Evaluating the Regulation Market Maturity for Energy Storage Devices

Though cost-effective, fast-responding energy storage resources are well suited to provide regulation service, until recently many ISO/RTO rules did not fully accommodate these new energy storage technologies. The passage of FERC Order 755 in 2011 forced market operators to remove institutional barriers to storage resources. Our assessment suggests that PJM has the most forward-thinking, inclusive market to date, while ERCOT, ISO-NE, and SPP are continuing to refine their processes in response to FERC regulations and market needs.