Installing a solar generating system today can protect you from future demand reduction programs by allowing you to produce electricity for your needs during peak demand periods.
With the installation of SmartMeters,utilities are looking to institute a wide variety of demand response programs designed to decrease energy usage, primarily during peak demand periods. These programs are targeting business and residential users.
Demand response programs utilize control signals to decrease electric usage at customer locations. They may turn off lights, raise (or lower) thermostats, shut down HVAC systems, shut off appliances or machinery—anything that sheds load on the grid. These reductions are implemented when demand approaches capacity, typically late afternoon on hot summer days.
Currently, all demand response programs in California are offered on a voluntary basis, and customers can still choose to override a requested demand reduction. However, as the energy crisis continues, and with the arrival of SmartMeters, the utility companies could remotely implement demand reduction for businesses and residents. Having your own energy source may protect you from being controlled at PG&E’s discretion.