Regulation Compliance: Interruptible Gas Program
$100,000 in potential fines for non-compliance.
As part of the utility’s interruptible gas program, building operators agreed to switch from natural gas to oil when prompted. In return for compliance, the building received a lower rate on gas.
In addition to the lower rate throughout the year for compliance, the utility provider imposes severe penalties for non-compliance. According to the rules of this utility provider, if a building is discovered to have continued using gas, or switched back to gas before the end of the program, the building is charged nine times the market rate of gas used during the interruption.
In addition, two failures to switch from gas to oil means removal from the program and the favorable gas rates. The portfolio had already experienced one failure and could not afford another. Enertiv’s system is used to continuously verify that curtailment had occurred and has continued until the conclusion of the event.