NYPA Activates Electricity
Demand Reduction Program for Participating Customers in New York City
June 8, 2005
FOR IMMEDIATE RELEASE
NEW YORK—The New York Power Authority (NYPA) activated its Peak Load
Management (PLM) program Wednesday, for the first time this year, with
participating government and business customers in New York City asked
to lower their power use in anticipation of higher demand due to the hot
The purpose of the program is to help NYPA manage the electric load of
those customers during the air-conditioning season, from June 1 through
September 30. The goal is to ensure it meets reliability requirements
for 80 percent of the peak load in the city to be met by in-city power
“This is now the sixth year of the Peak Load Management program, an
award-winning initiative for reducing the amount of power carried over
transmission lines from power plants outside of the city,” said Louis P.
Ciminelli, NYPA chairman. “The lowered demand contributes to the
reliability of the city’s overall electric system during the hottest
days of the year when power demand is at its highest.”
Participants achieve the power cutbacks through such measures as turning
off nonessential lighting and computers, adjusting air-conditioner
settings, running fewer elevators and shutting down decorative
A total of 14 customers are participating in the PLM program at 87
locations. Together, they’ve committed to cut back on their electricity
use by a total of 60 megawatts (mw). (One mw is about the equivalent of
the power for 1,000 homes.)
Among those participating are the Metropolitan Transportation Authority,
the New York City Department of Environmental Protection, the City
University of New York, and Citibank.
The Power Authority pays the participating customers $40 for each
kilowatt of electricity they commit to reduce when called upon during
the hot weather months. Under the program, it may make such requests for
up to 15 weekdays, with the duration of the reductions limited to two to
six hours, between 11 a.m. and 7 p.m.
Customers are given a day-ahead alert and a two-hour notice on the day
of the event, confirming the program’s activation.
The Power Authority provides lower-cost power for thousands of public
facilities in New York City saving them hundreds of millions of dollars
a year on their electric bills. It has also invested in major energy
efficiency measures for those customers that have lowered their utility
bills by more than $54 million annually, helping to eliminate about
433,000 tons of greenhouse gas emissions a year.