Hostname: page-component-78c5997874-ndw9j Total loading time: 0 Render date: 2024-11-10T10:06:13.867Z Has data issue: false hasContentIssue false
  • English
  • Français

How to treat energy storage as a transmission asset?

Published online by Cambridge University Press:  12 August 2020

Rao Konidena
Rao Konidena*
Affiliation:
Rakon Energy LLC, Roseville, MN, USA
*
Address all correspondence to Rao Konidena at rkonidena76@gmail.com
Get access

Abstract

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. To date, no FERC order lays out a path for treating energy storage as a transmission asset. One of FERC-jurisdictional RTOs – Midcontinent Independent System Operator (MISO) – has sent a “storage as a transmission-only asset” proposal to FERC, which FERC did not reject but did not approve either. This MISO filing begs the question – how to treat energy storage as a transmission project? The industry needs to understand how RTO cost allocation works for new and existing transmission projects. To appreciate cost allocation, stakeholders need to grasp the fundamentals of transmission project categories. Because to put together a business case for storage, modeling is essential. And modeling for reliability and economic projects vary. Getting into the weeds of transmission planning is what it takes to treat storage as a transmission asset.

Keywords

energy generationenergy storagestorage
Type
Perspective
Information
MRS Energy & Sustainability , Volume 7 , 2020 , E20
Check for updates
Copyright
Copyright © Materials Research Society 2020

