At its last open meeting on Jan. 19, 2017, the Federal Energy Regulatory Commission (FERC) issued a policy statement that serves to reaffirm FERC’s efforts to encourage the development of electric storage resources. Of all the publications from FERC so far in calendar year 2017, this policy statement is one of the most important for entities in the electric power sector.
The new policy statement addresses cost recovery for electric storage resources, and clarifies that electric storage resources can provide services at, and concurrently seek to recover their costs through, both cost-based rates and market-based rates.