Frequently Asked Questions

General Questions

What is DSGS?
Who is Olivine?

Olivine is a California-based company focused on helping the state meet its ambitious renewable energy and greenhouse gas reduction goals. Olivine, Inc. is the Program Administrator for the California Energy Commission’s (CEC’s) DSGS Program, providing the program’s infrastructure and program management. To learn more about Olivine, please visit www.olivineinc.com.

Program Questions

How long is each program season in DSGS?
What is the total duration of the DSGS Program and how much funding is currently available?

DSGS Program funding is authorized under Assembly Bill 205 (Ting, Chapter 61, Statutes of 2022), Assembly Bill 102 (Ting, Chapter 28, Statutes of 2023), Assembly Bills 107 (Gabriel, Chapter 22, Statutes of 2024), and Senate Bill 108 (Wiener, Chapter 35, Statutes of 2024) with an overall budget of $202.5 million, of which $127.5 million has been appropriated and an additional $75 million is expected to be appropriated in Fiscal Year 2025-2026. There is no specific restriction on annual spending or allotments for enrolled DSGS providers. Incentive payment is available on a first-come, first-served basis. The CEC will provide estimates and updates of DSGS Program expenditures and available funding annually once activity is reconciled.

Enrollment Questions

Am I eligible to participate in DSGS as a customer?
Eligible participants are:
All customers of Publicly Owned Utilities (POUs)
All customers of Federal Power Marketing Administrations (FPMAs)
All customers of tribal utilities
The following customers of Community Choice Aggregators (CCAs), energy service providers, and electrical corporations:
Customers participating with backup generators.
Customers participating through incentive Option 2, Option 3, or Option 4 described in the Program Guidelines Chapter 4, Chapter 5, and Chapter 6 respectively.
Water agencies, which include water utilities, wastewater facilities, and irrigation districts.
A participant is not eligible to enroll in DSGS and receive incentives if the participant’s load-reduction resource with the DSGS provider is:
Enrolled in the Emergency Load Reduction Program, the Base Interruptible Program or the Agricultural Pump Interruptible Program.
Receiving payment or accounting for the same reduction in use of electricity, including energy export, through any other utility, CCA, or state program, except critical peak pricing rate plans.
A cogeneration facility with a Power Purchase Agreement (PPA).
If a participant has a power purchase agreement for a renewable generator at the same site as a cogeneration facility, but not one for the cogeneration facility, this does not make the participant ineligible to participate.
DSGS providers may include additional eligibility requirements for their participants.
Customers must also meet the eligibility requirements specific to the incentive option in which they are enrolled. See the “Are there additional DSGS Participant eligibility requirements for each Incentive Option?” section for more information.
Are there additional DSGS Participant eligibility requirements for each Incentive Option?
Additional participant and Virtual Power Plant (VPP) aggregation eligibility requirements apply for Incentive Options 2, 3 and 4.
Additional Option 2 Participation Requirements:
Participants must be enrolled in a Proxy Demand Resource (PDR) within the California Independent System Operator (CAISO) and registered to an Option 2 provider.
Additional Option 3 Participant Requirements:
At a minimum, each customer site participating in a market-aware storage VPP must:
Have an operational stationary battery system or electric vehicle (EV) with bidirectional electric vehicle supply equipment (EVSE) capable of discharging at least 1 kW for at least two hours during a program event.
Provide no more than 2,000 kW discharge during any hour of a program event.
A customer site may participate with a stationary battery system capable of discharging greater than or equal to 2,000 kW but any net discharge greater than 2,000 kW during a DSGS event hour will not be offered incentives.
Have permission to operate from the host utility (for example, under a Rule 21 tariff) and operate in a manner compliant with existing rules and tariffs applicable to the site.
UL 1741-SB listing of bi-directional chargers is not required for participation in a DSGS VPP.
Not be participating in a CAISO proxy demand resource (PDR) or reliability demand response resource (RDRR), unless either:
The participant’s customer energy baseline reflects total gross consumption (that is, consumption independent of any energy produced or consumed by behind-the-meter battery storage) consistent with California ISO tariff Section 4.13.4. or
The participant is enrolled with an export-only DSGS resource
If a participant is identified as participating in a conflicting program, the participant’s DSGS provider will be notified, and the participant shall be suspended from participation indefinitely until the conflict is resolved.
A DSGS provider serving as a storage VPP aggregator for more than one partner company may consider each partner company’s battery aggregation to be separate and distinct VPPs that will be measured and compensated independently. In this case, the storage VPP aggregator must submit separate entries for each partner’s aggregation and identify the partner for each participating site in the enrolled participation report. Each partner must be able to meet all other aggregator requirements, such as the minimum aggregate nameplate power.
Additional Option 4 Participant Requirements:
At a minimum, each participating site in a load flexibility VPP must:
Have an operational HVAC system, electric water heater, EVSE, stationary battery, or smart electrical panel capable of reducing net load in response to a dispatch signal by the VPP aggregator by changing device operational mode, temperature setpoint, or other method. Device operational changes through behavioral actions are not eligible
Not be participating in a California ISO PDR or RDRR, or registered in the California ISO DRRS
Not be a distribution service customer of Pacific Gas and Electric Company (PG&E)
If a participant is identified as participating in a conflicting program, the participant’s DSGS provider will be notified, and the participant shall be suspended from participation indefinitely until the conflict is resolved.
Additional Option 4 Load Flexibility VPP Aggregation Requirements:
Consist of a single device type of one of the following:
Smart thermostats with runtime monitoring capability controlling air conditioning units, including heat pumps, without load monitoring capability
