Grid-Responsive Incentive Design Market Access Lodging (GRID-Lodging) Program

GRID-Lodging is an innovative distributed energy resource (DER) program that rewards customers in the San Diego Gas & Electric® Company (SDG&E®) service territory who implement projects that save energy. The program measures energy savings based on comparisons of pre-project and post-project usage at the customer’s utility meter, with adjustments to account for factors that are not directly associated with the project (such as weather, increased or decreased site activity, and other considerations). Thus, participants can design energy efficiency projects with just about any combination of equipment and services that best fit customers’ needs.

How does it work?

The program works primarily through experts called Aggregators. Aggregators are professionals who are encouraged to develop portfolios of projects (‘aggregate’ them) which helps to diversify risks associated with individual projects because project incentive payments are based on actual savings at the customer meter. These savings can vary from what is predicted. This way, a site that may perform below expectations can be offset by a site that performs above expectations. Some customers (generally larger companies or companies with numerous sites) may elect to serve as their own Aggregators. 

What customers are eligible?

GRID-MAP serves San Diego Gas & Electric® Company (SDG&E®)  commercial customers in the following segments (6-digit NAICS): 7211xx  – Traveler Accommodation (includes Hotels, Motels, Casino Hotels, and B&Bs), 7212xx – RV Parks and Camps, and 7213xx (includes Boarding Houses and Dormitories).  

Mendota Group's GRID-Lodging program segments served.
People collaborating in a meeting to signify Aggregators signing up for program.

How can I participate?

Aggregators: Professionals interested in certifying as an Aggregator with GRID-Lodging should visit the dedicated Aggregator page to learn more about the role and associated responsibilities and register to participate.

Customers: Customers interested in aggregating their own facilities should access the Aggregator page to learn more and register to participate. Customers interested in participating through an Aggregator should either send us an email at:

sdge-grid-lodging@mendotagroup.com

or select an approved Aggregator listed on the currently participating Aggregators page.

What are the project incentives?

Aggregators receive payments for projects based on the savings produced at time of day and time of year. As a program focused on aligning program payments with project benefits to the grid (electricity and gas systems), projects that produce energy savings at times when “avoided costs” are higher, receive higher payments. Because these avoided costs change each year, so, too, will the incentive rates.

Project Eligibility Requirements

  • Project site must be in SDG&E service territory.
  • Customer has an active SDG&E electric account.
  • Customer pays the Public Purpose Program surcharge on the account where the energy efficiency (EE) equipment is to be installed.
  • Twelve consecutive months of energy usage data are available.
  • More than one CPUC ratepayer-funded energy efficiency incentive or rebate program does not cover the same cost of a measure, including but not limited to the Statewide Midstream programs (e.g., HVAC and Lighting).
  • The project site does not have a change in on-site generation within the previous year. Specifically, the capacity of solar, thermal energy storage, or battery storage systems has not changed in 12 months and is not planning to change for the next 12 months.
  • The Customer may not be enrolled in a wholesale Demand Response program under Rule 32.
  • Customer sites with more than 1 MW of peak demand consumption will require additional screening to determine eligibility.
  • Projects must comply with the NMEC Rulebook for permissible projects.
  • Projects must be installed before December 31, 2027, or when all program funding has been allocated.
  • Other requirements as noted in the MAP Implementation Plan, including the Rules & Procedures, Program Manual, and the M&V Plan.

Inflation Reduction Act Disclaimer: Customers and Aggregator should note that the availability of tax credits and other potential financial incentives from the Inflation Reduction Act (IRA) are uncertain. President Donald Trump’s January 20, 2025, Executive Order paused disbursement of funds flowing from the IRA. Therefore, Customer’s decision to proceed with the project should not assume that IRA tax credits or other financial incentives will be available. 

The Grid-Responsive Incentive Design – Lodging (GRID-Lodging) Program is funded by California utility customers under the auspices of the California Public Utilities Commission and implemented by Mendota Group under a contract awarded by San Diego Gas & Electric Company (SDG&E®). Customers who choose to participate in this program are not obligated to purchase any additional services offered by the Implementer. Actual savings may vary. The trademarks used herein are the property of their respective owners.

SDG&E Logo