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ARTICLE · 23 FEBRUARY 2018

FERC Votes To Encourage Electric Storage

Foley & Lardner LLP
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On February 15, 2018, the Federal Energy Regulatory Commission (FERC) voted to require all Regional Transmission Organizations (RTOs) and Independent System Operators (ISOs) to revise its tariffs to establish a participation model for electric storage resources that consist of market rules that properly recognize the physical and operational characteristics of electric storage resources.

United StatesEnergy and Natural Resources
Jason Allen
Jason Allen
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On February 15, 2018, the Federal Energy Regulatory Commission (FERC) voted to require all Regional Transmission Organizations (RTOs) and Independent System Operators (ISOs) to revise its tariffs to establish a participation model for electric storage resources that consist of market rules that properly recognize the physical and operational characteristics of electric storage resources.

FERC's goal is to remove barriers applicable to electric storage resources in the capacity, energy and ancillary services markets operated by RTOs and ISOs.

Market rules designed for traditional generation resources can create barriers to entry for emerging technologies, such as electric storage. FERC hopes to enhance competition and promote greater efficiency in the nation's electric wholesale markets, and to support the resilience of the bulk power system by helping to remove such barriers.

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