Renewable energy storage is going to change everything!
Energy storage fans are rejoicing all across the country on the heels of a new ruling by the Federal Energy Regulatory Commission (FERC), which opens the floodgates to connecting more solar arrays and wind farms to the power grid. FERC adopted the new ruling, Order 792, in order to bring its existing rules for small generators up to speed with new developments in the energy storage field.
As FERC explained when issuing Order 792:
…the Commission finds it necessary under section 206 of the Federal Power Act to revise the pro forma SGIP [Small Generator Interconnection Procedures] and pro forma SGIA [Small Generator Interconnection Agreement] to ensure that the rates, terms and conditions under which public utilities provide interconnection service to Small Generating Facilities remain just and reasonable and not unduly discriminatory.
Our friends over at the Energy Storage Association contributed to public comments on the rule during its proposal phase and they tipped us to the new ruling, so let’s see what they have to say about it.
Energy Storage Gets A Boost From FERC Order 792
In a nutshell, Rule 792 adds energy storage as a power source that is eligible to connect to the grid. It effectively puts energy storage in the same category as the existing Small Generator Interconnection Procedures and makes it eligible for the existing Fast Track process.
Darrel Hayslip, who chairs the ESA, was fast out of the box with a big thank-you to FERC:
We commend the FERC Commissioners for acknowledging that energy storage should be able to participate in the small generator interconnection process on our electric grid and that our rules and policies should evolve as well. These reforms are good news for storage project developers and further facilitate the deployment of storage on the power grid………
Barn Door Is Already Open
If you’re thinking that it will be a while before energy storage technology can get to the point where the industry can take advantage of the new FERC rules on a mass scale, guess again.
Energy storage for wind and solar is already well on its way to the mainstream………
The addition of utility scale storage facilities is expected to have a ripple effect on the renewable energy market in Hawaii, by contributing to grid flexibility.
Not for nothing, but Xtreme Power has some heavy hitters in its investment portfolio, including some that indicate the fossil fuel industry is continuing its slow (very slow) and lurching pivot to a more diversified approach to energy generation.
That would be BP Alternative Energy (yes, that BP) and Dominion Resources (yes, that Dominion). http://reneweconomy.com.au/2013/renewable-energy-barriers-fall-with-new-ferc-order-67494
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