Smart thermostat-controlled air conditioning units, including heat pumps, with load monitoring capability
Heat pump water heaters
Electric resistance water heaters
Electric vehicle supply equipment (EVSE)
Stationary BTM batteries
Residential smart electrical panels (also known as circuit breaker box or service panel)
Consist of dispatchable devices located at residential (bundled or unbundled), nonresidential (bundled or unbundled) customer sites, or both
Consist of customer sites located within the same utility service territory
Am I eligible to participate in DSGS as a program provider?
Eligible DSGS Providers include:
Retail suppliers as defined in Public Utilities Code (PUC) Section 398.2
Federal Power Marketing Administrations (FPMAs)
Aggregators of customers
Before enrolling customers in the service territory of a publicly owned utility (POU), aggregators of customers must complete the following:
Notify the POU of their intent to enroll customers within the service territory of the utility (see Chapter 2, Section A of the Guidelines)
Obtain a written statement from each applicable POU
Aggregators must provide the CEC a copy of this statement within five business days of receipt.
Aggregators of bundled and unbundled customers must notify investor owned utilities (IOUs) and community choice aggregations (CCAs) in writing of their intent to enroll customers within their service territory of the respective load-serving entity. Aggregators must provide the CEC evidence of this notice within five business days of sending to the IOU or CCA.
Incentive Options 2, 3 and 4 include additional DSGS provider eligibility requirements.
Are there additional DSGS Provider eligibility requirements for each Incentive Option?
Additional eligibility requirements apply for Incentive Options 2 and 3:
Option 2: To be considered a Demand Response (DR) provider and eligible to administer Incentive Option 2, a DSGS provider, or its authorized third party, must:
Be a third-party demand response (DR) aggregator or publicly owned utility (POU)
Operate within the California Independent System Operator (ISO) balancing authority area
Have at least one proxy demand resource (PDR) registered to participate
Option 3: To be considered storage VPP aggregator eligible to administer Incentive Option 3, a DSGS provider, or its authorized third party, must:
Be a third-party battery provider, third-party vehicle-to-load (V2X) service provider, POU, or CCA
POUs and CCAs may serve only customers for which they serve as the LSE or retail provider
Receive authorization from participants allowing for use of their device for DSGS Program participation.
Send dispatch signals to or directly control individual batteries participating in a market-aware VPP.
Collect and provide hourly or subhourly charge/discharge interval data from a battery inverter or submeter to the CEC.
Comply with the participants’ utility interconnection agreements (for example, a Rule 21 tariff) Dispatch in violation of an interconnection agreement is not elgigible for incentive payments.
Aggregate either:
a total minimum nameplate power rating of 400kW across all utility service territories and resource durations
At least one aggregation with a total minimum nameplate power rating of 200 kW, or
At least three aggregations with a total minimum nameplate power rating of 100 kW each
For non-EV storage assets, the total nominal power rating is determined by summing the nominal continuous power rating (kW) from the specification sheets of the individual storage devices within the aggregation.
For aggregations of EVs, the total nominal power rating is determined by summing the nameplate discharge power rating (kW) from the specification sheets of the EVSE used by individual vehicle operators.
Option 4: To be considered a load flexibility virtual power plant (VPP) aggregator eligible to administer Incentive Option 4, a DSGS provider, or its authorized third party, must:
Send dispatch signals to or directly control individual devices participating in the load flexibility VPP
Collect and provide 15-minute or 5-minute load data from a smart thermostat controlled HVAC system, or other eligible device, to the CEC. If HVAC load data is unavailable, then the HVAC runtime data from a smart thermostat can be provided as an alternative
Aggregate at a minimum:
200 kW across all aggregations, or
100 kW in at least one single aggregation, or
50 kW in at least 3 aggregations
What information do I need to enroll in DSGS as a customer?
Incentive Option 1: Standby and Energy Payment
Eligible participants must enroll to participate under Incentive Option 1 by submitting the following information to your DSGS provider. If enrolling directly with the CEC, utilize the DSGS Direct Enrollment Application Template.
Legal name of the participant.
Participant contact’s name, title, email address, and phone number.
Utility distribution company, load-serving entity, customer identification number (such as service account identification number), phone number on file with the load-serving entity, or any other information necessary to verify participant eligibility with the load-serving entity, as appropriate.
Information on the load-reduction resources the participant will use during a DSGS Program event, including:
Types of available resources, including the applicable loading order category (for example, demand response, renewable or zero-emission resource, near zero-emission resource, biomethane or natural gas resource, or diesel backup generator or other conventional resource, or any combination of the above).
Address and customer identification number where participant will deploy each resource.
Expected minimum and maximum load-reduction capacity (in kilowatts [kW]) for each resource.
Whether the resource may require a 202(c) emergency order pursuant to the Federal Power Act to participate in the DSGS Program.
If the resource is a backup generator, information on whether the backup generation is portable or stationary, rated horsepower, fuel type used, and federal emissions tier.
Notice time and ramp time required to respond to a DSGS event.
Additionally, the DSGS participant must verify in writing that:
The participant meets the eligibility requirements of the DSGS Guidelines to the best of their knowledge.
The participant will allow the CEC access to all documentation to verify compliance with the program.
The information submitted is accurate and complete.
The participant agrees to the terms and conditions of the program.
Participants may use behind-the-meter combustion or non-combustion resources. Combustion resources involve oxidizing fuel to produce energy. The fuel can be solid, liquid, or gas. Non-combustion resources eligible under Option 1 are those that can reduce electric load during emergency events without combustion.
