CUE is integrating proprietary demand response applications and thermal mass control technology to enable daily participation by commercial buildings in wholesale energy, capacity, and ancillary service markets.
Five industry developments underlie the market for this service:
Standard Industry Protocols:
As an example, BACnet enables third party communication with all manner of building types and building automation systems. These same protocols also foster software platforms that enable CUE to concentrate on its core applications and not on the myriad building interface issues.
Highly Volatile Energy Prices:
History is evident that the prices of energy are highly volatile and in recent years the economics underlying existing building energy assets, energy operations, and energy procurement have been rendered obsolete. Risk management is being sought by knowledgeable managers.
Access to commercial buildings:
Legislative, regulatory, and strategic changes in the electric utility industry mean that CUE and others can now provide services to consumers that were once reserved for utilities.
Transparent Electric Markets:
Newly transparent energy markets allow consumers to see and take advantage of hourly price information. Regulators are counting on demand response services (such as CUE’s) to improve wholesale energy markets and to curb potential generator market power.
Heightened Interest in “Green”:
Both the utility and the commercial building industries have embraced energy efficiency. Witness the National Action Plan for Energy Efficiency and Leadership in Energy & Environmental Design Green building Rating System. In addition to reducing energy bills, CUE expects to receive LEED credit. Its services enable more efficient electric generation operation.