Programs
What resiliency programs does Georgia Power offer?
Georgia Power offers three (3) new resiliency programs that utilize distributed energy resources (DER): the DER Customer Pilot, the DER Colocation Program, and the DER Customer Owned Program. Each offering has specific eligibility criteria and can be custom tailored to the size, technology, and timing needs of the customer.
What are the key advantages for customers that participate in these programs?
Participating customers will have a readily available resource to provide resiliency in the event of an outage at a more affordable cost by allowing Georgia Power access to the operation of the resource. This affordability benefit is offered either through a reduced lump sum payment (DCL) or a monthly credit (Pilot or DCO) by allowing Georgia Power to exclusively utilize the resource. The participating customer will always have first call rights on the resource to back up their electric service in the event of an outage.
What is the DER Customer Pilot?
Georgia Power’s DER Customer Pilot supports qualifying commercial and industrial customers with enhanced resiliency needs and provides demand response value and corresponding system reliability benefits for all customers. Participating customers will receive enhanced resiliency service during power outages by having a Georgia Power owned back-up generator or other back-up type resource(s) on their premises and also have the option to receive a credit by allowing Georgia Power to access the resource in times of system reliability events. The program is implemented under two tariffs: 1) the Resiliency Asset Service (RAS) Tariff, and 2) the Demand Response Credit (DRC) Tariff.
Resiliency Asset Service (RAS) Tariff
Participation in the RAS Tariff will provide customers with resiliency as a service utilizing a Georgia Power-owned, operated, and maintained DER. Participants will pay a fixed monthly service fee in exchange for enhanced resiliency during outage events.
Demand Response Credit (DRC) Tariff
If participating in the RAS Tariff, customers will have the option to participate in the DRC Tariff as well. Georgia Power will provide participants with a fixed monthly credit in exchange for Georgia Power’s use of the DER during system reliability events. Credits are based on the amount of demand response the resource is capable of providing as well as the capacity value of the DER.
What is the DER Colocation Program (DCL)?
Georgia Power’s new DER Colocation Program provides qualifying large commercial and industrial customers with the option to receive enhanced resiliency benefits from an onsite DER while also allowing Georgia Power to dispatch the resource to serve the rest of its retail customers. Participating customers will make a lump sum payment upon entering the program, and Georgia Power will construct, own, operate, and maintain a back-up generator or other back-up type resource(s) on the customer’s premises.
What is the DER Customer Owned Program (DCO)?
Georgia Power’s new DER Customer Owned Program allows qualifying commercial and industrial customers who wish to own a dispatchable DER to back-up their electric service to also receive a monthly credit in exchange for granting Georgia Power the right to dispatch and utilize the asset to serve all of its retail customers.
Requirements
What are the eligibility requirements to participate in this program?
All participating customers must be served by Georgia Power and allocate adequate space for the resources to be installed.
- DER Customer Pilot:
- RAS: 200kW minimum annual peak load
- DRC: 1000kW minimum demand reduction
- DCL: Systems must be at least 10MW
- DCO: Systems must be 1 MW or greater, but less than 10 MW. Customers may aggregate assets at multiple premises to meet the 1 MW minimum requirement, provided that each premises’ DER is 250 kW or greater.
What do you need to know about my business to size the resource?
We need to know how much of your peak load you intend to serve with this resource. While we can estimate the appropriate size of a generator based on your company’s power usage, to properly size your generator we will want to determine your resiliency needs and a few other technical factors including the types of equipment and their electrical characteristics such as in-rush current. It is also important for us to know about any electrical need changes expected whether through new equipment or business expansion.
How often will maintenance be performed on the generator in the Georgia Power owned options? What can be expected from this?
Maintenance and repairs of the generator are included in this program. Maintenance and repairs will be conducted by Georgia Power employees and maintenance partners in accordance with the manufacturer recommendations to ensure reliability when it is needed. While the specifics of maintenance will vary by size and manufacturer, it generally includes items such as inspections, oil and filter changes, and replacements of seals, spark plugs, fuses, belts, hoses, and batteries. Operation of the resource will occur at periodic intervals (ex. weekly, bi-weekly, or monthly depending on the equipment requirements) to ensure proper operation when needed. The expected run time generally precludes the need for any major overhauls during the term of the service agreement.
Can a customer use the resource to reduce their load during high priced hours?
No, peak shaving or utilizing the resource for any other purpose other than to provide back-up service is not allowed. In all programs, Georgia Power retains control of the DER and will dispatch when necessary.
Resource Details
What types of resources are offered under these programs to provide resiliency?
Resources must be dispatchable and have firm fuel supply and utilized only by the customer for back-up service. Traditional reciprocating internal combustion engines that utilize diesel or natural gas fuel as well as battery energy storage systems meet that technology criteria. Customers may request Georgia Power to review other technologies to determine their eligibility in the program.
Who owns, operates, & maintains the resource(s)?
DER Customer Pilot: Georgia Power will own, operate, and maintain DER Program resources.
