Dive Brief:
- Xcel Energy yesterday announced it has tapped Tendril to manage a new thermostat optimization and demand response program it will launch this month in Minnesota and Colorado. The program will conclude in the fall.
- Using Tendril's Orchestrated Energy platform, the utility believes it could reduce cooling load by up to 50%, and lower overall consumption by up to 20%.
- The Orchestrated Energy platform will allow customers to control their thermostat via a mobile app, and provides a customer plan for individual custoimers.
Dive Insight:
Demand response programs utilizing a Bring Your Own Thermostat continue to grow in popularity. Navigant expects the strategy to grow into a $3 billion market with some 20 million customers involved — up from about 50,000 at the beginning of last year.
Xcel's new program is representative of the trend, allowing consumers greater control over their home's heating and air conditioning, while helping the utility to lower its peak load and overall energy sales.
"We believe Orchestrated Energy is one of the most advanced products for energy efficiency and demand response on the market today," Adrian Tuck, CEO of Tendril, said in a statement. "To be selected by Xcel Energy, one of the most innovative utilities in the country, shows that others share our vision for changing how demand side management can and will work in the future by better utilizing assets already on the grid."
Tendril's MyHome app gives customers insight into their energy usage, and the company says its custom cooling plans mean energy is used "at the most ideal times, ensuring customers are optimizing HVAC systems all day long, while placing the least demand on the electrical grid."
