Law Commons^™

Distributed Energy Resource Participation In Wholesale Markets: Lessons From The California Iso, Justin Gundlach, Romany M. Webb

Sabin Center for Climate Change Law

This article examines CAISO’s DER program after its first year of operation. It draws on written comments submitted to CAISO in the course of program development and on interviews the authors conducted with stakeholders – including active and potential DERPs, investor-owned utilities, and customer groups – to identify “barriers” to program participation. Irrespective of whether these barriers are appropriate – e.g., to ensure continued wholesale system reliability as DER penetration increases – they have clearly prevented the DER program fulfilling CAISO’s stated goal. The barriers should, therefore, be considered by other ISO/RTOs in developing programs with similar goals. The authors …