An alliance between Monarch Tractor, Gridtractor, and the Valley Clean Energy Alliance will deploy EV charging technology to respond to dynamic grid signals. Dynamic grid pricing is a method of charging different rates for electricity at different times of the day and year. As farmers shift towards using more electric machinery, the ability to take advantage of the lower electric rates associated with low-demand periods can translate into meaningful savings.
The California Energy Commission (CEC) approved $2.5 Million for the first phase of a two-phase, $27 Million “Responsive, Easy Charging Products with Dynamic Signals” (REDWDS) grant for the “Rural Electrification and Charging Technology” (REACT) project to deploy charging technology on farms and at other rural locations that is responsive to dynamic grid signals. Support from the REDWDS grant for the REACT project will allow the three consortium partners to help farmers access dynamic rates with technology and machinery that saves farms significant money and time while meeting their farm workload needs.
Powering ROI
Incentives from the REDWDS grant will help customers to transition their on-farm diesel and gas-powered fleets to Monarch’s MK-V, a fully electric, driver-optional, smart tractor, and other electric farm vehicles (EFVs) by reducing the cost to deploy charging infrastructure capable of responding to dynamic grid prices. For farmers, participating in demand response programs will increase their financial returns on investing in electrification. The grant also helps fund Gridtractor, Monarch software systems, and the customer success teams that will help customers to manage charging in response to grid signals while prioritizing the work their electric tractors and vehicles need to do.
Electric vehicle supply equipment (EVSE) and charge management technology developed by consortium partners under “On Farm Mobile Microgrids,” a second CEC-funded project, will enable customers to charge electric machinery at the most beneficial times as well as export power to the grid or a farm’s local loads when energy is scarce or expensive. This two-fold capability expands farmers’ financial opportunities while returning value to the grid and state.
Smarter Response to Electric Rates
The consortium will not only help customers optimize the existing slate of rates and programs but also aims to increase and improve them. Valley Clean Energy, whose successful AgFIT pilot led regulators to initiate a large, statewide expansion of dynamic rates, will engage with Community Choice Aggregators (CCAs) to help them develop win-win programs for their members and participating customers.
While Valley Clean Energy strategizes to expand dynamic rates to new communities, Gridtractor, the developer of a cloud-based charge management system, helps customers take advantage of the best possible rates offered to a community. Gridtractor’s charge management system enables users to manage charging and export power to the grid in response to their operational needs, grid signals, and local conditions, while managing other site loads. The platform optimizes vehicle charging for farms and other rural customers while maximizing the use of on-site electrical services and generation.
Adding even more value is the MK-V, which in addition to being an electric tractor also works as a mobile power wall. Farmers can charge their smart, electric tractor during the window when the lowest rates are offered, then use that lower cost energy to power other tools or work the fields.
Strengthening Rural Communities with REACT
From better energy programs to optimized charging to machinery that is empowering farmers with more productive, profitable, and sustainable farming future, the consortium has a track record of prioritizing rural communities. The REACT program is elevating efforts and future results.
As power demand increases with the transition to EFV, REACT will help to ensure that new and existing load is responsive to grid conditions and a net contributor to California’s reliability, decarbonization and affordability goals. We look forward to working with our partners, CEC, CPUC, PG&E, SCE, CCAs and, of course, customers to achieve our shared goals.
David Meyers, CEO & Founder, Gridtractor
California farmers are already seeing significant savings from early deployments of Monarch’s MK-V. In the last two years, Monarch Tractor has deployed more than 400 tractors resulting in the offset of more than 850 tons of CO2 emissions across 42,000 hours of tractor operations. Larger-scale deployments require more charging infrastructure.
“This grant will help us significantly improve customers economics of adoption,” says Praveen Penmetsa, CEO and co-founder of Monarch Tractor.
REACT is a great example of how CCAs can deliver value to their customers by addressing local opportunities and challenges. We have seen how targeted programs like AgFIT can be successful with the right mix of technology, financial incentives, and customer engagement and we are excited to bring the significant value of this grant to Valley Clean Energy customers and to help other CCAs to do the same.
Mitch Sears, Executive Director, Valley Clean Energy Alliance
