Specifications include, but are not limited to:
To achieve the purposes set forth in this RFP, the Department is seeking the assistance from a
consulting organization to conduct an engagement process lasting approximately 9-12 months on
the following topics:
Advanced rate design and incentives that offer the potential to differentiate the pricing of
loads by time and location, and distributed generation by time and location, for better and
more cost-effective design and operation of the electric system.
Identify sensible pathways to introduce and encourage customer or third-party entities to
rely on more advanced forms of rate design for system benefit, including the ability to
opt-in or opt-of of rates, and effective incentives for participation in innovative rates.
Identify necessary or supportive planning efforts necessary to support more advanced
forms of rate design sufficient to meet objectives for a cost-effective system.
Exploration the costs, potential benefits, and adoptions rates (both initial and over time)
of any potential rate proposals/structures
Work toward an increased understanding of existing utility capabilities and infrastructure
changes needed for the above.
The Department is further interested in fostering rate designs that recognize difference between
different load managers (acting on the customer’s behalf), including: (1) end users themselves;
(2) distribution utilities; and (3) third-party agents relying on building management systems or
charging station management. The Department anticipates that the first category actor will center
on relatively simple forms of pricing, such as time-of-use rates; that those tailored for the second
category—utilities—will center on centralized dispatch, interruption, and load management; and
those that center on new third-party agents can be offered through more complex pricing
schemes that can be managed through the automation capabilities available to such entities.