Participants must also provide any other information the DSGS provider or CEC deems necessary.
Incentive Option 2: Market-Integrated Demand Response Incremental Capacity Pilot
Eligible participants must be enrolled in a proxy demand resource (PDR) within the California Independent System Operator (CAISO) to participate under Incentive Option 2.
DR providers must collect and retain participant information, which may be reviewed by the CEC in an audit, as described in Chapter 7, Section D of the DSGS Program Guidelines.
Incentive Option 3: Market-Aware Storage Virtual Power Plant Pilot
Storage (VPP) aggregators must collect and maintain the following information to enroll eligible participants under Incentive Option 3:
Legal name of the participant or name on the utility bill at the participating site
If contact name is different from above: primary contact’s name and, if available, title
Email address and phone number of participant or primary contact
Service account address, service account or agreement identification number (SAID), or both
Service account utility distribution company (UDC)
Indication of whether service account is non-residential or residential
Indication of whether the resource type is a stationary default, stationary export-only, stationary VNEM, or EVSE
Indication of whether the service account is enrolled in PDR and participating as an export-only resource
Authorization from the participant allowing for the use of their device charge and discharge data for purposes of program participation.
Acknowledgement and agreement from the participant that:
The participant meets the eligibility requirements of the DSGS Guidelines and is not enrolled or participating in a conflicting program to the best of their knowledge.
The participant will allow the CEC access to all documentation to verify compliance with the program and program performance.
The information submitted is accurate and complete.
The participant agrees to the terms and conditions of the program.
If claiming a baseline of zero (Chapter 5., Section E):
Permission to operate date
Indication the participant has not received and will not apply for self-generation incentive program (SGIP) incentives
Both service account address and SAID
Indication that the DSGS provider or its partner has remote control (for example, API control) over each participant battery, is not controlling the battery for a conflicting program, and has no knowledge or awareness that each customer is enrolled or participating in a conflicting program, to the best of the provider’s knowledge
Any other information the storage VPP aggregator deems necessary
Incentive Option 4: Emergency Load Flexibility Virtual Power Plant
Load Flexibility VPP aggregators must collect and maintain the following information to enroll eligible participants under Incentive Option 4:
Name of the participant
Address at which the device is installed
UDC for the above address
Indication of whether the device is a smart thermostat, air conditioning unit (or heat pump), electric resistance water heater, heat pump water heater, EVSE, stationary battery, or smart electrical panel
Authorization from the participant allowing for the use of their load or runtime data for purposes of program participation
Acknowledgement and agreement from the participant that the information submitted is accurate and complete
Any other information the load flexibility VPP aggregator deems necessary
Participant enrollment information may be reviewed by the CEC in an audit as described in Chapter 8, Section D in the DSGS Program Guidelines.
What information do I need to enroll in DSGS as a program provider?
Applicants to be DSGS providers must submit to the CEC the following information through the DSGS Provider Application Template.
Legal name of the applicant
Applicant’s contact name, title, address, email address, and phone number
Description of how the applicant will verify which load-reduction resources are used by participants
Description of how the applicant will verify participant eligibility prior to enrollment of participants
Which DSGS incentive options the applicant will offer to participants
If offering Incentive Option 1:
Description of how the applicant will implement the dispatch loading order requirements described in Chapter 3, Section D of the DSGS Program Guidelines
Description of how the applicant will verify actual incremental load reduction amounts, including the DSGS provider’s method for determining energy use baselines and actual energy usage during a DSGS program event
Indication of which administrative cost structure described in Chapter 7, Section B, the DSGS provider has chosen
If offering Incentive Option 2:
Description of how the applicant meets the eligibility requirements specific to the incentive option and how the applicant plans to implement the program under the incentive option, including details on how the applicant will allocate incentives to participants
California Independent System Operator (CAISO) Demand Response Provider ID (DRP ID) and an attestation that the DRP has active proxy demand resources (PDRs)
If offering Incentive Option 3:
Description of how the applicant meets the eligibility requirements specific to the incentive option and the applicant’s plans to implement the program under the incentive option, including plans to allocate incentives to participants
Description of the applicant’s plans to implement quality control on submetered charge and discharge data, including minimum standards for data completeness and quality
If offering Incentive Option 4:
Description of how the applicant meets the eligibility requirements specific to the incentive option and the applicant’s plans to implement the program under the incentive option, including plans to allocate incentives to participants
Description of the applicant’s plans to implement quality control on device level load data or smart thermostat runtime data, including minimum standards for data completeness and quality
If the applicant is an aggregator of participants:
A description of the types of customers (such as residential, commercial, industrial, and so forth) and load reduction resources the applicant plans to enroll and the utility territories in which the DSGS provider plans to operate
Payee data record (STD-204). If the designated payee has already submitted a complete STD-204 form with a prior reimbursement claim and has received a payment within the past year from the CEC, a new STD-204 is not needed
Verification in writing of the accuracy and completeness of the information submitted and agreement to the terms and conditions of the DSGS Program guidelines.

