Title
Joint resolution authorizing a Demand Response Program agreement with Direct Energy Business, Iselin, New Jersey, for three Public Works facilities.
Staff Summary
• The purpose of the demand response program is to register certain Lake County owned and operated facilities that can reduce electricity consumption for short periods of time when the regional electric distribution grid system is experiencing high demand.
• Participants in a demand response program are compensated for this service on a fixed basis during the three-year contract period, whether or not a high demand event is called. In the nine years of the regional demand response program, an event has never been called.
• Public Works has identified its three water reclamation facilities as appropriate participants for a demand response program due to their high energy usage and ability to dial down energy usage for short periods of time by using back-up generators.
• Anticipated revenue for providing this service is $98,220 over the three year contract, which is considered a low-risk revenue source given the program’s history of zero event calls.
• Public Works would enter into this service agreement with the County’s current energy supplier, Direct Energy, Iselin, New Jersey, for a three-year period beginning in June, 2016.
Body
R E S O L U T I O N
WHEREAS, demand response is a regional effort to curtail energy demand during peak usage periods; and
WHEREAS, a demand response program seeks participants with high-use facilities capable of operating with back-up generation for short periods of time; and
WHEREAS, a demand response program will compensate participants on an annual basis whether or not a peak usage event is called; and
WHEREAS, over the next three years, Public Works’ three water reclamation facilities will have sufficient back-up generation to operate offline for short periods of time; and
WHEREAS, Public Works considers this to be a low-risk revenue source due to its back-up generation capabilities and due to the program’s history of zero events.
NOW, THEREFORE, BE IT RESOLVED, by this County Board of Lake County, Illinois, that the Public Works Director is hereby authorized and directed to execute the attached Demand Response Program Agreement with Direct Energy Business for three Public Works facilities, in the form substantially herein.
DATED at WAUKEGAN, LAKE COUNTY, ILLINOIS, on this 12th day of April, A.D., 2016.