8:30  -  9:30

October 26, 2018

Grand Cypress H

505: Understanding Customers’ Temperature Sensitivity Using Segmented Regressions

Session Category :  Customer 

People have different sensitivity over home temperature. Understanding the response of the customer’s electricity usage to external temperature could help utilities market groups of customers differently. Here we present a study where we fitted segmented linear regression models for over 500,000 residential customers in our service territory using the electricity usage and temperature data. The results gave us insights about the customer’s comfort zone, the base level usage, and distinct patterns of sensitivity to hot and cold temperatures. Customers using electric heaters during the winter can be easily separated from those using gas heaters. We suggest that this method can be applied to other utilities and by combining with demographics data, it can provide a powerful view about customers.