March 2, 2020

ESA Supports PJM’s Request for More Time to Develop New Capacity Qualification Rules for Energy Storage

Today ESA submitted a comment in support of PJM’s motion to put proceedings at FERC on hold while it pursues a stakeholder process to develop rules on capacity market eligibility of energy storage resources. In October 2019, FERC found that PJM’s proposed 10-hour duration standard for qualifying the capacity of energy storage merited further review and ordered a paper hearing on it in Docket No. EL19-100. Following conversations with ESA and other stakeholders, PJM filed a motion last week seeking to hold that hearing in abeyance while it initiates a stakeholder process to establish a new framework for qualifying the capacity of energy storage based on the analytical method of Effective Load Carrying Capability (ELCC)—a method that ESA has advocated previously in PJM. In our filing, ESA supports setting January 29, 2021 as the date by which PJM will submit a proposed capacity qualification method for energy storage to FERC or, in absence of such a filing, the date on which the paper hearing will come back into force. Such a deadline should allow sufficient time for PJM’s stakeholder process to conclude while positioning storage for clearer participation rules in future capacity auctions.

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