● Piclo awarded $1.8M in funding from Innovative Energy Solutions (IES) Program led by Connecticut’s Public Utilities Regulatory Authority (PURA) to create the state’s, and New England’s, first local grid flexibility market, launching in Spring 2024.
● Piclo expands US operations to now cover Connecticut, following the launch of New York in 2022.
● The new market will enable DER aggregators and Virtual Power Plant operators to unlock new revenue streams, and utilities to better manage grid congestion and save money.
Connecticut, USA, Thursday 22nd February – Piclo, the global leading marketplace for grid flexibility, will collaborate with local stakeholders including United Illuminating (UI), a subsidiary of Avangrid, Inc. and one of Connecticut’s largest electric distribution companies (EDCs), to establish a new local DER-enabled grid flexibility market - the first of its kind in New England.
The new market will enable DER aggregators and Virtual Power Plant operators to earn revenue from flexing their electricity consumption and generation. Connecting them with utilities via a simple, digital marketplace saves time, reduces overall grid costs and boosts grid resiliency.
When utilities do not have sufficient supply to match their demand or identify bottlenecks on their grid, instead of having to purchase expensive bulk power from peaker plants on the wholesale market or shut off customer supply, they could instead pay DER aggregators to provide flexibility. For DER owners, this extra revenue stream represents new business opportunities and access to new markets.
Aggregating residential and commercial demand and supply can also offer new income avenues to support underserved communities in line with Connecticut’s equity goals and the federal community benefit and Justice40 Initiative. As harnessing DER flexibility can be a cheaper alternative, the savings can be passed onto customers, particularly as affordability is a key issue in Connecticut, which has some of the highest electricity rates in North America. Additionally, this will help the state meet its ambitious electrification and 100% zero carbon electric sector goals by 2040 and Connecticut's Framework for an Equitable Modern Grid.
Frank Reynolds, President & CEO of United Illuminating, said:
“The challenges the electric industry faces are well-known, but not insurmountable. With the help of companies like Piclo, we can begin to create greater grid flexibility and resiliency by harnessing Distributed Energy Resources, which will reduce carbon emissions and create cost-savings that can be passed onto customers. I am proud of our team’s partnership with Piclo and look forward to working with them as they implement New England’s first local grid flexibility market later this year.”
John Bayard, Chief Commercial Officer of Piclo said:
“Being selected to deliver New England’s first local grid flexibility market in partnership with local stakeholders including UI is a huge moment for Piclo. Building on the lessons learned from our successes in New York with National Grid, we’re looking forward to bringing our market leading technology and years of experience building grid flexibility markets world-wide to support Connecticut’s vision and our mission to deliver a 100% zero carbon electricity grid by 2040.”
Funded through the Innovative Energy Solutions (IES) Program led by Connecticut’s Public Utilities Regulatory Authority, the new local grid flexibility market will launch in Spring 2024.