The Maryland Public Service Commission accepted Southern Maryland Electric Co-operative’s (SMECO) demand response program supported by the contract on April 15, 2008, with an effective date of April 23, 2008.
With a demand response program in place, SMECO will reportedly be able to use the program to reduce its peak capacity needs and better control the energy costs that it charges to its retail customers.
The virtual peaking capacity (VPC) system, which will be designed for SMECO and owned and operated by Comverge, will require approximately three years to fully build and will provide electricity capacity to SMECO for a minimum period of 10 years.
Comverge will provide capacity for residential, small commercial and large commercial and industrial customers. The company noted that customers who participate in the program will have an opportunity to control electricity costs and will receive incentive payments.
SMECO reserves the right to convert the direct load control program to a price responsive customer control program, as it makes future decisions about advanced metering deployment.
