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ARTICLE · 13 DECEMBER 2016

FERC Proposes Market Changes For Electricity Storage, Distributed Energy Resources

Holland & Knight
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The FERC issued on Nov. 17, 2016, a NOPR aimed at more effectively integrating electric storage resources into organized wholesale markets to encourage competition, as well as just and reasonable rates...

United StatesEnergy and Natural Resources
A Hewitt Rose
A Hewitt Rose
Stephen J. Humes
Stephen J. Humes
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Christine Ryan is a Partner and Abram Hewitt Rose III is an Attorney in the Washington D.C. office

Stephen Humes is a Partner in the New York office

The Federal Energy Regulatory Commission (FERC) issued on Nov. 17, 2016, a notice of proposed rulemaking (NOPR)1 aimed at more effectively integrating electric storage resources into organized wholesale markets to encourage competition, as well as just and reasonable rates in organized markets. The NOPR would require each regional transmission organization (RTO) and independent system operator (ISO) to revise its tariff to:

  1. establish a "participation model" for storage facilities that, recognizing the physical and operational characteristics of such resources (batteries, flywheels, compressed air, pumped hydro, etc.), would accommodate its participation in the organized wholesale electric markets

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