UD Awarded Dynamic Rates Contract by SCE
In July 2022, the California Public Utilities Commission (CPUC) filed an Order Instituting Rulemaking (OIR) aimed at advancing demand flexibility through electric rates. This rulemaking initiative, largely inspired by the results of the successful UD/TeMix RATES project, led Southern California Edison (SCE) to award a contract to Universal Devices (UD) to demonstrate the optimization of off-the-shelf devices using dynamic pricing.
This project leverages a subscription-based model with hourly energy prices, designed to test the ability of smart devices to automatically shift electricity usage to times when energy is both less costly and has lower emissions. By aligning energy usage with optimal times, the program aims to improve the reliability of the power grid and offer cost savings to customers.
California is considering this pilot program as a tool to accelerate the transition to clean, carbon-free energy, enhance the power grid’s reliability, and lower the overall cost of electricity. This effort underscores the state’s commitment to sustainable energy solutions that benefit both consumers and the environment.