On Demand

Kanada : June 24, 2008

The Ontario Power Authority (OPA) approached Loblaw –Ontario’s largest retailer and consumer of one percent of the province’s electricity demand – to assist in reducing electricity consumption during peak provincial demand periods at its grocery stores.

Currently, Loblaw has more that 100 corporate stores in Ontario operating within the requirements of the demand reduction (DR) contract representing retail space of approximately eight million square feet. The DR program is administered by the OPA and executed and managed at the store level by Loblaw.

The project began as a pilot with 60 Loblaw’s Zehrs grocery stores in Ontario participating in reducing lighting between 9 a.m. and 5p.m. Monday through Friday – the province’s peak demand periods. In addition, during times of increased provincial demand, the stores would “dig deeper” by reducing lighting by an additional 30 to 60 percent and cycle down their air conditioning systems by more than half.

Not unexpectedly, customers did notice the reduced lighting, however, when explained it was a result of an electricity saving pilot, their feedback was generally positive. Consumer understanding was further aided by the fact that at the same time, Ontario consumers were also learning about the relationship between electricity production and air pollution due to high media coverage during “smog days”.

The positive customer support for the pilot led Loblaw to contract under OPA’s Demand Response Program for additional reductions as well as expanding the program to 70 stores.

Loblaw has benefitted in several ways for its DR program. In addition to lower energy bills, a financial contribution from the OPA as a result of meeting its DR requirements has help offset its capital expenditures for the program.