4 FAQs about Is energy storage equipment considered an asset

Should energy storage be a transmission asset?

Adding a flexible resource like energy storage adds another level of complexity. Focusing on transmission project types and understanding that the business case for a reliability project type will look different relative to an economic project type, enables the storage industry to challenge RTOs and treat storage fairly as a transmission asset.

Does energy storage qualify as an “other”?

For energy storage to qualify as an “other,” transmission planning engineers must find energy storage as a solution for reliability, age and condition, load growth, and local planning criteria need in the planning models. RTOs do not own generation, transmission, or distribution assets.

Can energy storage be part of a transmission solution?

For energy storage to be part of the transmission solution, storage developers need to work with transmission owners and follow the Regional Transmission Organization (RTO) transmission planning protocols. Federal Energy Regulatory Commission (FERC) Order 841 mostly treats Electric Storage Resource (ESR) as a generation asset.

Is storage a transmission asset?

With its SATOA proposal at FERC, MISO is taking a narrow view of storage as a transmission asset, limiting the revenues of storage resources to qualify as a preferred solution to a transmission reliability issue alone. The industry is better off by looking at all the transmission project types available at MISO in its planning function.

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