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Kenosha utility signs onto MISO load-modifying program, staff says it could net roughly $67,300 a year
Summary
The Kenosha Board approved a customer agreement to enroll the utility in the Midcontinent Independent System Operator load-modifying program; staff said the utility would install a verification meter, could be called to run on backup generators during curtailments and would receive a revenue share estimated at about $67,300 annually at current rates.
The Kenosha Board of Water Commissioners voted Dec. 8 to approve a customer agreement to enroll the water utility in a Midcontinent Independent System Operator (MISO) Load Modifying Resource program administered through AI Gents Inc.
Staff said the program would pay participants for verified reductions in grid demand and that the utility already has backup generators at its drinking-water and wastewater plants. "Looking over the last 10 years, it's averaged between 0 and 3 curtailments," staff said, and projected a revenue share to the utility of "about $67,300 a year if the current rates remain." The staff presentation said quarterly payments would be made to participating entities.
Staff explained the program requires a meter to verify the kilowatts actually shed when the utility is called to curtail load; the meter would be used to demonstrate which facilities (the drinking-water plant across the harbor and the wastewater plant near Southport Beach House) are eligible. Staff also said any outside-metering or laboratory verification costs would be passed through to the utility’s counterparty per the agreement.
On operations, staff told the board the drinking-water plant is served by two 1-megawatt generators that can provide full independence from the grid provided fuel deliveries are available, and that wastewater-plant generators are being upgraded as part of the plant master plan before the program would take effect.
Board members asked whether the utility’s generators and staff could reliably participate in summer conditions; staff said the drinking-water generators have adequate capacity and wastewater generators are being upsized in planned upgrades. Staff also said aggregators retain much of the risk and that participating entities would receive a share of payments; staff described the aggregator-client payment split as roughly 50/50.
The board moved, seconded and approved the agreement.
