FERC Opens Wholesale Markets to Energy Storage

The Federal Energy Regulatory Commission (FERC) today issued an order requiring that grid operators allow energy storage to participate in wholesale markets, where electricity is bought and sold. The order, however, did not provide a similar pathway to participation for distributed energy resources. FERC will instead hold a technical conference on the subject in early April.

“Giving energy storage the same opportunity to compete in the marketplace as other resources like gas and coal will help make electricity more affordable, clean, and reliable for Americans. Distributed energy like rooftop solar and microgrids can provide similar benefits, and FERC should quickly and concretely take steps to provide access for these resources.”

EDF and other environmental organizations previously filed comments in support of a proposed order that would have provided access to energy storage and distributed energy resource aggregations, citing evidence that eliminating barriers to access for these resources would enhance competition and make electricity rates more just and reasonable.

• Michael Panfil, Director of Federal Energy Policy and Senior Attorney, Environmental Defense Fund