1. Status of Energy Storage Policy in the U.S.
Autumn Proudlove
NC Clean Energy Technology Center
NC Storage Study Stakeholder Meeting
February 15, 2018

2. 2017 Action on Energy Storage By Type of Action
Studies & Investigations
Policy, Regulation, and Planning
3 or More Types of Action
Financial Incentives and Rates
Deployment
At least 32 States took action on energy storage during 2017 2

3. 2017 Action on Energy Storage Studies and Investigations
Storage-Specific Study
No recent action DC
Grid Modernization or Other Study with Storage Component 3

4. Storage Studies & Investigations
Maryland – HB 773 (enacted May 2017)
Regulatory reforms and market incentives to increase use of storage; consult with stakeholders
Nevada – SB 204 (enacted in May 2017)
PUCN to determine if a procurement target is in the public interest
North Carolina – HB 589 (enacted July 2017)
Vermont – Act 53 (enacted May 2017)
Opportunities for, benefits of, & barriers to storage deployment; regulatory options & structures available including cost to ratepayers

5. 2017 Action on Energy Storage Planning and Market Access
No recent action 5

6. Storage in State/Utility Planning
Integrated Resource Planning (IRP)
Requiring utilities to fully evaluate storage as an alternative to traditional generation resources
Arizona (APS), New Mexico, New Orleans, Washington (also moving toward sub-hourly IRP modeling
Evaluation of Non-Wires Alternatives
Strategic deployment of DERs (frequently storage) to defer, mitigate, or obviate need for certain T&D investments
Maine, New Hampshire, New York, Rhode Island

7. Storage in Planning & Market Access
Distribution System Planning
Not specific to storage, but helps identify most beneficial locations for storage on the grid
Hosting capacity analyses
Connecticut, Michigan, Nevada, New York, Rhode Island
Wholesale Market Rules
Market access and compensation rules for storage
CAISO, ISO-NE, MISO, NYISO, PJM

8. 2017 Action on Energy Storage Policies
No recent action DC 8

9. Storage Policies Procurement Targets
Massachusetts, New York
California, Oregon previously established targets
Under consideration in Arizona, Nevada, and others
Interconnection Rules – updating rules to include clear standards for energy storage
Arizona (state’s first interconnection rules), Colorado, Florida (TECO), Maryland, Minnesota, Nevada, North Carolina
Customer-Sited Storage Compensation – net metering eligibility, role of storage in successor tariffs
California, Colorado, Hawaii, Massachusetts, New York, Rhode Island

10. Rate Design for Storage
Rate structures drive adoption of behind-the-meter storage
Time-of-use rates, demand charges
Arizona utilities examined dedicated tariffs for customers with battery storage

11. 2017 Action on Energy Storage Incentives
No recent action 11

12. Energy Storage Incentives
Maryland – SB 758 (enacted May 2017) created the first state tax credit for energy storage in the country
California – Self Generation Incentive Program – April 2017 decision increased program funding, set aside 85% for energy storage
Nevada – SB 145 (enacted in May 2017) creates a new energy storage incentive program – currently being implemented in a PUCN proceeding

13. Energy Storage Incentives
More action on incentives for solar + storage, or adding storage as an eligible technology to existing incentives
Massachusetts – SMART program storage adder
Florida – Property Tax Abatement
New York – Property Tax Abatement
Oregon – PACE Financing

14. 2017 State & Utility Storage Deployment Proposals
2017 action
No recent action 14

15. State & Utility Storage Deployment
Many proposals are for pilot projects
Eversource (Connecticut), Duke Energy (Florida)
Some are non-wires alternative projects
AEP (Texas), Consumers Energy (Michigan)
Others are part of microgrids
Emera (Maine), Rocky Mountain Power (Utah), Duke Energy (Indiana), ComEd (Illinois), Green Mountain Power (Vermont)
Fewer are behind-the-meter storage deployment
Liberty Utilities (New Hampshire), Green Mountain Power (Vermont)

16. Takeaways
Already a lot of policy and regulatory activity around storage occurring across the country
Activity is highly varied, taking place across a number of different topic areas
Key areas of activity include information gathering and identification of policy barriers (studies, pilots), incorporating storage into planning, and examining how these resources are compensated
Significant policy activity around storage expected in 2018