To reduce power usage across its 9,000 locations , Walgreens has integrated demand response programs to improve efficiency and reduce waste .
Photo by Walgreens assets , and the grid are connected via smart devices , operators can control energy demand in response to various signals , measure usage patterns across sites , and leverage investments in distributed energy sources to improve efficiency , lower costs , unlock new revenue streams through grid services , and operate more sustainably .
For utilities , it means ample on-demand capacity to stabilize the grid during emergencies or times of peak energy demand . For businesses , it means lower energy and operational costs and more resilient buildings ready to withstand long-term energy infrastructure changes . Utilities are more commonly incentivizing their commercial customers to engage in grid-interactive programs , like demand response , through additional credits or rebates — creating an even larger business case to tap into grid interactivity .
For example , Walgreens has committed to reducing its carbon footprint across more than 9,000 locations and offers a look at how this is already working . Since 2009 , together with GridPoint , Walgreens has reduced emissions by over 80 million kWh annually ; the company participates in demand response programs across various geographies , ensuring essential zones , like the pharmacy , functioned normally during the height of the pandemic . Walgreens receives incentives from utilities for locations enrolled in demand response programs and further reduces energy costs by altering its energy demand at times to avoid peak pricing . However , the true value of these grid-interactive locations was demonstrated in August 2020 when extreme heat and high energy demand caused rolling blackouts across California . Because Walgreens already had a demand response process in place , it was able to voluntarily reduce the energy demand at locations in impacted geographies instantaneously in response to emergency grid signals , helping to stabilize the grid and avoid further power disruptions .
For your buildings to be gridinteractive , you must have technology that does three things . First , you must have hardware inside the building to capture realtime data and enable automated building controls . Every building profile is different , and capturing the right data for each building
Those managing and operating the built environment need to balance maintaining dayto-day operations with finding solutions that offer immediate , measurable savings and sustainability outcome .
is essential — meaning equipment-level data from HVAC , lighting , refrigeration and other high-energy consuming assets , overall building performance data , historical data , weather information , and utility grid status . These are all key pieces of intelligence needed to provide visibility into complex building operations . Second , it must provide automated , bidirectional communication with your utility through utility programs like demand response . Third , it must integrate with existing and emerging distributed energy resources ( DERs ) for increased longterm value . Maybe your business is already looking into deploying EV chargers or energy storage systems at various assets . These integrations make DERs and existing assets in a building work in sync to leverage your buildings as a grid resource without impact to occupant comfort or business operations . As more DERs become commercially practical , like battery storage , this grid-interactive technology can serve as the gateway to deploying it cost effectively . Technology that can do these three things can bridge the gap between utilities and commercial buildings to orchestrate equipment within the building in response to grid signals and drive wholebuilding decarbonization .
FOCUSING ON ENERGY SUSTAINABILITY Those managing and operating the built environment need to balance maintaining dayto-day operations with finding solutions that offer immediate , measurable savings and sustainability outcomes — all without impacting business continuity and on-site comfort . Capital-intensive technology and limited internal bandwidth have been core challenges . As-a-service pricing subscriptions , utility incentives , and automation , however , are removing barriers , making it easier than ever to deploy grid-interactive technology .
As the transition to cleaner power sources and electrification continues , more automated virtual capacity will be needed on demand to avoid costly and dangerous power disruptions . By going grid-interactive , businesses can achieve energy and cost-reduction goals and support the grid today , creating a foundation that can be built upon and integrated with new , cleaner technologies . In short , a sustainable future is not possible without first making buildings better — and commercial buildings are uniquely positioned to accelerate the energy transition today .
Mark Danzenbaker CEO of GridPoint
Contact him at support @ gridpoint . com .
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