How Facilities Managers Can Turn Energy Into Revenue

How Facilities Managers Can Turn Energy Into Revenue

This post provides the following information about MCE’s Peak FLEXmarket Program:
● How facilities can earn revenue through the program
● Strategies for shifting electricity use during peak hours
● Eligibility and how to participate

Large facilities such as schools, hospitals, warehouses, or manufacturing sites often use a substantial amount of electricity on operations such as lighting, cooling, refrigeration, or running equipment. For people who manage these large facilities, using electricity more efficiently is a key way to reduce costs, and achieve decarbonization goals.

If you’re a facilities manager, read on. With MCE’s Peak FLEXmarket program you could receive compensation for adjusting electricity use at your facility.

What is the Peak FLEXmarket Program?

MCE’s Peak FLEXmarket Program pays facilities to shift their electricity use out of 4–9 p.m. summer peak demand hours during demand response events. Demand response events include events such as Flex Alerts which are periods of particular strain on the grid when consumers are asked to reduce electricity consumption. Lowering energy use during demand response events improves the reliability of the power grid, preventing blackouts, and reducing California’s reliance on fossil fuel peaker plants.

How do you get paid?

Participants in the Peak FLEXmarket Program are paid $2.00 per kWh for energy load shedding, or shifting, during demand response events. You will receive email notifications approximately 24 hours in advance to prepare for the event. Facilities are compensated the most when the need to lower consumption is the greatest. Participation in this program can lead to significant cost savings for your facility.

MCE measures and monitors your energy savings and sends you a check based on your results in the fall.

“Aside from bill savings and supporting the grid, there is the added benefit of participating in MCE’s Peak FLEXmarket Program, which will compensate us⎯at a rate 4-5 times greater than retail value⎯for the electricity we would have otherwise used.”

How can your facility shift electricity use?

Your facility can implement a range of clean energy strategies, such as making behavioral changes, adjusting building or equipment controls, and discharging battery storage during demand response events. Electricity load-shifting strategies may include the following:

  • Adjusting HVAC controls for precooling or a modified set point
  • Adjusting the lighting dim set point, turning off zones, or delaying exterior lighting
  • Rescheduling hours of operation or equipment usage
  • Utilizing energy storage


How can you participate in the Peak FLEXmarket Program?

Facilities must meet the following criteria to be eligible for participation:

  • You are in MCE’s service area.
  • You have a dedicated staff member able to support energy usage changes at your facility.
  • You have a SmartMeter that generates interval data for the previous 45 days prior to any event day, and continues through 15 days after an event. MCE screens each site for data sufficiency.
  • You are not currently participating in another demand response program.

Join MCE’s Peak FLEXmarket Program to reduce your facility’s energy costs and contribute to a cleaner, more reliable grid! Complete the Peak FLEXmarket Interest Form to determine if the program is right for your facility.

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