Is there a list of approved DSGS Providers?

Yes. The list of approved DSGS Providers include:

DSGS Provider	Incentive Options Offered	Contact Information	Customer Type	Utility Territories	Description
OhmConnect	2, 3	Name, Title: Sarah Millar, Director of VPP Operations Phone: (844) 646-2664 Email: sarah.millar@ohmconnect.com	Residential, Small Commercial	Pacific Gas & Electric Southern California Edison San Diego Gas & Electric	OhmConnect is a no-cost, no-risk service that notifies you when electricity prices spike in your neighborhood and pays you to save energy during those times. Lower your bills and get paid at the same time.
Sunrun, Inc.	3	Name, Title: Yang Yu, Senior Business Development Manager Email: yang.yu@sunrun.com	Residential customers paired with solar charging batteries	Pacific Gas & Electric Southern California Edison San Diego Gas & Electric
Olivine, Inc (ClimateResponse® VPP)	1, 2, 3	Name, Title: Vasudha Lathey, Vice President Phone: (925) 886-9222 Email: ask@climateresponse.com	Nonresidential with offerings for other customer types	Pacific Gas & Electric Southern California Edison Western Area Power Administration (WAPA) Pomona Choice Energy Lancaster Energy San Jacinto Power Rancho Mirage Energy Authority Pico Rivera Innovative Municipal Energy Energy for Palmdale’s Independent Choice Apple Valley Choice Energy City and County of San Francisco	Join Olivine’s ClimateResponse Virtual Power Plant (VPP) to earn revenue while mitigating the grid impacts of climate change. It’s free to join, there are no penalties, and you remain in control of your buildings. We are a certified woman-owned Disadvantaged Business Enterprise, transforming DER management by implementing innovative programs. We currently administer grid emergency programs across California under our Utility Services business, which is strictly firewalled from our VPP.
Leap	2, 3	Email: partners@leap.energy	Commercial & Industrial, Residential	Pacific Gas & Electric Southern California Edison San Diego Gas & Electric	The Leap Platform streamlines integration with DSGS for commercial and residential battery storage systems. Through its software-only solution and universal API, Leap enables fast, automated participation in DSGS and other energy market revenue opportunities for technology providers and operators. By aggregating the devices enrolled on its platform, Leap supplies virtual power plants (VPPs) to support the grid.
Burbank Water & Power	1	Name: Myles Collins Phone: (818) 238-3561 Email: mcollins@burbankca.gov Name: Drew Kidd Phone: (818) 238-3653 Email: dkidd@burbankca.gov	Only City of Burbank accounts	Burbank Water & Power	Burbank Water & Power is encouraging large commercial customers to enroll directly through the CEC.
Power and Water Resources Pooling Authority (PWRPA)	1	Name: Lauren Schultis Phone: (804) 426-3466 Email: ls@pwrpa.org Name: Cori Bradley Phone: (916) 600-3443 Email: cb@pwrpa.org	Municipal Water and Irrigation Districts	PWRPA/PG&E	Currently, we have one participating water district with availability to shed load of 750kW to 1.5MWs. Two more districts are evaluating participation.
Generac Grid Services, LLC	1	Email: programs@generacgs.com	Commercial & Industrial	Central Coast Community Energy (CCCE) Clean Energy Alliance (CEA) Clean Power Alliance (CPA) CleanPowerSF Desert Community Energy (DCE) East Bay Community Energy (EBCE) MCE Orange County Power Authority (OCPA) Pacific Gas & Electric (PG&E) Peninsula Clean Energy (PCE) San Diego Community Power (SDCP) San Diego Gas and Electric (SDG&E) San Jose Clean Energy (SJCE) Silicon Valley Clean Energy (SVCE) Sonoma Clean Power (SCP) Southern California Edison (SCE) Valley Clean Energy (VCE)	Generac and Energy Systems is offering a turnkey solution to backup generator owners to enhance gride reliability through load reduction during extreme events. The solution delivers a host of benefits to support the DSGS program through asset connectivity and monitoring, event dispatch, and event payment.
Sacramento Municipal Utility District	1	Name, Title: Denver Hinds, Senior Electrical Engineer Email: Denver.hinds@smud.org	Commercial & Industrial	Sacramento Municipal Utility District	Sacramento Municipal Utility District is coordinating participation of load reduction and back up generator resources for our large commercial and industrial customers.
PowerFlex Systems, LLC	3	Email: info@powerflex.com	Commercial & Industrial	San Diego Gas & Electric San Diego Community Power
Flip Energy, Inc.	3	Email: hello@flip.energy	Residential Small & Medium Business	East Bay Clean Energy
Lunar Energy, Inc	3	Roland Dooruyn, Commercial Head US	Residential ESS	Pacific Gas & Electric (PG&E) Silicon Valley Clean Energy (SVCE) Peninsula Clean Energy (PCE) San Jose Clean Energy (SJCE)
Silicon Valley Power	1	Basil Wong Electric Division Manager Email: bwong@santaclara.gov	Industrial	Silicon Valley Power	SVP will coordinate and select customers for participation. Participant must have at least 1 MW of load to participate.
Sunnova Energy International Inc	3	Email: energyservicesmanagement@sunnova.com	Residential	Pacific Gas & Electric Southern California Edison	Enrollment is expected to open in Q1 2024.
Enersponse, LLC	More information coming soon
Everbright, LLC	More information coming soon
TotalEnergies Renewable USA, LLC dBa TotalEnergies Distribute Generation USA, LLC		Email: Energysolutions@totalenergies.com	Small / Medium Business, Commercial & Industrial	Southern California Edison Pacific Gas & Electric San Diego Gas and Electric	As part of its ambition to get to net zero by 2050, TotalEnergies is building a world class cost-competitive portfolio combining renewables (solar, onshore and offshore wind) and flexible assets (CCGT, storage) to deliver clean firm power to its customers. At the end of 2023, TotalEnergies’ gross renewable electricity generation installed capacity was 22 GW. TotalEnergies will continue to expand this business to reach 35 GW in 2025 and more than 100 TWh of net electricity production by 2030.
Stem, Inc.	3	Email: support@stem.com	Small/Medium Business, Commercial & Industrial	Southern California Edison Pacific Gas & Electric San Diego Gas and Electric
Calibrant Energy	3	Click here to fill out a contact form.	Small/Medium Business, Commercial & Industrial	Southern California Edison Pacific Gas & Electric San Diego Gas and Electric
Tesla, Inc.	3	Email: vppsupport@tesla.com	Residential, Tesla Powerwall owners	Southern California Edison Pacific Gas & Electric San Diego Gas and Electric	Join with other Powerwall customers to create a virtual power plant. Support the California grid on critical summer evenings. You will get paid for the power you provide, and you are always in control.
38 Degrees North	3	Information coming soon
GoodLeap LLC.	3	Ani Backa, Vice President of Virtual Power Plants VPP@goodleap.com		Pacific Gas & Electric San Diego Gas and Electric Southern California Edison SMUD CPA MCE AVA

Please check back regularly for updates on new DSGS Providers.

