State Approaches to DERs: Skilled Ringmaster Required
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As states and utilities grapple with increasing penetrations and continued growth of solar, storage and other distributed energy resources the fundamentals of grid access and interconnection of distributed energy resources are under revision. Implementing more proactive and integrated distribution planning (IDP) protocols and more sophisticated interconnection processes can maximize the benefits of distributed energy resources. In her presentation, Sky Stanfield takes an in-depth look at state ‘grid modernization' regulatory reforms underway and provides a national perspective on emerging best practices, extant barriers, and cutting-edge innovations.
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State Approaches to DERs: Skilled Ringmaster Required
- 1. State Approaches to DERs: A Skilled Ringmaster Required Presenta)on by Sky Stanfield July 13, 2016
- 2. Where is Grid Modernization Happening? States with Current Proceedings States in Early Stages/Considering District of Columbia 2
- 3. What is Grid Modernization? • Utility business model reform • Distribution system planning • Hosting capacity • Locational value assessments • Smart meters • Procurement programs for DERs • Rate design • Interconnection policy • Data sharing and transparency 3
- 4. Courtesy of Circus World Museum, Baraboo, Wisconsin, and Ringling Bros. and Barnum & Bailey Circus 4
- 5. Grid Mod is a Juggling Act 5
- 6. What is driving the conversation? 6 • Is the state facing a crisis point? i.e. reaching NEM caps, interconnection queue backlog, utility acquisitions? • Is there time for a long-range approach or is there a need for immediate action?
- 7. Are Foundational Policies in Place? • Clearly Articulated Policy Goals (i.e. RPS, CO2 Targets) • Interconnection Standards • Smart Meters • Sufficient Grid Transparency 7
- 8. Can you Skip the Business Model? 8
- 9. • Will utility proposal be trusted if their incentives are misaligned? • If significant capital investments are on the table (i.e. for grid management software) how do you ensure they are deployed effectively? • The role of “walk, jog, run” and “gradualism” • Risk of further entrenchment 9
- 10. 10 • Considerable interaction & overlap between issues • Determine best possible order to address each • Think about how the “hand-off” will go • Example: Do we risk inaccurate valuation results if the interconnection costs are not understood first?
- 11. Are there Sufficient Commission Resources available? 11
- 12. What Does Meaningful Stakeholder Engagement Look Like? • Stakeholders do not have unlimited resources • Structure processes to get substantive and specific contributions • Utility control over engagement limits achievement of disruption goals • Asking only market players leaves out the interests of consumers and public interest • Ask early to avoid the need to re-do or re-visit foundational issues • Coordinate and share responsibility 12
- 13. Do Not Forget the Customer 13