Uplight > Case Studies > Balancing Customer Comfort with Load Shift: Rate-Optimized Thermostat Control at Alabama Power

Balancing Customer Comfort with Load Shift: Rate-Optimized Thermostat Control at Alabama Power

Company Size

1,000+

Region

America

Country

United States

Product

Emerson Sensi Thermostat
Uplight’s Orchestrated Energy

Tech Stack

Smart Thermostats
Time of Use (TOU) Tariff
Load Optimization Algorithms

Implementation Scale

Enterprise-wide Deployment

Impact Metrics

Cost Savings
Customer Satisfaction
Energy Saving

Technology Category

Analytics & Modeling - Predictive Analytics
Functional Applications - Remote Monitoring & Control Systems
Networks & Connectivity - WiFi

Applicable Industries

Utilities

Applicable Functions

Business Operation
Facility Management

Use Cases

Building Energy Management
Energy Management System
Remote Control

Services

Software Design & Engineering Services
System Integration

About The Customer

Alabama Power Company (APC), a subsidiary of the Southern Company, serves 1.5 million electric customers across Alabama. In 2021, APC launched the Alabama Power Smart Advantage ProgramTM to help residential customers enrolled in the Time Advantage Rate maximize their benefits from the time of use (TOU) tariff. The program provides smart thermostats to deliver personalized schedules to each participant during the summer and winter months. APC's goal is to increase load flexibility and encourage customers to shift energy usage from peak hours to economy pricing hours, all while keeping them comfortable and helping them save money.

The Challenge

APC aimed to increase load flexibility and encourage customers to shift energy usage from peak hours to economy pricing hours during summer and winter months. The challenge was to achieve this without compromising customer comfort, which is crucial for maintaining customer participation in the program. The existing Time of Use (TOU) demand response (DR) program needed enhancements to optimize load shift while ensuring customers remained comfortable and satisfied.

The Solution

APC expanded their TOU demand response program in 2021, providing customers with free Emerson Sensi thermostats and a $50 gift card upon enrollment. The program, powered by Uplight’s Orchestrated Energy, delivers rate-optimized schedules updated throughout the day. The system learns each customer's comfort bands to keep homes within this range, especially during pre-heating or pre-cooling. Customers can opt-out or override the set temperature at any time. The program began in winter 2021, achieving significant peak load shifts by pre-heating homes and shifting HVAC usage out of peak hours. Enhancements made during the summer further refined Uplight’s comfort algorithm, reducing set-point overrides and increasing customer satisfaction.

Operational Impact

Smart Advantage customers achieved an average of 11% peak load shift during winter program hours by pre-heating homes and shifting HVAC usage out of peak hours.
During the 2021 summer, customers achieved between 9% to 14% peak load shift on average across the six-hour peak window, compared to 1-2% in standard TOU programs.
Enhancements to the program over the summer refined Uplight’s comfort algorithm, resulting in a 17.5% decrease in set-point overrides.
The program's success led to a doubling of enrollment in Q4, with further expansion expected in 2022.
APC demonstrated that effective load optimization programs must balance load shift with customer comfort to ensure continued participation and additional savings.

Quantitative Benefit

Smart Advantage customers achieved between 9% to 14% peak load shift during the 2021 summer.
Set-point overrides decreased by 17.5% over the summer period.