What are the reporting requirements?
DSGS providers must submit the following reports on enrolled participation and backup generation:
Enrolled Participation Reports
Within 10 business days of the DSGS provider’s initial enrollment, or as soon as practicable, DSGS providers must submit to the CEC an Initial Report on enrolled participation with the information specified below for each Option. Thereafter, DSGS providers must submit to the CEC updated enrolled participation reports in a format provided by the CEC, as detailed below. If a site is not included in a participation report, that site may not be included in performance calculations for the period that is covered by that participation report.
Incentive Option 1: No later than three business days before the first day of the program season (May-October) and within five business days after any changes to participants enrolled or expected load reduction resources.
Incentive Option 2, Option 3 and Option 4: No later than three business days before the first day of each month for all enrollments effective the first calendar day of that month.
Participation Report for Incentive Option 1.
The Initial Report of the program season must include the following information on each participant enrolled under Incentive Option 1, segmented by host balancing authority, in a format provided by the CEC:
Legal name of the participant
Participant contact’s name, title, email address, and phone number
If the participant is enrolling with an aggregator or the CEC: applicable utility distribution company (UDC) and load-serving entity (LSE), customer identification number (such as service account identification number), phone number on file with the load-serving entity, or any other information necessary to verify participant eligibility with the load-serving entity, as appropriate.
Information on the load reduction resources the participant will use during a DSGS Program event, including:
Types of available resources, including the applicable loading order category (for example, demand response, renewable or zero-emission resource, near-zero-emission resource, biomethane or natural gas resource, or diesel backup generator or other conventional resource, or any combination of the above).
Address and customer identification number where the participant will deploy each resource
Expected minimum and maximum load reduction amount (in kilowatts [kW]) for each resource
Whether the resource may require a 202(c) emergency order pursuant to the Federal Power Act to participate in the DSGS Program
If the resource is a backup generator, information on whether the backup generation is portable or stationary, rated horsepower, fuel type used, and federal emissions tier.
Notice time and ramp time required to respond to a DSGS event
Participation Report for Incentive Option 2.
California Independent System Operator (CAISO) Resource ID(s) for all resources under the aggregator enrolled in DSGS
Number of end-use customers and customer class, sector, or load type of customers for each Resource ID
Estimated incremental capacity not shown on any supply plan or other resource adequacy commitment
Participation Report for Incentive Option 3 (Reporting Template coming soon).
Information on each participating site, including a unique identification number, partner company (if applicable), nominated duration (hours), customer class, utility service account number (for example, service agreement ID) or)service account address, or both, UDC, number of batteries installed at each site, resource type (stationary default, stationary export-only, station VNEM, or EVSE), nameplate battery system power rating (for nonvehicle behind-the-meter [BTM] storage) or nameplate discharge power rating for electric vehicle supply equipment(EVSE), nameplate storage energy capacity (for stationary storage devices, in kWh), and estimated full-duration event discharge (kWh).
Indication that the DSGS provider or its partner has remote control (for example, via Application Programming Interface (API) access) of each participant battery to dispatch the battery, is not dispatching the battery for a conflicting program, and has no knowledge or awareness that each customer is enrolled or participating in a conflicting program.
If claiming a baseline of zero (see Chapter 5, Section E): The permission-to-operate date, a field indicating the customer has attested that the relevant resource is not and will not receive Self-Generation Incentive Program (SGIP) funding, and both the service account address and service account number.
Participant Report for Incentive Option 4
The UDC service territory and device type for each aggregation participating in the DSGS Program. DSGS providers should submit no more than one entry for each combination of UDC and device type.
Information on each participating device, including a unique identification number, device type, utility service account number (for example, service agreement ID) or service account address or both, UDC, and connected load estimate. The connected load estimate shall be entered as 2.5 kW for smart thermostats without direct load measurement or the estimated maximum instantaneous power draw of the device otherwise.
Indication that the DSGS provider has remote control (for example, via API access) of each participant device to dispatch the device, is not dispatching the device for a conflicting program, and has no knowledge or awareness that each participant is enrolled or participating in a conflicting program.
Indication that each participant device was not enrolled in a resource adequacy program in the 2024 or 2025 calendar years.
Option 2 Dispatch Reports
Option 2 providers must submit to the CEC a monthly report summarizing the total expected energy (MWh) by Resource ID for each day and hour. Dispatch reports are due to the CEC 10 business days after the last day of the month in which dispatches occurred. If no eligible dispatches occured in the previous month, the report should indicate that no dispatches occured in the past month.
Option 3 Performance Reports
Within 15 business days after the end of each month during the program season (May–October), Option 3 providers must submit to the CEC (a) submeter or inverter data in the specified format for the prior month for all sites participating in their aggregation that month and (b) electric utility meter data in 15-minute intervals for sites also enrolled in a supply-side demand response program and participating in DSGS with an export-only resource. Monthly performance reports are required for the CEC to accept a claim submission and complete settlement.
Option 4 Performance Reports
Within 10 business days after a program or test event occurs, Option 4 providers must submit participating device load or run-time data to the CEC in the specified format for all devices active in their aggregation.
Backup Generation Reports:
Please see the FAQ question “What are the CARB reporting requirements for combustion resources?” for more information about backup generation reports.
All reports can be submitted by uploading them here.
What are the Terms and Conditions?
How do I disenroll from DSGS?

DSGS providers can voluntarily withdraw from the program at any time by emailing dsgs-support@olivineinc.com. Voluntary withdrawal from the program does not preclude the DSGS provider from reapplying in the future. Withdrawal from the program will remove all of the DSGS provider’s enrolled DSGS participants from the program. DSGS providers that withdraw are still eligible to submit claims for events that occurred during their enrollment period.
DSGS participants can voluntarily withdraw from the program at any time by notifying their DSGS provider or emailing dsgs-support@olivineinc.com if directly enrolled in the program. Voluntary withdrawal from the program does not preclude the participant from reapplying in the future. Participants are still eligible to receive payment for events that occurred during their enrollment period.

Backup Generator Questions

Is the use of combustion resources to respond to a DSGS event permitted?

Participants enrolled in Option 1 may dispatch combustion resources during Option 1 events called in response to an EEA level 2 or higher if the Governor issues an executive order. Participants may only dispatch at a lower EEA level (Watch or EEA 1) if explicitly authorized by the Governor’s executive order. Participation in the program does not waive any air or operation permit requirements.
Participants utilizing combustion resources must submit reports to California Air Resources Board (CARB) on the use of their backup generation as a precondition to receiving incentive payments.
What are the CARB reporting requirements for combustion resources?
Within 10 business days after the end of each month in which a DSGS Program event occurred and the backup generator was dispatched, DSGS providers or participants participating in Incentive Option 1 must submit a California Air Resources Board (CARB) Report with the following information regarding backup generation participants used during a DSGS Program event, if any. DSGS providers and participants can submit CARB Reports by uploading them here.

The address or GPS coordinates where such backup generation occurred

Information on whether the backup generation is portable or stationary

The engine size, age, rated horsepower, and federal emissions tier for each generator dispatched under the program

The type and amount of fuel used by each generator dispatched under the program

The hours of operation on each day with a program event of each generator dispatched under the program

The program team will share all reports with CARB.

DSGS providers must determine with their participants who is responsible for submitting the reports. Participants enrolled directly with the CEC are responsible for submitting the reports.

The CEC will not approve requests for incentive payments for backup generation until CARB receives the report associated with that backup generation for each month in which the backup generation participated.
Can I export energy during a DSGS event?