DCL: Georgia Power will own, operate, and maintain DER Program resources.
DCO: Customer will own resource while Georgia Power will operate and control the DER Program resource.
Where will the resource(s) be installed?
The installation location will be specific to each customer, but in general the resource will be installed on the participating customer’s premises behind or in front of the utility meter.
What is normally included in the cost of installation?
- Hardware (generator, ATS, gateway, etc.) installation
- Civil site work (dirt work, concrete pad)
- Electrical wiring and conduit from resource to your facility
- Mechanical components (ex. natural gas piping to the resource)
- Labor costs (installers, contractors, oversight)
- Transport and logistics
- Equipment siting (crane or lifts) for installing larger components
What if I already own a generator?
All 3 programs require new generators. Any generators that have previously been commissioned or are already online will not be eligible to participate.
What equipment will be installed in the Georgia Power owned options?
Each solution is intended to be customized to serve the resiliency needs of the individual customer, however most systems are expected to include the following:
- a dispatchable multi-hour operational resource (typically diesel or natural gas back-up generator or battery energy storage system) with enclosure
- a controls gateway for remote monitoring and dispatch
- electric connections to tie-in to the facility
Costs
How do I pay for the service received under the programs?
DER Customer Pilot: On the monthly electric bill. The fee for this service is intended to be fixed for the entire term of service.
DCL: An upfront lump sum payment is required upon execution of the project. Any costs associated with the electrical interconnection may be passed through under a separate required payment.
DCO: A fixed, monthly credit will be deducted from the monthly bill. Any costs associated with the electrical interconnection may be passed through under a separate required payment.
Will I need an interconnection study for the generator to be connected to the grid?
The DER Customer Pilot does not require an interconnection study to be performed since it is a demand-side resource and is not intended to push back onto the grid. The DCL and DCO will require an interconnection study to be performed since both programs involve supply-side resources and the resources will be capable of pushing back onto the grid. The interconnection study process for connecting generators at distribution voltage is less rigorous than connecting resources at transmission voltage or that will push back onto the transmission system. Customers requesting participation in the DCL or DCO Program, where connecting a generator to the distribution system, will be required to pay an upfront $3,500 study fee per project. Customers requesting participation in the DCL or DCO Program, where connecting a generator to the transmission system, will be required to pay a study fee per project pursuant to the requirements of the Southern Companies Open Access Transmission Tariff for large (>20 MW) or small (<20 MW) generators.
Who manages and pays for the fuel?
DER Customer Pilot: The customer will be responsible for the fuel costs. All fuel costs incurred will be passed to the customer and will include an annual true-up based on actual operation of the asset. Georgia Power will manage the fuel delivery and inventory.
DCL: Georgia Power will be responsible for fuel costs. Georgia Power will manage the fuel delivery and inventory.
DCO: Georgia Power will be responsible for fuel costs. Where applicable, Georgia Power will manage the fuel delivery and inventory.
What is the maximum and minimum term length that a customer can participate in this program?
The DER Customer Pilot and DER Colocation Program are consistent with the life of the asset. Traditional reciprocating internal combustion generators typically last for 20 years while battery energy storage systems average 15 years. The minimum term length is negotiable, but in most cases will be no less than two-thirds of the asset life. Georgia Power will work with customers to find the optimal solution for these and other technologies. Georgia Power’s DER Customer Owned Program is currently open for participation through 2031.
Operational Details
How often will this resource operate?
DER Customer Pilot: Under the RAS Tariff, the asset will be designed to automatically operate in the event of an outage at the customer’s premises, so how often the resource turns on will be specific to each customer’s local reliability. Additionally, Georgia Power will operate the machine occasional for testing as part of a normal operations and maintenance routine. If the customer participates in the DRC Tariff, the generator may run occasionally to support the reliability of Georgia Power’s electrical grid which will be no more than 200 hours per year.
DCL: The resource will automatically operate in the event of an outage on the premise so recurrence in specific to each customer’s reliability. Georgia Power reserves the right to utilize the asset for its own economic dispatch.
DCO: The resource will automatically operate in the event of an outage on the premise so recurrence in specific to each customer’s reliability. Georgia Power reserves the right to utilize the asset for its own economic dispatch.
How will my operations be affected when the resource is running?
In the event of an electrical service interruption, the asset will turn on automatically to restore electrical service. If there is no service interruption and Georgia Power is operating the resource for normal testing or to support grid reliability, the resource will be designed for an uninterrupted, seamless transfer from the grid to the generator and back.
What if I move my facilities or close them before the end of the 20 years?
The service agreement between Georgia Power and the customer will include termination provisions that address specific scenarios. In the case of a customer ceasing to take electric service from Georgia Power during the term of the agreement, the financial obligations identified in the contract must still be satisfied for the remaining costs associated with the generator under the contract. In the case of a change in ownership or tenancy of the facility, a transfer of responsibility to the new owner or tenant may take place with Georgia Power’s approval.