Untangling The Grid: 201

Why is it so expensive and time consuming
to interconnect solar, wind, energy storage
and EV charging assets to the grid?

Ted Thomas
Founder, Energize Strategies, Inc
Former Chairman of the Arkansas
Public Service Commission

Who’s Who In The Zoo (Alphabet Soup)?
• FERC: Federal Energy Regulatory Commission
• Electrons and Natural Gas
• ISO: Independent Service Operator
• RTO: Regional Transmission Operator
• EDC: Electrical Distribution Company
• LBA/LSE: Load Balancing Authority/Load Serving Entity
• PUC: Public Utility Commission
• IOU: Investor Owned Utility
• Co-Op: Cooperatively Owned Utility
• Rate Payer: energy customer (residential/C&I)

Roles & Responsibilities
• Energy Customer energy demands are met when and how they are
needed
• Resource Adequacy
• Over Generation
• Cost
• Safety
• Quality

Roles & Responsibilities
• FERC
• Roles:
• All wholesale energy prices (sale for resale)
• Interstate transmission (electric and gas)
• RTOs
• Responsibility:
• Ensure open and fair wholesale marketplace environment

Roles & Responsibilities
• ISOs/RTOs
• Role:
• Created by FERC
• Implement the FERC rules
• Responsibility:
• Market operations
• Reliability (NREC)
• Cyber Security
• Regional Transmission Planning

Roles & Responsibilities
• PUCs/PSCs
• Role:
• Regulate state retail electricity prices
• Responsibility:
• Politically assigned or elected
• Legislative role

Roles & Responsibilities
• IOUs
• Role:
• Provide energy services to customers (electric and/or gas)
• Responsibility:
• PUC/PSC compliance, guaranteed service territory
• Return maximum value to shareholders

Recent Action/Problems
• California NEM 3.0
• FERC 2222
• Valuing Demand Flexibility
• ERCOT: 2021 frost out/black out
• MISO: skyrocketing electricity prices
• NE-ISO: landing HUGE potential offshore wind capacity
• Front of The Meter vs Behind The Meter

12
System Benefits from Demand-Side Resources