NYISO allows full participation for energy storage in wholesale power markets
Energy storage resource participation in wholesale as well as retail markets will help New York State realize the goals of its Climate Leadership and Community Protection Act goals, Dewey said.
“NYISO is blazing the trail for dual-use of storage in wholesale and retail service,” Jason Burwen, vice president of policy for the Energy Storage Association (ESA) said in an email. “We commend NYISO on implementing Order 841 to facilitate regular participation of energy storage in its markets.”
NYISO believes that the revenue opportunities from participating in the wholesale electricity market will attract energy storage developers to the state. “We’re aware there’s a lot of developer money sitting on the sidelines waiting for markets to open up,” Dewey said.
NYISO’s efforts to open up the wholesale market to energy storage could offer an example for RTOs and ISOs in other regions to follow, according to Dewey. “I think we’re ahead of the curve, so I’m sure there are a lot of eyes on us to see how well it works.”
Wholesale markets need to adapt to achieve states’ clean energy policy goals, William Acker, executive director of the New York Battery and Energy Storage Technology Consortium said in an email. Acker described New York’s climate and clean energy goals of achieving 70% renewable energy and 3 GW of energy storage by 2030, and a carbon-free grid by 2040 as “nation-leading.”
“Since storage sits at the intersection of state policy and wholesale market operations, its ability to reduce costs of service and lower emissions depends on how conflicts over clean energy policy are resolved,” Burwen said.