A FERC challenge: Opening up electricity markets to advanced energy technologies

Posted by Arvin Ganesan and Suedeen Kelly on Jul 7, 2016 10:58:48 AM

This is an excerpt of an article originally published at Utility Dive, and can be read in its entirety there.

Grid operators should allow distributed resources and demand response to be priced for their unique attributes in organized markets


In 2015, the U.S. advanced energy industry grew to $200 billion, up 29% since 2011. This is a result of ever-improving economics and performance. Demand side resources like energy efficiency and demand response are already more cost-effective than building new power plants, and generation technologies like wind and solar continue to see precipitous drops in costs.

As we define it, advanced energy includes renewables, demand response, energy storage, building efficiency, advanced controls and metering, and a variety of grid technologies. With these options increasingly becoming the technologies of choice, what could stand in the way of advanced energy becoming the nation’s dominant source of electric power?

Here’s one thing: the rules of wholesale electricity markets that prevent advanced energy technologies from competing on cost and performance.

Read the full article at Utility Dive.

Topics: Federal Policy