FERC unveils proposed rule reforms for integrating renewable energy

The Federal Energy Regulatory Commission has announced proposed rule reforms intended to set the framework for bringing variable energy sources like wind, solar and hydrokinetics into the electric grid. The rules proposal also addresses ensuring grid reliability and potential savings for customers. The Notice of Proposed Rulemaking (NOPR) includes three changes in rules to reform Open Access Transmission Tariffs (OATT) and the Large Generator Interconnection Agreements filed by public utility transmission providers to require them to provide services that will make integration of variable renewables more efficient. The proposed NOPR reforms include:

·         Requiring public utility transmission providers to offer all customers the opportunity to schedule transmission service every 15 minutes rather than the current hourly interval. The point is to make scheduling more accurate, which would reduce the amount of ancillary services customers need to buy or supply

·         Requiring interconnection customers generating intermittent sources of power provide meteorological and operational data to transmission providers, and encourages providers with variable renewables on their systems to use power production forecasting

·         And finally, a third element of the proposal clarifies that transmission providers can, through a newly proposed schedule, recover costs related to integration of intermittent energy resources. It also outlines FERC's expectations that transmission providers would need to demonstrate their use of intra-hourly scheduling and power production forecasting to make sure variable power sources are charged a reasonable rate.

Quick Take: Now's your chance to tell FERC what you think about the proposed rules reforms. Comments are due within 60 days of their publication in the Federal Register.

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