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Federal Energy Regulatory Commission: FERC Issues Final Rule on Electric Storage Participation in Regional Markets, 2018. Available at: https://www.ferc.gov/media/news-releases/2018/2018-1/02-15-18-E-1.asp# (accessed April 29, 2020).Google Scholar
FERC Order 841-A: https://www.ferc.gov/whats-new/comm-meet/2019/051619/E-1.pdf (accessed April 29, 2020).Google Scholar
FERC Order 841-A: https://www.ferc.gov/whats-new/comm-meet/2019/051619/E-1.pdf (accessed May 26, 2020).Google Scholar
FERC Policy Statement (2017): https://www.ferc.gov/whats-new/comm-meet/2017/011917/E-2.pdf (accessed April 29, 2020).Google Scholar
MISO SATA Workshop Meeting Notice. Available at: https://www.misoenergy.org/events/storage-as-a-transmission-asset-sata-workshop---october-31-2018/ (accessed April 29, 2020).Google Scholar
MISO Planning Advisory Committee, October 16, 2019. Presentation available at: https://cdn.misoenergy.org/20191016%20PAC%20Item%2003a%20SATOA%20(PAC004)390698.pdf (accessed April 29, 2020).Google Scholar
MISO Legal Website for FERC Orders Received. Available at: https://cdn.misoenergy.org/2020-03-10%20170%20FERC%20%C2%B6%2061,186%20Docket%20No.%20ER20-588-000440163.pdf (accessed April 29, 2020).Google Scholar
U.S. Department of Energy Office of Electricity Delivery and Energy Reliability, United States Electricity Industry Primer, Figure 12, found here. Available at: https://www.energy.gov/sites/prod/files/2015/12/f28/united-states-electricity-industry-primer.pdf (accessed May 27, 2020).Google Scholar
For a list of applicable NERC standards, see here. Available at: https://www.misoenergy.org/planning/transmission-planning/reliability-planning/ (accessed April 23, 2020).Google Scholar
MISO Transmission Expansion Plan (MTEP) 2019 Executive Summary, Figure 1.3-1: Appendix A New Project Investment Chart. Available at: https://cdn.misoenergy.org//MTEP19%20Executive%20Summary%20and%20Report398565.pdf (accessed April 22, 2020).Google Scholar
N minus 1 means taking one transmission line at a time, and checking the transmission flows on the electric system.Google Scholar
MISO Transmission Expansion Plan (MTEP) In Service Project List 01/15/2020 found here. Available at: https://www.misoenergy.org/planning/planning/mtep-quarterly-status-reports/ (accessed April 22, 2020).Google Scholar
For a list of MEPs qualified to-date on MISO website, see here. Available at: https://www.misoenergy.org/planning/transmission-planning/economic-development/ (accessed April 23, 2020).Google Scholar
Details about MISO's Competitive Transmission Administration (CTA) process are here. Available at: https://www.misoenergy.org/planning/competitive-transmission-administration/ (accessed April 23, 2020)Google Scholar
Rocky Mountain Institute (RMI) report “The Economics of Battery Energy Storage”, Figure ES-2: “Batteries can provide up to 13 services to three stakeholder groups”. Available at: https://rmi.org/wp-content/uploads/2017/03/RMI-TheEconomicsOfBatteryEnergyStorage-FullReport-FINAL.pdf (accessed April 22, 2020).Google Scholar
MISO Transmission Expansion Plan (MTEP) 2019 Executive Summary, Figure 1.1-1: Investment over all cycles chart. Available at: https://cdn.misoenergy.org//MTEP19%20Executive%20Summary%20and%20Report398565.pdf (accessed April 22, 2020).Google Scholar
California State energy storage legislation website. Available at: https://www.cpuc.ca.gov/General.aspx?id=3462 (accessed April 25, 2020).Google Scholar
Energy Storage Association (ESA) website on State mandates and policies. Available at: https://energystorage.org/policies-issues/states/states-in-the-spotlight/ (accessed April 22, 2020)Google Scholar
For a list of MP funded projects, and a form, click on “MTEP Project Submittal” here. Available at: https://www.misoenergy.org/planning/transmission-planning/reliability-planning/ (accessed April 23, 2020).Google Scholar
FERC decision on MISO TOs ROE dated November 21, 2019. Available at: https://www.ferc.gov/whats-new/comm-meet/2019/112119/E-11.pdf (accessed April 23, 2020).Google Scholar
There are more than 30 Transmission Pricing Zones at MISO. Each for the most cases correspond to a MISO Transmission Owner.Google Scholar
An Attachment O shows the formula rates for each TO, to recover the transmission costs and revenue from flows on their system. Details are here. Available at: https://cdn.misoenergy.org/Attachment%20O122324.pdf (accessed April 23, 2020).Google Scholar
MISO MTEP 19 report Executive Summary, Section on MTEP19 Investment Summary. Available at: https://cdn.misoenergy.org//MTEP19%20Executive%20Summary%20and%20Report398565.pdf (accessed April 23, 2020).Google Scholar
For a list of past MVP annual and tri-annual reviews, see this link. Available at: https://www.misoenergy.org/planning/planning/multi-value-projects-mvps/ (accessed April 23, 2020).Google Scholar
MISO footprint includes 15 US states plus a Canadian province. Available at: https://www.misoenergy.org/about/media-center/corporate-fact-sheet/ (accessed April 23, 2020).Google Scholar
Edison Electric Institute IOU Service territory map: Available at: https://www.eei.org/about/members/uselectriccompanies/Documents/EEIMemCoTerrMap.pdf (accessed April 25, 2020).Google Scholar
MISO Staff report that resulted in GNTL. Available at: https://cdn.misoenergy.org/Manitoba%20Hydro%20Wind%20Synergy%20Study%20Final%20Report117083.pdf (accessed April 22, 2020).Google Scholar
Great Northern Transmission Line website. Available at: https://www.greatnortherntransmissionline.com/about.html (accessed April 22, 2020).Google Scholar
Utility Dive news article on CHC line. Available at: https://www.utilitydive.com/news/crossed-wires-wisconsin-transmission-proposal-sparks-debate-over-best-path/560362/ (accessed April 22, 2020).Google Scholar
Driftless Area Land Conservancy (DALC) website for CHC line opposition. Available at: https://www.driftlessconservancy.org/trans-line-opposition (accessed April 22, 2020).Google Scholar
MISO MVP Projects Dashboard. Available at: https://cdn.misoenergy.org/MVP%20Dashboard117055.pdf (accessed April 22, 2020).Google Scholar
SOO Transmission line website. Available at: https://www.soogreenrr.com/construction/ (accessed April 22, 2020).Google Scholar
Energy News article on SOO line. Available at: https://energynews.us/2020/03/27/midwest/smooth-sailing-so-far-for-planned-iowa-illinois-underground-power-line/ (accessed April 22, 2020).Google Scholar
Western Spirit Transmission Line website. Available at: https://westernspirittransmission.com/project-overview/ (accessed April 22, 2020)Google Scholar
CapX2050 report website. Available at: http://www.capx2020.com/documents/CapX2050_TransmissionVisionReport_FINAL.pdf (accessed April 23, 2020).Google Scholar