Sunnova installed this LG Chem system in Puerto Rico
Sunnova Energy announced that it is ready to participate in the Battery Emergency Demand Response program in Puerto Rico. This program revolutionizes the way distributed solar and storage customers contribute to grid stability during periods of high demand and are financially compensated for their contribution. By voluntarily participating in the program through the Sunnova Flex Power Program, Sunnova customers will play an active role in bolstering the grid and supporting a reliable power supply for Puerto Ricans.
During periods of grid instability, typically when existing power plants are unable to meet high demand, Sunnova’s fleet of batteries will be called upon to provide energy, dramatically reducing strain on the grid and minimizing blackouts. In return for their battery response and contribution, customers will be compensated for the power supplied by their batteries. This approach not only incentivizes customers to embrace renewable energy solutions but also creates a win-win-win situation whereby the grid is strengthened, customers receive an additional financial benefit from their systems, and heavily polluting peaker plants are relied upon less. Through this initiative, Puerto Ricans can benefit from a steadier power supply while Sunnova customers benefit from the advantages of their energy-conscious decisions.
“The unfortunate reality of an unreliable local electrical grid and frequent power outages has plagued Puerto Rico for far too long. Luckily, a new era of energy stability and empowerment is here. By harnessing the energy stored in batteries during times of high demand or emergencies, homeowners can actively contribute to grid stabilization and be rewarded for their valuable contribution, all while benefitting electricity consumers across the Island,” said William J. Berger, CEO of Sunnova, emphasizing that Sunnova customers will maintain resiliency and energy independence and that their batteries will never be dispatched immediately ahead of predicted hurricanes or severe weather, ensuring stored power supply will be protected and available for their homes.
With the largest customer base of distributed solar and battery storage installations in Puerto Rico, Sunnova is uniquely positioned to make a significant impact with its Flex Power Program. With over 55,000 customers in Puerto Rico, Sunnova takes the lead with its approximately 48,000 solar and storage customers, boasting an impressive total installed storage capacity of 727 MWh. This massive aggregation and coordination of solar + battery storage systems on the island facilitates unparalleled contributions to grid stability and resilience.
When the grid is under stress, and as requested by LUMA, participating systems will be instructed to discharge battery storage to the site or to the grid, reducing overall demand on the grid, minimizing blackouts and keeping the power on. Under the program, Sunnova expects to dispatch a participating customer’s battery up to a maximum number of 125 dispatch events each year. In each demand response, the customers’ battery will never be discharged below a capacity level of their choosing. At the end of the year, participating customers would be credited by Sunnova for the energy produced by their batteries during these events.
Compensation under the program will be based on how much energy each customer’s battery provides when called upon. The average residential customer may receive up to $1,000 annually for their participation, depending on their battery size and configuration, and final program details. Depending on whether a system has been financed with a loan or a lease, Sunnova will automatically apply the incentive as a credit toward the account each year or send an ACH payment to the customer, respectively.
Sunnova’s program is being launched under the aegis of the Puerto Rico Energy Bureau’s (PREB) Energy Efficiency and Emergency Demand Response Programs, expected to commence later this year pursuant to the Government of Puerto Rico’s public policy on energy efficiency. Specifically, the Puerto Rico Energy Transformation and Relief Act of 2014 (Act 57-2014) requires the PREB to establish energy efficiency programs in order for Puerto Rico to reduce energy consumption from current levels — thereby lowering individual customers’ energy bills — and rebuild a stronger and more cost-effective energy system that is responsive to customer’s needs and contributes to energy quality by diminishing the need for more expensive fossil fuel generation.
News item from Sunnova
