Hello solar enthusiasts! If you’re seeking to equip your dwelling with solar panels for your home, or if you’re one of the many solar companies diversifying into energy storage, there’s some exciting news out of Rhode Island that may just brighten your day. The Ocean State has passed the ambitious Energy Storage Systems Act, aimed at bolstering the utilization and practical applications of energy storage.
Governor McKee recently signed this act, which lays out an impressive set of energy storage goals that the state aims to hit by designated timelines: an impressive 90 MW by the end of 2026, 195 MW by 2028, and a whopping 600 MW by 2033! With this policy target, Rhode Island joins the ranks of ten other states prioritizing energy storage development.
The Act importantly recognizes the potential of an energy storage system connected to the electric power system. When placed and operated effectively, these setups can alleviate various constraints on the distribution and bulk power systems, potentially saving all ratepayers money and rendering the utilities more sustainable.
The Act comes bearing good news for electric utilities with more than 100,000 customers too. It necessitates the creation of an interconnection tariff, which would place a tangible market value on energy storage, acknowledging the distinct benefits of its flexibility and dispatchability.
Rhode Island is clearly eager to utilize energy storage systems as an alternative to costly and redundant utility distribution infrastructure. The goal is to ensure a stable and affordable supply of stored energy that is both environmentally friendly and economically beneficial.
This new tariff framework will be deliberated upon by the state’s public utilities commission, involving stakeholder engagement at every juncture. The goal is to devise a model tariff system by May 1, 2025. The Act wisely requires that the evaluation process for the value of storage must take into account various physical, economic, and environmental factors affecting distribution and bulk power systems.
Moreover, any solar company or utility provider will be heartened to hear that in cases where energy storage meets the needs of the distribution or bulk power systems, utilities will be ordered to procure energy storage through a competitive solicitation process. Thus, energy storage isn’t just being encouraged, it’s being prioritized.
In a keen-eyed move to support these bold goals, the Act directs the Rhode Island infrastructure bank to develop programs for distributing funds to meet the energy storage capacity goals. This translates to grants, no-interest loans, and low-interest loans that can support distributed energy resources or energy storage systems allowing for the interconnection of such resources without hefty upgrade costs.
This proactive move by Rhode Island is a clear signal that the state is fully committed to transitioning towards renewable electricity. For homeowners considering a solar array for home or solar companies aiming to carve a niche in the energy storage market, this is a development worth watching closely. So whether you’re an industry veteran or someone new to the solar scene, remember that embracing solar and the opportunities it presents, is not only a smart choice but also a step towards a more sustainable future.
Original Articlehttps://pv-magazine-usa.com/2024/07/03/rhode-island-passes-energy-storage-act/
