July 1, 2002—Ten percent of Xcel Energy’s 3.2 million electricity customers in Minnesota, Colorado, Texas and other states have signed up to save energy and money on the hottest days of the summer or when the power system’s integrity is at risk.
The approximately 320,000 business and residential customers enrolled in Xcel Energy’s Saver’s Switch program and in other programs for large commercial and industrial customers help reduce electricity demand when temperatures and humidity levels are high or when electricity reliability is threatened. All together, the programs could reduce electricity demand by a total of 1,336 megawatts, the size of three large power plants and enough to power 1.3 million homes.
In Minnesota and nearby states, approximately 292,000 residential and business electricity customers are enrolled in Saver’s Switch and about 2,730 commercial and industrial customers are participating in Peak- and Energy-controlled Rates programs.
Customers enrolled in the programs receive discounts on their electricity bills while helping Xcel Energy avoid building new power plants or purchasing high-priced electricity from other utilities during peak-use periods.
The Saver’s Switch program allows Xcel Energy by remote control to cycle central air-conditioner compressor units on and off at 15-minute intervals. The more than 280,000 residential and 12,000 business customers enrolled in the program in the Upper Midwest receive a discount on the electric energy charges on their electricity bills from June through September. Their participation will allow Xcel Energy to reduce electricity demand by about 330 megawatts, if needed.
Under the commercial/industrial programs, businesses, schools, government agencies and other large electricity users commit to reduce electricity use to a contracted level of their own choosing during peak-use periods. Program participants reduce their electricity use by shutting off lights, air conditioning or manufacturing processes. Some participants use backup generators. Under their agreements with Xcel Energy, participants who don’t reduce electricity use at Xcel Energy’s request pay a penalty.
In Texas and New Mexico, 53 commercial and industrial customers and several hundred irrigation customers receive reduced rates for providing approximately 277 megawatts of power for both reliability and peak-reduction purposes. In Colorado, 71 commercial and industrial customers receive lower rates for agreeing to reduce demand by approximately 150 megawatts during periods of severe system constraints.
In the Upper Midwest, an additional 30 megawatts can be saved through the Peak Day Partners program, under which Xcel Energy pays large retail customers for reducing their electricity use when energy market prices are exceptionally high. Registered customers volunteer to provide energy by reducing their electricity use after reaching a price agreement with Xcel Energy.
