LADWP’s Renewable Energy and Distributed Energy Resource Strategy

Teh Los Angeles Department of Water and Power (LADWP) is aggressively pursuing a transition to renewable energy sources and expanding it’s portfolio of Distributed Energy Resources (DERs) to meet local and state goals.This strategy focuses on cost-effectiveness, customer impact minimization, and collaboration with the private sector, aiming for a more resilient and enduring energy future for Los Angeles.

Renewable Energy Project Criteria

LADWP prioritizes several key criteria when evaluating and selecting renewable energy projects. These include:

• Peak Hour energy Delivery: Projects that can deliver energy during peak demand hours are highly favored,maximizing their impact on grid reliability.
• Local Project Preference: LADWP gives preference to projects located within the Los Angeles area,supporting local economic development and reducing transmission losses.
• proximity to Infrastructure: projects are strategically located near existing LADWP transmission lines, substations, land holdings, and other electrical infrastructure to minimize development costs and streamline integration.
• Resource Diversification: LADWP seeks a diverse mix of renewable energy resources – including solar, wind, and geothermal – to enhance grid stability and reduce reliance on any single source.

Strategy DER: Expanding Distributed Energy Resources

As LADWP increases its reliance on renewable energy,it is indeed simultaneously expanding its portfolio of Distributed Energy Resources (DERs). DERs encompass small-scale power generation like rooftop solar, coupled with energy storage solutions, energy efficiency programs, and demand response initiatives. The goal is to grow this portfolio in a cost-effective manner, minimizing customer impact and fostering collaboration with the private sector. This includes actively engaging with DER owners and maximizing capacity within designated preferred DER zones.

Demand response programs are a key component of LADWP’s DER strategy. These programs incentivize customers to reduce their energy consumption during peak demand periods,providing valuable grid flexibility. In December 2023, the Los Angeles Board of Water and Power Commissioners approved a $195 million investment to expand LADWP’s Demand Response portfolio and provide 340 MW of grid load flexibility. LADWP News Release

Demand Response Explained

Demand response is a crucial tool for modernizing the grid. Rather of building expensive new power plants to meet peak demand, utilities like LADWP can tap into existing resources – the energy consumers themselves – to reduce load. This is achieved through programs that offer incentives for customers to curtail their energy use during critical periods. These incentives can take various forms, such as bill credits or direct payments.

Key Takeaways

• LADWP is committed to transitioning to 100% renewable energy.
• the utility prioritizes renewable energy projects that deliver power during peak hours and are located near existing infrastructure.
• Expanding Distributed Energy Resources (DERs), including demand response, is a core strategy for enhancing grid resilience and cost-effectiveness.
• A $195 million investment will considerably expand LADWP’s demand response capabilities, adding 340 MW of grid flexibility.

Looking Ahead

LADWP’s continued investment in renewable energy and DERs will be critical to achieving its sustainability goals and ensuring a reliable and affordable energy supply for the City of Los Angeles. Future efforts will likely focus on further integrating DERs into grid operations, exploring innovative energy storage technologies, and expanding customer participation in demand response programs.Sustainable LA