Block Bidding for Commercial, Industrial and Municipal Customers
RG&E will again purchase “blocks” of electricity savings representing reduced electric usage ­ from eligible commercial, industrial and municipal customers or from third parties (aggregators) working with those customers.

RG&E announced the first Block Bidding Request for Proposal (RFP) on February 24, 2010. Since then, RG&E has issued two additional RFPs. Projects from these RFPs will generate in excess of 19 million kilowatt hours (kwhs) of electricity.

The Block Bidding Program is a sealed-bid, pay-as-bid auction. The purpose of the program is to create additional ways for customers to achieve energy savings and allow third-party suppliers, working on behalf of host customers, to participate in offering energy saving solutions.

Proposals are required to:

• Exceed a minimum bid size of 100 megawatt hours (mwhs) of electric savings.
• Not to exceed a maximum bid size of 4,289 mwhs of electric savings.
• Only contain energy savings measures that provide permanent and sustainable
  energy savings.
• Include only energy savings that are achieved after announcement of bid award and no later than 12 months after contract effective date.

Energy savings measures receiving funding from other System Benefit Charge (SBC) funded programs are not eligible for Block Bidding.

Nonresidential customers may seek to work with an aggregator, or serve as an aggregator themselves, if they wish to increase their electricity savings bid to meet or exceed the minimum bid requirement of 100 mwhs.

Successful bidders must:

• Submit all required bid paperwork, which will be identified in the RFP.
• Achieve electricity savings at the qualifying customer site(s).
• Have their project pass a total resource cost (TRC) test that ensures the project is
  cost-effective.
• Identify the specific project location(s).
• Identify specific measures to be installed. Pre-installation inspections may be required prior to implementing saving measures.

The purchase level of energy is subject to the final results and performance of the previous RFPs and subsequent program goals. RG&E reserves the right to accept or reject bids based on available program resources at the time of bid selection.

To learn more about this Block Bidding program:

• The current RFP has been issued.  Those customers or aggregators who filed a request for information form were added to the list of interested bidders and have received the RFP and bidder information via email. For questions about the RFP or the procurement process, call Rebecca Bethel at 585.771.8142.
• View Frequently Asked Questions about the Block Bidding Program. For information on the Block Bidding program, call Gary Freeland at 585.794.9182.
• View the EEPS Technical Manual documents located near the bottom of the page of the New York State Public Service Commission Energy Efficiency Portfolio Standard website.

The Block Bidding Program is being offered in accordance with a January 4, 2010, New York State Public Service Commission Order Approving Block Bidding and an October 25, 2011, New York State Public Service Commission Order Reauthorizing EEPS Programs. The Block Bidding Program is funded by the Systems Benefit Charge (SBC) on nonresidential electricity customers’ bills.