Exports are allowed and compensated for customers with interconnection agreements participating in Incentive Option 1: Emergency Dispatch and Incentive Option 3: Market-Aware Storage Virtual Power Plant Pilot. Participants must comply with their interconnection agreement. Dispatch in violation of an interconnection agreement is not eligible for incentive payments.

Event Questions

When will a DSGS event occur?
Incentive Option 1: Emergency Dispatch
Resources enrolled in Incentive Option 1 are dispatched to reduce electric load during Option 1 events called in response to Energy Emergency Alert (EEA) Watch, EEA-1, EEA-2, or EEA-3 notices issued by either their host balancing authority or the California ISO. DSGS Option 1 dispatch periods can occur during the program season from May 1st to October 31st of each year. Dispatch periods are not anticipated to take place outside of the 3:00 p.m. to 10:00 p.m. timeframe but may vary depending on grid conditions.
Option 1 events always start at the beginning of a complete hourly interval. If the start time identified in the EEA notice is not hour-aligned, the associated DSGS event start time is rounded to the nearest hour, with times ending in 30 minutes rounded to the next hour. If the end time identified in the EEA notice is not hour-aligned, the associated DSGS event end time is always rounded to the following hour.
Additionally, participants with non-combustion resources will be eligible for Option 1 incentives when dispatching in response to EEAs issued by a neighboring California balancing authority if requested or notified by that balancing authority and authorized to respond by the participant’s host POU and balancing authority. If two or more California balancing authorities issue an EEA during the same time frame, participants shall prioritize providing load reduction to the balancing authority area in which the participant is located.
Incentive Option 2: Market-Integrated Demand Response Incremental Capacity Pilot
Demonstrated capacity will be calculated based on resource availability and performance during a defined availability window. A PDR aggregation may participate on non-holiday weekdays only, or all days including weekends and holidays for a higher incentive level. To receive incentives for incremental capacity demonstrated under Option 2, the PDR must have capacity bid at a price no greater than $600/MWh (or self scheduled) in the day-ahead market for at least three consecutive hours between 4:00 p.m. and 10:00 p.m. For a PDR with a capacity obligation on a monthly resource adequacy (RA) showing, the RA availability and bidding rules take precedence over DSGS.*
Unlike the must-offer obligation under the RA program, DSGS does not require offering any minimum amount (MW). Instead, the DR provider may determine the appropriate amount to offer; this amount may factor into demonstrated capacity if dispatched. If the DR provider does not bid (or self-schedule) during these hours, a value of zero will be utilized for the performance calculation.
* Resource adequacy resources generally have a 24×7 must-offer obligation, unless otherwise specified by the California ISO Tariff.
Incentive Option 3: Market-Aware Storage Virtual Power Plant Pilot
Participants in Incentive Option 3 may be dispatched 7 days a week between 4:00 p.m. and 9:00 p.m. from May 1st to October 31st. An event may last from one hour to the maximum resource duration of a VPP. There is a maximum of 35 day-ahead events per program season, including up to one test event per month in the absence of a full-duration event.
Day-Ahead Events
A day-ahead storage VPP event is triggered within the hours that meet either of the two criteria within the program hours:
AbsolutePrice Trigger: The hourly LMP must be greater than or equal to $200/MWh. Option 3 VPP events will only be called for consecutive hours. If multiple hours within the program window meet the absolute price trigger but are not consecutive, the hour or hours in between shall also be considered to meet this criterion.
Day-Ahead Emergency Trigger: If an EEA Watch or above is called for the following day by the host BA, the emergency trigger shall take effect beginning at 4:00 p.m. and lasting until 9:00 p.m.
For all resources, price is defined as the California ISO day-ahead locational marginal price (LMP) for the default load aggregation point (DLAP) of the VPP’s host UDC, or the trading hub of the host UDC if a DLAP is not available. If no hours within the program window meet either criterion, no day-ahead event shall be called.
An event may last from one hour to the maximum resource duration of a VPP If the number of hours where the day-ahead LMP > $200/MWh exceeds the nominated capacity duration, only those consecutive hours with the highest mean LMP shall be considered event hours. If the highest mean consecutive hourly price applies to more than one set of hours (that is, if there is a tie), the event will be the first (that is, earliest) set of hours meeting these conditions.
There is a minimum of one event per month required for all participating aggregations. Storage VPP aggregations that have reached the maximum events per season must still participate in at least one full-resource duration event. In the absence of a DSGS Program event, a test event must be called by the storage VPP aggregator. This requirement supersedes the maximum event threshold.
For more information on test events, reference “Are there test events?”.
Day-Of Events
If an EEA Watch or above is issued for the same day by the host BA, the emergency trigger shall take effect at the later of the notice issued time rounded to the nearest hour, the notice start time rounded to the nearest hour, and 4:00 p.m., and last no later than 9:00 p.m. Day-of event triggers shall not change day-ahead event hours. If a day-of Event is called following a partial-duration day-ahead event, the day-of event hours must be consecutive with the day-ahead event hours. Subject to this constraint, only the consecutive hours of the resource duration with the highest mean LMP shall be considered event hours, with ties in LMP going to the earlier set of hours.
Day-of event hours shall not be included in the demonstrated capacity calculation and the VPPs dispatching during the event will be compensated at a rate of $1 per kWh of net discharge. Day-ahead event hours, including test event hours, are not considered day-of event hours.
Test Events
In the absence of a full-duration day-ahead storage VPP event during a participation month, a storage VPP aggregator must define a full-duration test event per aggregation to substantiate its demonstrated capacity value. The test hours must occur during hours with the highest consecutive LMPs within the program hours and last for the duration of the capacity commitment. VPP aggregators must notify the CEC of test events no later than 3:00 p.m. on the day preceding the planned test event. The storage VPP aggregator must provide the CEC with the hours of the planned test event, the UDC service territory, and nominated duration of the storage VPP(s) that will participate in the test event.
Test events may coincide with a shorter duration price-triggered storage VPP event. If all storage VPP events called during a month are shorter than the resource duration of a VPP, a provider may extend an event with test hours to reach the VPP’s full resource duration. In this case, both day-ahead event hours and test hours will be used in the capacity calculation.
What do I need to do to get a Standby Payment?

