WEC Plans to Incentivize EV Drivers to Charge During Off-Peak Hours—Reducing Grid Load and Saving Money for All Members
In February, WEC updated its PowerShift program to benefit electric vehicle drivers and to reduce the Co-op’s power costs—which helps all members save money.
WEC now provides members a bill credit for charging electric vehicles during off-peak hours. Members who enroll in the revised PowerShift program receive a $10 credit on their bills each month, in addition to incentives for new participants.
When EV drivers avoid charging during times when power supply costs are more expensive for WEC, cost savings are realized. – JJ Vandette
The PowerShift program — and bill credit incentive — is a solution to a multipronged issue, said JJ Vandette, Director of Special Projects and Innovation. PowerShift is designed to reduce the Co-op’s peak costs by incentivizing and automating off-peak EV charging, he explained, and WEC hopes to boost member enrollment. In addition to the bill credit, the revised program expands eligibility to more EV models and chargers. More information is at wec.coop/flexible-load.
The PowerShift program piloted years ago with water heaters, before EVs became prevalent: the idea was both to reduce peak costs and to turn the latent power in members’ water heaters into a networked proxy battery that the Co-op could possibly use as a power source.
Since then, PowerShift has pivoted to focus on electric vehicles. Per capita, WEC’s membership drives and charges a large number of electric vehicles. While WEC encourages members to switch from gas-powered to electric vehicles, EVs use a lot of power to charge. When many drivers charge their EVs during peak power use times, that sharp increase in electric load strains WEC’s grid costs.
Of the approximately 400 all-electric vehicle drivers WEC counts in its territory, only 125 are currently enrolled in PowerShift. Onboarding more EV drivers could significantly improve WEC’s avoided power supply costs. “Avoided costs” is a utility term and a metric for cost efficiency. From a retail perspective, say eggs cost $4 at a farmstand, and $7 at a boutique market. Every time you don’t buy your eggs at the market, that’s a $3 cost you avoided. If 250 electric vehicles switch to off-peak charging, that’s a lot of peak kilowatt hours the Co-op is no longer paying for.
PowerShift enrollment includes a Level 2 charger and an installation incentive from Efficiency Vermont, for members who don’t already have charging equipment, and a sign-up rebate from Efficiency Vermont for members who do have charging equipment.
But there hasn’t been an ongoing incentive for members to stick to off-peak charging, since WEC has not been able to offer time of use rates: a lower cost per kWh for members who charge EVs and large loads off-peak. Vandette explained that after WEC completes its rollout of new advanced meter infrastructure, data collected by those meters will support integration between PowerShift, time of use rates, and members’ needs and experience.
Until then, the $10 bill credit is a “stop-gap measure,” Vandette said, aligning with the goals of Vermont’s Act 55 — which urges utilities toward, in the Act’s language, “efficient integration of PEVs and EVSE [plug-in electric vehicles and electric vehicle service equipment] into the electric system… through managed loads or time-differentiated price signals” — as well as taking steps now to lower peak costs.
“When EV drivers avoid charging during times when power supply costs are more expensive for WEC, cost savings are realized,” Vandette said. “This approach will also better satisfy regulators who want to see WEC continue to manage the new loads associated with EV chargers.”
Enrolling in PowerShift
WEC’s vendor for EV load management software, which will be grant-funded, will allow WEC to better manage PowerShift from an in-house driver’s seat, and better facilitate bill credits, Vandette noted.
As long as the enrolled member successfully charges their EV outside peak evening hours, they will receive a $10 bill credit monthly. EV apps allow their users to program vehicles to charge at specific times, so nobody has to go out in their slippers late at night to plug in their EV. Enrolled members can still charge during peak hours if they wish, but won’t receive a $10 bill credit for months in which they charge during peak hours.
There are three paths to enroll and receive the monthly bill credit:
- Already enrolled? Members already enrolled in PowerShift received a new participation agreement by email: simply agree to the new terms and conditions to receive the $10 bill credit. Already enrolled members do not need to make any changes to their charging schedule.
- Need a Level 2 charger? Members who enroll and do not yet own charging equipment—this is likely to be members newly switching to EVs—will receive a Level 2 charger from WEC, valued at $429, and a $500 installation rebate from Efficiency Vermont.
- Already own an eligible EV/charger? Members who are not enrolled, but already own an eligible EV or charger, will receive a $100 sign-up rebate from Efficiency Vermont upon enrollment and connection.
“WEC intends to adjust the current PowerShift program to provide a clear economic signal and financial motivation for more members to participate in the program in order to maximize the impact of the program for the Co-op,” said Vandette. In the near future, he said, WEC will continue to expand its flexible load innovations, including a “Bring Your Own Battery” program.
To learn more and enroll in PowerShift, visit washingtonelectric.coop/flexible-load.