{"id":1004370083,"date":"2019-11-21T09:52:24","date_gmt":"2019-11-21T17:52:24","guid":{"rendered":"https:\/\/www.commercialsearch.com\/news\/?p=1004370083"},"modified":"2019-11-21T09:52:24","modified_gmt":"2019-11-21T17:52:24","slug":"are-utilities-ready-for-smart-buildings","status":"publish","type":"post","link":"https:\/\/www.commercialsearch.com\/news\/are-utilities-ready-for-smart-buildings\/","title":{"rendered":"Are Utilities Ready for Smart Buildings?"},"content":{"rendered":"<div id=\"attachment_1004370095\" style=\"width: 310px\" class=\"wp-caption alignright\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-1004370095\" data-attachment-id=\"1004370095\" data-permalink=\"https:\/\/www.commercialsearch.com\/news\/are-utilities-ready-for-smart-buildings\/06-17-2019_sdge-towers_1200x800\/\" data-orig-file=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/06-17-2019_SDGE-towers_1200x800-e1574288701881.jpg\" data-orig-size=\"804,621\" data-comments-opened=\"0\" data-image-meta=\"{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;0&quot;}\" data-image-title=\"06-17-2019_SDGE towers_1200x800\" data-image-description=\"\" data-image-caption=\"\" data-large-file=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/06-17-2019_SDGE-towers_1200x800-e1574288701881.jpg?w=804\" class=\"wp-image-1004370095 size-medium\" src=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/06-17-2019_SDGE-towers_1200x800-e1574288701881.jpg\" alt=\"\" width=\"300\" height=\"232\" srcset=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/06-17-2019_SDGE-towers_1200x800-e1574288701881.jpg 804w, https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/06-17-2019_SDGE-towers_1200x800-e1574288701881.jpg?resize=300,232 300w, https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/06-17-2019_SDGE-towers_1200x800-e1574288701881.jpg?resize=768,593 768w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><p id=\"caption-attachment-1004370095\" class=\"wp-caption-text\"><em>Image courtesy of San Diego Gas &amp; Electric<\/em><\/p><\/div>\n<p>One of today\u2019s highly promising innovations in energy operations is grid-interactive efficient buildings. Referred to as GEBs, these structures are <a href=\"https:\/\/www.commercialsearch.com\/news\/californias-record-setting-virtual-power-plant\/\">connected to the grid<\/a> and draw on distributed energy sources. Among other benefits, GEBs offer hold the potential to lower property operations costs.<\/p>\n<p>But are utilities keeping up? A new study from the American Council for an Energy-Efficient Economy tackles that question.<\/p>\n<h2>Deep Roots<\/h2>\n<p>The roots of today\u2019s GEBs go back to the 1970s, said Dan York, an ACEEE senior fellow and co-author of the report along with Chris Perry, research manager for&nbsp; the organization&#8217;s buildings program and Hannah Bastian, an ACEEE researcher. A utility needing to shed load could send a remote signal to cycle off a building\u2019s air conditioning equipment, he said. <em>\u201cIn exchange for cycling it off, the customer would get a bill credit, but the interruption would be so small the customer wouldn\u2019t notice,<\/em>\u201d York noted.<\/p>\n<p>Today\u2019s smart technologies take this concept considerably further. Solar energy, electric vehicles and battery storage combine to create a far more dynamic connection with utilities, at a time when power providers are seeking more flexible loads.<\/p>\n<ul>\n<li>Power from fully-charged <a href=\"https:\/\/www.commercialsearch.com\/news\/lights-out-preparing-for-power-disruptions\/\">car batteries<\/a> can be fed to the grid. Grid-connected smart thermostats can cycle off at signals from the grid.<\/li>\n<li>Boilers operated during non-peak hours can heat water that stays hot during peak demand.<\/li>\n<li>Ice can cool buildings during the hottest times of day, when power is also most expensive.<\/li>\n<\/ul>\n<p>This represents an evolution away from the conventional one-way system where utilities send power to customers to a new paradigm where the grid operator anticipates and manages loads. That operator can leverage breakthroughs in connectivity to send signals to buildings, and the buildings can respond by, among other actions, cycling off loads like high-demand lighting and air conditioning. Cycle off the A\/C for five minutes, and it won\u2019t be noticed, York said. But when the same step is repeated across thousands of units, it can lower peak demand system-wide, he added.