See the press release on page 2 >>
Quick Take: As you will read in the press release on page 2, the California Public Utilities Commission (CPUC) has just ordered Southern California Edison (SCE) to procure 50 MW of energy storage and to procure another 600 MW from "preferred resources" including energy storage no later than 2021.
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We often talk about the technical breakthroughs necessary to create a new category. We rarely discuss the equally important market changes. Will the California
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order be the proof point utilities need to begin making energy storage a routine part of their resource mix? Or will energy storage remain on the verge? Janice Lin, Executive Director of the California Energy Storage Alliance (CESA) called it a landmark decision that is "a major breakthrough for energy storage... in California and nationwide" because it provides a "much needed market signal." Use the nearby Quick Poll to record your opinion. – Jesse Berst
In its Wednesday action, the CPUC voted unanimously that energy storage resources must be considered "along with preferred resources" including energy efficiency, demand response and distributed generation.
"We need to move beyond paralysis by analysis with respect to energy storage," Commissioner Michel Peter Florio said of the action, which will take effect immediately with SCE directed to file an application for each local reliability area seeking approval of contracts by late 2013 or early 2014.
A press release notes that with the CPUC's momentum on progressive clean energy policies, California is quickly becoming a leader for energy storage in the United States.
Jesse Berst is the founder and chief analyst of Smart Grid News.com, the industry's oldest and largest smart grid site. A frequent keynoter at industry events in the U.S. and abroad, he also serves on advisory committees for Pacific Northwest National Laboratory and the Institute for Electric Efficiency. He often provides strategic consulting to large corporations and venture-backed startups. He is a member of the advisory boards of GridGlo and Calico Energy Services.
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See the press release on page 2 >>