is a second line showing adjusted usage which has higher usage in the night and evening and a lower usage in the afternoon.

A good example is an industrial facility that could schedule its machines to operate during the middle of the day when there’s less demand on the grid. Of course, this would only work if the machines aren’t mission-critical and can be operated at another time. And that’s one of the biggest drawbacks of load shifting.

Load shifting is all about when you use energy. In other words, when you use energy is just as important as how much you use it. That means that load shifting doesn’t actually reduce energy usage. It simply changes when you use energy.

There are several technologies for load shifting:

  • Battery energy storage systems: In industrial facilities, energy storage systems can store energy at low cost during off-peak hours and discharge at high-cost peak hours.
  • Load shifting without energy storage: A facility’s operation schedules for everything from thermostats to HVAC and equipment can be adjusted to suit different load-shifting models, moving energy-intensive activities to off-peak hours.

 

Example of Load Shifting in Action
Location Ontario, Toronto
Activation July 2022
Capacity 500 kW / 1,000 kWh
Overview John’s facility has high energy demand during peak hours, especially in the summer. To reduce demand charges associated with this energy usage, the facility invested in a 500 kW / 1,000 kWh BESS.
Total Monthly Savings Coincident peak charges (without BESS): $87,028.26
Coincident peak savings: $7,889.66

Using load shifting, there was a savings of just over 9% on this bill.

The facility’s energy consumption is shifted in response to demand on the grid.

 

Ҵý Shaving Vs. Load Shifting: Which is Right For You?

While both peak shaving and load shifting enhance , peak shaving manages peak loads while load shifting optimizes energy usage based on price or grid conditions. Another important difference is that peak shaving reduces the overall energy being consumed from the grid, while load shifting doesn’t reduce overall grid consumption. What does this mean for your facility?

For many industrial facilities, peak shaving is the best option as this reduces their heavy demand charges and energy usage without affecting the facility’s operations. This is key. Generally, facilities have inflexible loads that can’t be shifted to low peak hours. For example, there might be an HVAC system that’s crucial to the facility’s operations or a machine that needs to run continuously. In this case, it’s impossible to .

The combination of renewables, such as solar power and demand-side energy storage, further enhances the appeal of peak shaving for industrial facilities. In this case, batteries store the renewable energy generated during the day, which can be utilized during peak times when the grid is under strain. Apart from the financial benefits and energy security, peak shaving also contributes to a facility’s sustainability efforts by reducing its carbon footprint and Scope 2 emissions. This comprehensive approach not only slashes energy bills but also is an essential part of the transition to a cleaner tomorrow.

 

Final Thoughts

Ҵý shaving and load shifting are a departure from how C&I buildings and industrial facilities have traditionally consumed energy. While different, both play important roles in the energy mix.

Navigating the world of energy management can be overwhelming, but it doesn’t have to be. We’re here to help you build a peak shaving strategy that suits your facility. Book a call with us to learn more about our solar and no-cost energy storage solutions.

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