<\/p>\n<p>Even in the past 25 years, the grid has become much more complicated to operate. <em>\u201cIt\u2019s really about shifting time of uses to reduce costs,\u201d<\/em> York said. \u201c<em>Building owners are also finding some less quantifiable benefits from technologies that allow fine tuning for improved comfort in indoor working environments<\/em>.\u201d<\/p>\n<h2><strong>Multiple barriers<\/strong><strong>&nbsp;<\/strong><\/h2>\n<div id=\"attachment_1004370104\" style=\"width: 310px\" class=\"wp-caption alignleft\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-1004370104\" data-attachment-id=\"1004370104\" data-permalink=\"https:\/\/www.commercialsearch.com\/news\/are-utilities-ready-for-smart-buildings\/buildings-graphic_aceee_1223x816\/\" data-orig-file=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/buildings-graphic_ACEEE_1223x816.jpg\" data-orig-size=\"1223,816\" data-comments-opened=\"0\" data-image-meta=\"{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;1&quot;}\" data-image-title=\"buildings graphic_ACEEE_1223x816\" data-image-description=\"\" data-image-caption=\"&lt;p&gt;Key elements of a grid-interactive efficient building, Diagram courtesy of the American Council for an Energy-Efficient Economy&lt;\/p&gt;\n\" data-large-file=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/buildings-graphic_ACEEE_1223x816.jpg?w=1024\" class=\"size-medium wp-image-1004370104\" src=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/buildings-graphic_ACEEE_1223x816.jpg\" alt=\"\" width=\"300\" height=\"200\" srcset=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/buildings-graphic_ACEEE_1223x816.jpg 1223w, https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/buildings-graphic_ACEEE_1223x816.jpg?resize=300,200 300w, https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/buildings-graphic_ACEEE_1223x816.jpg?resize=768,512 768w, https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/buildings-graphic_ACEEE_1223x816.jpg?resize=1024,683 1024w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><p id=\"caption-attachment-1004370104\" class=\"wp-caption-text\">Key elements of a grid-interactive efficient building, Diagram courtesy of the American Council for an Energy-Efficient Economy<\/p><\/div>\n<p>The chief barrier to making this all work is interoperability, said Chris Perry, research manager on ACEEE\u2019s buildings program and a co-author of the report, along with Hannah Bastian, an ACEEE researcher. \u201c<em>Ability to communicate back and forth between buildings, the grid and aggregators is all pretty nascent,\u201d<\/em> he said. <em>\u201cThere\u2019s no real good language right now to talk to a utility or aggregator. This isn\u2019t something we\u2019ll see in a year or two. It\u2019s years down the line<\/em>.\u201d<\/p>\n<p>Two other barriers also loom large. One is cybersecurity, which York calls \u201c<em>the downside of all this interconnectivity<\/em>.\u201d The other centers on workforce issues. Building engineers need to understand how to make it all work, York said.<\/p>\n<p>Meantime, building owners can prepare for the days when these kinks are ironed out. As they upgrade or undertake new construction projects, they should seek equipment capable of being connected. An example of current equipment letting owners\/operators take advantage of demand-response programs is the smart thermostat, York said.<\/p>\n<p>\u201c<em>It\u2019s not always going to be about shedding load<\/em>,\u201d he added. \u201c<em>It might be about contributing power to the grid, where the customer becomes a supplier of energy from the <a href=\"https:\/\/www.commercialsearch.com\/news\/largest-north-america-floating-solar-array-completed\/\">photovoltaic system<\/a> on the roof, or from battery storage<\/em>.