
In a program designed to reduce California’s peak afternoon grid demand, the CPUC this month moved about 2,000 PG&E customers – large commercial power users with a demand over 200 KW – to a new pricing structure that charges more in summer afternoon hours, and less in off-peak hours.
The state’s peak summer demand forecast is expected to be 47,139 megawatts, lower than the 50,270 megawatts of four years ago. Rooftop solar already produces over 2.5% of California’s sunny afternoon electrons for the grid, which has reduced the peak summer afternoon demand over the last few years.
The change will provide an incentive for hotel chains, large manufacturers, school districts, hospitals and some office buildings to consider the many available alternatives that would move their power demand to off peak times.
Some examples include using night power to supply daytime air conditioning or adding solar that typically produces the most power during peak times, thus offsetting their peak load.
This policy greatly improves the already good economics now for solar for commercial users, whether investing in their own solar system, or simply contracting for the solar power itself, using a power purchase agreement (PPA) with a company that builds a solar system for them. Most companies that have added renewable energy have saved money.


















