Active Load Management Programs (ALM)

Riders 5 & 6 ALM Direct Load Control Programs

BGE operates two voluntary ALM Direct Load Control programs.  These two programs are Rider 5 - Controlled Air Conditioning Service and Rider 6 - Controlled Water Heating Service.  When these programs are activated, they serve to lower BGE's zonal load.  Such activations generally occur during periods of high load and/or high wholesale energy prices during the summer season.  In return, BGE provides credits to customers who participate in the programs.  BGE will activate the programs in accordance with PJM Interconnection emergency response requirements and the BGE Electricity Supplier Coordination Tariff (Section 10.0 - ALM).   

Customers participating in the ALM Direct Load Control programs and who have enrolled with an electricity supplier may continue to receive credits offered by BGE under the programs.  BGE notifies electricity suppliers when a customer is participating in the ALM program in the enrollment response (EDI 814) at the time of the customer's enrollment.  Whenever BGE activates the ALM Direct Load Control devices, BGE will notify the electricity suppliers by email the following business day of the start and stop times of the activation.   

During each ALM Direct Load Control activation, electricity suppliers will realize a reduction in load associated with each customer participating in the program.  Pursuant to BGE's Electricity Suppliers Coordination Tariff, BGE will capture all benefits associated with its ALM Direct Load Control program via the PJM Interconnection ALM accounting process.  BGE will accomplish this by calculating the reduction in load associated with each activation on an individual electricity supplier basis and adding it back to the electricity supplier's account during the 60 day settlement process.  These calculations are performed in accordance with PJM's procedures for Active Load Management.  BGE will make these adjustments through PJM's eSchedule process.  Electricity suppliers with customers with direct load control devices will be required to verify the eSchedule contract giving BGE the right to make these adjustments.     

BGE will compensate electricity suppliers for lost generation revenue.  BGE will determine each electricity supplier's premise level energy loss and will pay each electricity supplier the energy loss multiplied by BGE's generation service rates as published on BGE's website.  For all customers, these rates will be the Standard Offer Service rates for generation.  The lost generation revenue amount will show as a separate line item on the monthly invoice that electricity suppliers receive from BGE that covers electricity supplier fees subsequent to the 60 day settlement process. 

The attached Rider 5 & 6 Sample Adjustment spreadsheet shows simplified examples of how the adjustments and credits will be calculated for  Commercial/Residential Rider 5 switches and Residential Rider 6 switches.  It also provides a description of how the adjustments are computed and a description of the Weighted Temperature Humidity Index (WTHI).  The peak loss factors that are used in the spreadsheet are at peak load periods as outlined in the PJM Interconnection ALM accounting process. 

BGE will provide an updated list of electricity supplier accounts that have ALM Direct Load Control devices throughout the summer season.    

Rider 24 ALM Load Response Program

The BGE Load Response Program offers two options to customers . 

• Option 1 -  PJM Load Response Programs offers customers compensation for voluntarily reducing demand for electricity during specific periods.

•  Option 2 - Firm  Capacity Incentive offers customers additional compensation for the customer's firm commitment to reduce demand upon emergency electricity supply situations within the PJM control area.

Customers may participate in Option 1 or Option 2, or both. For the purpose of this program, "load response" means demand reduction and/or on-site, self-supply generation. The effect of the BGE's load response shall be a net reduction of load on BGE's system.

BGE will capture benefits associated with its Load response Program via the PJM Market Settlement process.