Next100 - A Dialogue on the Next Century of Energy

Apr 17 2008

Green is "Cool" and Smart

Today we announced the arrival of SmartAC to the East Bay with the installation of a SmartAC Switch on the home of Walnut Creek Mayor Gwen Regalia.

The program, initially launched in Stockton in February 2007, is now available to all East Bay residential and small business customers.

By enrolling in the SmartAC program, the utility's East Bay Area electric customers with central air conditioning can now participate in a voluntary program that helps PG&E and the State of California avoid summer heat power interruptions.

The SmartAC program allows PG&E to adjust participants' central air conditioning systems by one to four degrees during local emergencies or periods of peak usage. Except during Stage III emergencies, participants can opt out of SmartAC temporarily by calling PG&E. For example, if a customer had an elderly relative or a small child in their home who was especially sensitive to temperature, the customer could call us and temporarily opt out of the program.

We designed the program to be voluntary and flexible with the choice to opt-out. We were extremely sensitive to the idea that we would be seen as "big brother" controlling our customers' thermostats remotely. It seems our sensitivities were not without reason. A few months back the CEC proposed an idea under Title 24 energy efficiency standards to require all new thermostats to have this remote controlled technology. This proposed mandate created quite a storm among bloggers, eventually leading to a New York Times story and the rescinding of the proposal.

The success of PG&E's SmartAC program demonstrates that if done correctly - that it is voluntary with the opt-out choice, customers will gladly participate. We've actually been amazed by how well the program has been received by our customers.

We began with the Stockton pilot program with a goal of enrolling 5,000 customers. Within four months, we already had 6,500 customers and today we now have more than 45,000 SmartAC customers, 11,000 of which are in the East Bay. Our goal is to enroll 400,000 customers by the summer of 2011.

We're also offering customers $25 for each air conditioner they enroll in SmartAC.

Participants can choose between a switch, which is installed near or outside of the air conditioning unit, or a new thermostat. Both are provided for free and are controlled remotely by PG&E through radio signals. Through the switch, PG&E would radio an air conditioner to cycle half as much as it would normally. Or it would direct the thermostat to raise the temperature by no more than 4 degrees, Sundays and holidays excepted.

Customers who have the thermostat also can control their heaters and air conditioners remotely through the SmartAC Web site, where customers also can enroll. By enrolling, customers promise to remain in the program for 12 months.

Posted by: Keely Wachs | Comments (0) Permalink