IIEC has been awarded a grant by the Climateworks Foundation (Shakti Foundation in India) to design an ambitious standard offer program (SOP) in India.
As compared to conventional demand side management (DSM) programs, a standard offer program enables utilities to “purchase energy savings as a resource.” In contrast to other demand acquisition programs designed by IIEC, including DSM program bidding, the SOP allows the utility to specify a purchase price structure a-priori for delivery of energy saved. IIEC is completing the first task of reviewing experience in design and implementation of standard offer programs from other countries including the U.S., South Africa, and Portugal. In order to facilitate the development of a specific SOP at a state level, IIEC is obtaining information on the commercial and industrial (C&I) sector where the near term potential for implementation appears to be promising. Using market segmentation of the C&I sector, especially in lighting, HVAC, and motor driven system applications, IIEC will be working with stakeholders to develop a design of an SOP at a state level, and guidance for other states to follow.