FERC Rule Seeks to Expand Energy Storage Participation in Wholesale Electricity Markets
By William Keyser, Buck Endemann, Mike O’Neill and Jim Wrathall
On February 15, 2018 the Federal Energy Regulatory Commission (“FERC”) issued a Final Rule addressing participation of energy storage resources in electricity markets operated by Regional Transmission Organizations (“RTOs”) and Independent System Operators (“ISOs”). Largely adopting the proposal issued in November 2016, the Final Rule seeks to remove barriers for energy storage participation in wholesale capacity, energy, and ancillary services markets. The ultimate impact of FERC’s directive will be determined over the next few years as RTOs and ISOs implement the standards through their respective stakeholder processes, compliance filings, and (potentially) litigation. FERC deferred ruling on a companion proposal addressing participation of distributed energy resources (“DERs”) in wholesale markets. In the coming months, stakeholders should carefully consider these measures as there will continue to be opportunities to shape the final outcomes. Read More