Overview of Recent Policy Changes in Electricity Markets for Integrating Emerging Energy Storage Technologies

R. Walawalkar, J. DeRosa, R. Chintapalli
Customized Energy Solutions, US

Keywords: energy storage, ISO, RTO, FERC, market rules, ancillary services, demand response

Summary:

This presentation will provide an overview of opportunities presented for various energy storage technologies in the US Electricity Markets . Various ISO/ RTO markets such as PJM, NYISO, CAISO, MISO, ERCOT and ISO-NE allow market participants to capture multiple value streams through 1. Energy Arbitrage 2. Ancillary services (regulation, operating reserves, voltage support etc.) 3. Installed capacity 4. Demand Response The presentation will provide an update on recent changes in new tariffs & storage niches at ISOs and recent FERC & PUC rulings. These will include FERC Order 890 (non generation participation in regulation market) and order 755 (pay for performance system for regulation payment), as well as market design changes such as small generation interconnection rules, demand side ancillary service programs, New York ISO’s Limited Energy Storage Resource (LESR) and Mid West ISO’s Stored Energy Resource (SER) category to remove barriers for short duration energy storage participation in ancillary service markets. We will also cover some of the recent FERC initiatives including the recent ruling on performance based payments for frequency regulation.