A new TEP program is giving financial incentives to customers who help supply energy to the grid.
Last year, TEP launched the Energy Storage Rewards program for customers who have home battery systems. Those who sign up get paid when they allow TEP to use energy stored in their batteries during pre-scheduled peak times. A typical battery system earns about $360 per season — or up to $720 per year in rewards.
Last August and September, nearly 150 participants enrolled in the first season of the program. Of those, 94 percent participated in eight events, allowing TEP to draw energy from their home batteries. This reduced electric demand by 1.3 megawatts – the equivalent of running about 300 central air conditioners at the same time.
Two customers who participated in the first year found the program worthwhile.
David Stevenson
Not only was David Stevenson one of the first participants in the Energy Storage Rewards program; he also helped test the program to provide feedback to improve the customer experience.
Because of his long-time involvement with renewable energy, Stevenson was contacted as a customer who could test the technology, help describe to potential other customers how to use it and understand the potential benefits. Stevenson previously worked at Technicians for Sustainability and was a co-owner at the solar company until 2022, when he retired.
Stevenson has been using solar panels since 2011 at his westside, 1,200-square-foot home, and he added batteries about five years ago. A self-described environmentalist, Stevenson also relies on rainwater harvesting and drives an electric vehicle.
“My motivation has always been environmental,” Stevenson said. “I want to use my stored solar energy during the day and at night so I almost never need fossil‑fuel power.”
By allowing TEP to use his stored energy, he sees how that reduces the need to generate energy in other ways.
“The way the program works is very simple and easy to participate in. It’s totally transparent to me,” Stevenson said. “The program payments help offset the cost of batteries, and that’s meaningful.”
His participation in the Energy Storage Rewards program resulted in an $892 payout for the first season alone.
Stevenson sees the long-term benefits if more customers enroll by decreasing the need to use and build more generation plants. “The impact during peak periods could be huge,” he said.
Jason Jones
Jason Jones signed up immediately after he learned of a TEP program that allows him to share his stored energy from his home batteries to the grid.
Jones was drawn to the bigger impact of the Energy Storage Rewards program, along with the financial incentives.
“It’s possible for people to contribute to the solution and I feel like that’s what TEP has been enabling,” Jones said.
Jones has been a longtime adopter of renewable energy, investing in solar panels at the three homes that he has lived in in the Tucson area.
At his Tanque Verde-area house, he has a large solar footprint attached to three Tesla batteries. The setup has allowed his household to go months without drawing energy from the grid, fulfilling his goal to be less reliant on the grid and contribute to the community.
Jones sees his investment as a donation to the betterment of the community.
By participating in Energy Storage Rewards, Jones allows TEP to draw stored energy from his battery during times of peak demand. He gets a notification from TEP and his app when peak events occur, then doesn’t notice a change.
“Having lived through brownouts in other states, we feel great about helping our community avoid those and the financial incentives don’t hurt,” he said.
A transplant from California during the pandemic, Jones had heard of the concept because his brother was enrolled in a similar program in California. Jones was happy to learn that TEP was trying it out.
“We believe deeply in trying to support the community and be able to decrease the overall footprint and demands on the grid. TEP has been a great partner through all of that so that has been fantastic.”
Learn more how Energy Storage Rewards works, if your battery is eligible, and/or sign up.