Participants with combustion resources are eligible to receive a Standby Payment in response to a Standby Event. Non-combustion resources are not eligible for a Standby Payment.
Standby Event Notification Process. When an applicable California balancing authority issues an EEA Watch or an EEA 1, the DSGS program team will notify DSGS providers and directly-enrolled participants with combustion resources of a DSGS standby event and to be ready to potentially dispatch if a DSGS dispatch event is issued. DSGS providers are responsible for notifying their participants with combustion resources of any standby events. DSGS providers and direct participants must determine the amount of incremental load reduction that would be available from combustion resources during each hour of the EEA Watch or EEA 1 time frame (standby commitment). Participants must provide a standby commitment to be eligible for a Standby Payment. Participants must provide a standby commitment in response to each DSGS standby event prior to the start of the event hour. Standby commitments are specific to a single DSGS standby event and are not carried over to subsequent DSGS standby events.
DSGS providers and direct participants shall report to the CEC the amount of incremental load reduction committed to be available during the DSGS event time frame within one hour or as quickly as feasible after the balancing authority issues the EEA Watch or EEA , but before the DSGS event hour to receive a standby payment for that hour. In the case of a sudden onset event, providers and direct participants shall report within one hour, recognizing that the event will have already started. The standby event email notification will include instructions on how to provide the standby commitment.
DSGS providers and direct participants shall provide to the CEC any updates to the standby commitments as soon as practicable.
Can I be reimbursed for costs incurred for participating in DSGS?
Incentive Option 1 Participants: Participants can be reimbursed for incremental increases in customer demand charges that result from participation in the program and are incurred during the billing period in which a DSGS Program event occurred, if any. To receive a reimbursement, submit a claim to the CEC using the Option 1 Direct Participant Claim Package provided on the Resources tab.
Option 1 DSGS Providers: The CEC reimburses each DSGS provider for up to $1 million per year in administrative costs associated with implementing Incentive Option 1. The Option 1 DSGS provider must select one of the following administrative cost structures:
Actual incremental costs incurred in administering the program, such as costs derived from employee timesheets or invoices from third-party contractors, pending specified conditions, and for indirect/overhead costs (not to exceed 10 percent of actual incremental costs or a federally approved indirect rate from a federal agency as evidenced by an approval letter).
Ten percent of incentive payments provided to participants under Incentive Option 1, or if an electrical corporation, 5 percent of incentive payments provided to participants under Incentive Option 1.
To receive a reimbursement for administrative costs, submit a claim to the CEC using the Incentive Option 1 Claim Package template on on the resources tab.
Non-Provider Utilities: The CEC shall also reimburse for the following actual costs incurred by utilities and federal power marketing administrations in facilitating an aggregator’s administration of the program in the utility’s service territory and a direct participant’s participation in the program.
Costs incurred to verify customers are eligible to enroll in the program.
Costs incurred to provide customer data necessary for program enrollment and incentive claims
These costs may be reimbursed directly to the utility or federal power marketing administration, or to the DSGS provider billed for direct costs. Each utility and federal power marketing administration is limited to reimbursement of up to $250,000 each year in actual incremental costs.
To receive a reimbursement for administrative costs, submit a claim to the CEC using the Non-Provider Utility Claim template found on the Resources tab.
Are there test events?

Incentive Options 1 & 2: There are not any test events.
Incentive Option 3: In the absence of a full duration day-ahead storage VPP event during a participation month, a storage VPP aggregator must define a full-duration test event per aggregation to substantiate its demonstrated capacity value. The VPP aggregator must communicate test event details such as date, start time, and end time to the CEC in their claim submission. The test hours must occur during hours with the highest consecutive local marginal prices (LMPs) within the program hours and last for the duration of the capacity commitment. VPP aggregators must notify the CEC of test events no later than 3:00 p.m. on the day preceding the planned test event. The storage VPP aggregator must provide the CEC with the hours of the planned test event, the UDC service territory, and nominated duration of the storage VPP(s) that will participate in the test event.
Test events may coincide with a shorter duration price-triggered storage VPP event. If all storage VPP events called during a month are shorter than the resource duration of a VPP, a provider may extendan event with test hours to reach the VPP’s full resource duration. In this case, both day-ahead event hours and test hours will be used in the capacity calculation. A storage VPP aggregator may conduct multiple test events per month per aggregation, but only the most recent test event will be used in the calculation of demonstrated capacity for that month. Test events included in the demonstrated capacity calculation count towards the maximum number of events.
When and how will I be notified of a DSGS event?

Incentive Options 1, 3 & 4: DSGS Providers enrolled in Incentive Options 1, 3 and 4 and directly enrolled participants enrolled in Incentive Option 1 receive event notifications via email and if they choose, text (SMS), OpenADR, and/or Olivine’s Dispatch API. Incentive Option 1 Providers and direct participants will be notified shortly after the applicable balancing authority issues an Energy Emergency Alert (EEA) notice.
Can DSGS events be modified or canceled?

Incentive Option 1: A DSGS event may be modified or canceled in response to subsequent balancing authority Energy Emergency Alert (EEA) notices. DSGS Providers and directly enrolled participants will be notified of any event updates or cancelations. DSGS Providers are responsible for notifying their participants of event updates or cancelations.
Incentive Options 2 & 3: DSGS events are not modified or canceled.
Incentive Option 4: A load flexibility event shall be cancelled if the host BA issues a cancellation of all applicable EEA Watch+ notices at least 20 minutes before the beginning of the first scheduled shoulder interval. (Real-time events are always initiated within 80 minutes of the highest LMP hours and start with core intervals. These events cannot be cancelled.)

