Honeywell International Inc. has been awarded an $11.4 million grant from the Department of Energy to create an automated peak pricing system in California as part of the DOE's Smart Grid project, the company said Nov. 17.
Based on open automated demand response standards, the system will receive the utility's signal, communicate with the facility's building automation system and make changes based on parameters the customer sets. This could include turning off banks of lights, cycling equipment on and off or temporarily increasing temperature set points in the facility, according to Honeywell.
In addition to installing the technology, Honeywell will provide customer outreach, education and engineering services and ongoing support.
The program will support nearly 700 customers in the Southern California Edison service area, who will move to critical peak pricing -- a program that offers rate discounts during the summer months to customers who can reduce or shift power during periods of peak electrical consumption.
The new rate structure will see prices spike during periods of peak demand, approximately 10 to 15 days per year. SCE will send a notice prior to any increase, and Honeywell will install technology that allows customers to automate load-shedding strategies that reduce energy use during these periods, the company said.