Increasing recognition of managed DER value to Grid
Just in the last week their have been a number of interesting developments that increase recognition of managed #DER to the grid and associated articles.
Firstly, on the macro grid side and frankly the big one, the approval of FERC Order 2222, that requires all ISOs across the country to allow #DER expanded opportunity to participate and provide value to wholesale markets. Of course the #DR flavor of DER had been able to participate in whole sale markets for some time through 3rd party aggregators following FERC Order 745, however this order, that essentially builds on FERC Order 841 requires aggregations or individual DER down to 100 kW be allowed to participate in all market products the DER is technically capable of meeting.
Secondly, and on the same day, NY releases it’s Order for two new Dynamic Load Management programs coming from the 2018 Energy Storage Order and following the release of the individual utility proposals. These two programs Auto DLM (premium fast response) and Term DLM (state wide peak reduction) create new opportunities for traditional DR and more specifically energy storage and also allow for value stacking with other existing DR programs both at retail and wholesale markets when the participating programs provide unique value and meet the requirements if each program. While on the topic of NY, NYISO has been developing it’s DER market well ahead of the FERC 2222 Order, albeit with a recent delay in its implementation now 2022.
Lastly on other side of the country an article by
Jeff St. John. Discusses the missed opportunity of DER to prevent the recent rolling blackouts in California and how the ability of certain DER technologies can respond in a short period but current DR programs don’t reflect is value. Well it’s seems FERC’s and NY‘s Orders are the right move in that direction. Lastly the article gives a brief mention to increasing load to absorb solar pv energy helping to balance the grid and mitigate the duck curve with programs such as the proxy demand resource load shift resource program. This program I believe will be become more important in other areas such as NY, where for example National Grid is currently proposing an investigation into flexible load.
Founder of LovEnergy