Incentive Payment Questions

How much money will Incentive Option 1: Emergency Dispatch
Participants enrolled in Incentive Option 1 are eligible to receive the following payments:
Energy Payment: Participants will earn an incentive of $2 for each kilowatt-hour (kWh) of verified incremental load reduction relative to their resource’s typical energy usage during an Option 1 DSGS dispatch event.
Standby Payment: Participants using combustion resources that provide a standby commitment identifying their available combustion capacity upon notice of a DSGS standby event receive a standby payment of $0.25 per kWh for each hour their resource is not dispatched. Standby commitments must be made prior to the start of the standby event hour. The standby payment will be based on the standby commitment. If the actual average load reduction during the dispatch period is less than the standby commitment, the standby payment is prorated to reflect the actual average load reduction demonstrated by the resource.
Reimbursement for Increased Customer Demand Charges: Participants can also be reimbursed for incremental increases in customer demand charges that result from participation in the program and are incurred during the billing period in which a DSGS Program event occurred, if any.
The default load reduction compensated by the Energy Payment is calculated as follows. DSGS providers may propose an alternate method of calculating verified incremental load reduction in their application. DSGS providers are responsible for calculating performance and payments for their Option 1 participants.
Step 1: Calculate the energy baseline (EB) at the service account level. The EB will be calculated on an hourly basis using the average of the preceding similar days.
The 10 non-excluded weekdays will be selected for weekday events; for weekend and holiday events, the 4 non-excluded weekend and holiday days will be selected.
A service account must have at least 10 similar days of interval meter data available to have a valid baseline.
Step 2: Calculate the day-of adjustment value (DOAV). A DOAV shall not be less than 0.60 or greater than 1.40. The DOAV is a ratio of (a) the average load of the first three hours of the four hours prior to the event to (b) the average load of the same hours from the days selected in accordance with Step 1 above. If either (a) or (b) are negative, the DOA is 1.0.
Step 3: Calculate the adjusted energy baseline (AEB). – When the EB is greater than zero, a service account AEB for a DSGS event is calculated by multiplying the EB by the DOAV. If the EB is less than zero in an hour during the event, the AEB shall be equal to the EB (that is, DOAV treated as 1).
Step 4: Calculate the incremental load reduction achieved during the event. The incremental load reduction for each hour of the event is the AEB minus the load measured uring that hour. If this value is negative, the incremental load reduction in that hour shall be considered zero.
If the participant has a grid-connected device with export capability under the utility’s interconnection agreement, the participant may choose to count exported energy, up to their export rating, in the incremental load reduction calculation. In that case, the baseline is modified to account for exported energy during non-event days and count exported energy in the incremental load reduction.

How much money will Option 2: Market-Integrated Demand Response Incremental Capacity Pilot participants earn?

Demand Response (DR) providers enrolled in Option 2 receive incremental DR capacity incentive payments based on demonstrated capacity in excess of resource adequacy capacity commitments, if applicable. For example if a DR provider has a portfolio RA capacity commitment of 10 MW and demonstrates capacity of 12 MW, the incremental demonstrated capacity is 2 MW. DR providers shall allocate incentive payments between the DR provider and its participants pursuant to the terms and conditions agreed upon by the DR provider and participants. Demonstrated capacity is calculated based on resource availability and performance during a defined availability window. The incremental capacity incentive rates under option 2 vary by month and availability requirement, as shown in the following table.

Incremental Capacity Prices by Month and Availability Requirement ($/MW)

Month	Every Day	Non-Holiday Weekdays
May	$9,000	$7,200
June	$9,300	$7,440
July	$16,800	$13,440
August	$18,000	$14,400
September	$19,200	$15,360
October	$10,500	$8,400
Season Total	$82,800	$66,240

Reference Chapter 4 Section E of the DSGS Guidelines for more information on incremental demonstrated capacity calculations.

Bonus Payment: DR providers will be awarded an additional 30 percent bonus applied to capacity incentives for Program Years 2025, and 2026. Additional bonuses in future years may be provided at CEC’s discretion.

How much money will Option 3: Market-Aware Storage Virtual Power Plant Pilot participants earn?

Storage Virtual power plant (VPP) aggregators receive incentive payments based on demonstrated capacity of a VPP during market-aware VPP events. Storage VPP aggregators shall allocate incentive payments between the storage VPP aggregator and its participants pursuant to the terms and conditions agreed to between the VPP aggregator and participant. Different levels of incentives are available for VPPs of varying durations (i.e. 2, 3, or 4 hours). Storage VPP Aggregators are eligible for a payment for demonstrated capacity of a VPP at the varying monthly rates in the following table based on the capacity (kW) and duration (hours) demonstrated by the storage VPP aggregator in each month.

Storage VPP Capacity Prices ($/kW-month)

Month	4-Hour	3-Hour	2-Hour
May	$9.00	$8.10	$6.75
June	$9.30	$8.37	$6.98
July	$16.80	$15.12	$12.60
August	$18.00	$16.20	$13.50
September	$19.20	$17.28	$14.40
October	$10.50	$9.45	$7.88
Annual Total ($/kW)	$82.80	$74.52	$62.10

Reference Chapter 5 Section E of the DSGS Guidelines for more information on how battery performance is measured.

Bonus Payment: VPP aggregators will be awarded an additional 30 percent bonus applied to capacity incentives for Program Years 2025, and 2026. Additional bonuses in future years may be provided at CEC discretion.

How and when will I get paid?
DSGS Providers, customers directly enrolled with the CEC, and utilities and federal power marketing administrations (FPMA) must submit claims for eligible administrative costs and incentives after the program season ends. The CEC reviews claims on a first-come, first-served basis.
Incentive Option 3 and Incentive Option 4 claims must be submitted by the last business day of November of the same calendar year in which the program season occurred.
All other claims must be submitted by the last business day of February of the following calendar year.
The date and time of the electronically submitted completed claim will establish the order for the queue for review of claims.
The CEC shall notify claimants if claim packages are incomplete. The claimant shall supplement the incomplete claim within 10 business days. Failure to respond within the 10 business days will result in the cancellation of the claim.
The cancellation of a claim does not preclude a claimant from resubmitting a claim, but the date and time of the electronic resubmission will determine the order of review of the claim. The claimant must explain the changes in the re-submitted claim and how the issues for the initial rejection are addressed.
Only Option 1 DSGS Providers, as well as utilities and FPMAs facilitating an aggregator’s administration of the program in the utility’s service territory or a direct participant’s participation in the program, may submit claims for administrative costs. All claim package templates can be found on our Resources page.

The DSGS Program Guidelines, Fourth Edition are now available.