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RTO Insider: Commenters Divided on DER Aggregation, State, LDC Roles

This in-depth RTO Insider article reports on the more than 50 commenters who submitted answers to questions FERC posed, differing on whether aggregation should be limited to single nodes and on the roles of RTOs, state regulators and LDCs. AEE is quoted multiple times. Link to the full article here. Excerpts below:

Solar power and storage providers differed sharply with local distribution companies and state officials in comments filed this week in FERC’s rulemaking on distributed energy resources.

Several commenters said they opposed giving LDCs veto power.

AEE said it supports reasonable mechanisms to ensure LDCs, aggregators and RTOs have sufficient operational coordination and situational awareness. “However, distribution utilities should not be given discretion to reject DER registrations in an aggregation for reasons beyond operational coordination and reliability,” the group said. “Allowing distribution utilities a broad veto, even in instances when a DER has an interconnection agreement in place, will restrict DER participation in wholesale markets, erode competition and potentially result in undue discrimination. The interconnection process determines what a DER needs to do to operate in a safe and reliable manner.”

How should concern over double payments be addressed?

AEE said “there is little to no risk that customers will ‘pay twice’ for the same service.”

Link to the full RTO article here.

Topics: AEE In The News