Con Edison in New York is boosting the incentives to large multi-tenant owners who participate in demand response this summer. If asked to curtail energy, building owners will now be paid about $2 for every kilowatt they save compared to $1 last year, reports Crains New York.
Among a variety of incentives, the utility is boosting two programs: the Commercial System Relief Program and the Distributed Load Relief Program. Landlords can curtail energy usage in a variety of ways, such as dimming lights or reducing air conditioning. The programs are paid to landlords who prepare their properties for a power-reducing event, regardless of whether such an event occurs, reports Crains.
A landlord could potentially earn about $307,000 per MW from Con Ed together with incentives from other energy services companies such as the New York Independent System Operator, amounting to a 60 percent increase in incentives compared to 2013, reports Crains.
The boost in demand response incentives comes as New York City weans itself off power from nuclear plant Indian Point Energy Center.
About 75 percent of New York City’s largest buildings are multi-family residential properties, many of which are highly inefficient.