\u201d<\/p>\n<h2><strong>Leaders and laggards<\/strong><\/h2>\n<div id=\"attachment_1004370107\" style=\"width: 310px\" class=\"wp-caption alignright\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-1004370107\" data-attachment-id=\"1004370107\" data-permalink=\"https:\/\/www.commercialsearch.com\/news\/are-utilities-ready-for-smart-buildings\/substation-30-jpg\/\" data-orig-file=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/Duke-Energy-Harrisburg-Substation_858x570.jpg\" data-orig-size=\"858,570\" data-comments-opened=\"0\" data-image-meta=\"{&quot;aperture&quot;:&quot;9&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;NIKON D300&quot;,&quot;caption&quot;:&quot;Harrisburg substation structure and exterior equipment. Horizontal; Landscape; NC; North Carolina; SE; Southeast; Substation; Tom Wolfe; Transmission Systems&quot;,&quot;created_timestamp&quot;:&quot;1287139200&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;28&quot;,&quot;iso&quot;:&quot;250&quot;,&quot;shutter_speed&quot;:&quot;0.003125&quot;,&quot;title&quot;:&quot;substation-30.JPG&quot;,&quot;orientation&quot;:&quot;1&quot;}\" data-image-title=\"substation-30.JPG\" data-image-description=\"\" data-image-caption=\"&lt;p&gt;Duke EnergyHarrisburg substation, North Carolina. Image courtesy of Duke Energy&lt;\/p&gt;\n\" data-large-file=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/Duke-Energy-Harrisburg-Substation_858x570.jpg?w=858\" class=\"size-medium wp-image-1004370107\" src=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/Duke-Energy-Harrisburg-Substation_858x570.jpg\" alt=\"\" width=\"300\" height=\"199\" srcset=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/Duke-Energy-Harrisburg-Substation_858x570.jpg 858w, https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/Duke-Energy-Harrisburg-Substation_858x570.jpg?resize=300,199 300w, https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2019\/11\/Duke-Energy-Harrisburg-Substation_858x570.jpg?resize=768,510 768w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><p id=\"caption-attachment-1004370107\" class=\"wp-caption-text\">Duke Energy&#8217;s electrical substation, Harrisburg, North Carolina. <em>Image courtesy of Duke Energy<\/em><\/p><\/div>\n<p>According to Perry, the universe of U.S. utilities includes some that are ahead of the curve on GEBs. Others, he said, \u201c<em>are intrigued by buildings being a resource for them, but are in the early stages of investigating what programs would look like<\/em>.\u201d<\/p>\n<p>Among the leaders in adoption cited by the study are ConEd\u2019s Brooklyn-Queens Demand Management project; New York State Energy Research and Development Authority\u2019s Real Time Energy Management program; NV Energy\u2019s Business Solutions Center program; and AEP Ohio\u2019s It\u2019s Your Power program.<\/p>\n<p>Those utilities that have gained experience with energy efficiency programs; established relationships with customers; ensure the right equipment is used; and that it will continue to operate correctly are in the forefront of leveraging the new capabilities, York said. \u201c<em>The utility business is different than it was even 10 years ago,\u201d<\/em> he noted, adding, it now involves a much more collaborative partnership where utilities seek to become trusted partners and reliable sources of information, and look out for customer interests.<\/p>\n<p>Progressive building owners and utilities recognize the emerging opportunity GEBs offer and will work together to realize benefits during this time of dynamic change, York observes.<\/p>\n<p>The grid-connected part is a big step but by no means a prerequisite, he maintains: \u201c<em>But it&#8217;s still very possible for building owners to have smart controls and highly efficient, high-performance buildings even in the presence of a utility not exploring these opportunities<\/em>.\u201d<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Taking on the pivotal question about grid-interactive efficient buildings, a new study finds mixed results.<\/p>\n","protected":false},"author":450,"featured_media":1004370095,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21786],"tags":[35311],"class_list":["post-1004370083","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-sustainability","tag-aceee"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v23.4 (Yoast SEO v24.6) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Are Utilities Ready for Smart Buildings? 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His real estate writing has appeared in the Chicago Tribune, Barron's, Modern Luxury, HouseLogic, Forbes.com and many other publications. 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