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Microgrid Knowledge: What Can Regulators and Utilities Do to Boost Solar Nanogrids?

Posted by Microgrid Knowledge Editors on Aug 17, 2020

Microgrid Knowledge reviewed utility and regulatory changes across the nation that could accelerate solar nanogrids across the U.S., noting AEE's arguments for DERs. Read excerpts below and the entire Microgrid Knowledge piece here.

In spite of the many challenges that nanogrids address, their growth is limited by regulatory and utility hurdles that prevent nanogrid owners from realizing their many benefits. Utilities, regulators and stakeholders are beginning to identify some of these hurdles and the advantages of overcoming them. Utilities now face a whole new world, with the influx of renewable energy and other distributed energy resources, the rapid adoption of electric vehicles and the pressures to decarbonize the grid...

 

If they don’t change, utilities may eventually become only occasional backup as their customers increasingly opt for on-site generation, predicts a report by Accenture. To adapt to the new energy environment, utilities and regulators can focus on a number of strategies, including implementing time-of-use rates, using new intelligent meters and taking advantage of new technologies, as explained below...

 

Distributed energy resources can improve the grid’s reliability and resilience and cut costs, but they need to be allowed to participate in wholesale markets, the Advanced Energy Economy argues. With their battery storage systems, nanogrids can act as flexible resources that are capable of supporting the electric grid and help deploy intermittent renewables.

For example, grid operator PJM has a number of markets for ancillary services, which help balance transmission as it moves electricity from generating sources to consumers. PJM signed a contract with a global independent power producer that will use a 72 MW/72 MWH battery system to provide grid services to PJM, signalling energy storage’s ability to compete and provide grid benefits...

Read the entire Microgrid Knowledge piece here.

Topics: AEE In The News