March 15, 2019

Energy Storage Deployment: Regulatory Developments and Procurement Considerations

Stephen M. Spina, Levi McAllister, and Arjun Prasad Ramadevanahalli

A joint article of the Energy Infrastructure, Siting, and Reliability Committee and the Renewable, Alternative, and Distributed Energy Resources Committee.

For years, the U.S. electric power industry has witnessed a steady uptick in the total capacity of deployed energy storage resources. That growth will continue in 2019 and beyond, as the industry and regulators gain more experience with new energy storage technologies, both as stand-alone resources and complements to traditional generating units. Historically, the large majority of energy storage capacity in the United States has been supplied by longer-duration (i.e., pumped storage hydroelectric) projects, many of which were installed decades ago. Those resources rely on the gravitational potential energy of large volumes of water stored in elevated reservoirs to drive electricity-producing turbines and have primarily relied upon to balance large load fluctuations. Energy Storage Ass’n, Pumped Hydroelectric Storage,

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