National trade association Advanced Energy Economy (AEE) released a new report, ‘Wholesale Market Barriers to Advanced Energy – And How to Remove Them’, which contains case studies that detail barriers in the wholesale market for advanced energy.
The 21 case studies collected by AEE highlights a range of issues preventing the widespread adoption of new energy technology – even if the newer option is more economically viable than traditional alternatives.
The report splits the case studies up into two categories. The first category features success stories of cases where barriers preventing advanced energy technologies from competing fairly have been removed or sidestepped altogether.
It also highlights economic benefits, such as job growth, that arose from advanced energy interests being allowed to enter the market and compete on a level playing field.
The second section of the report lists current instances of barriers that exist in the markets. This illustrates that consumers and businesses would be better served through increased competition on an open market – and shows that legislative action is needed to accomplish this goal.
The managing organizations that the report focuses on as entities that have the ability to enact positive change are Regional Transmission Organizations (RTO) and Independent System Operators (ISO). Under the rule of the Federal Energy Regulatory Commission (FERC), RTOs and ISOs manage two-thirds of the national wholesale electricity market in terms of sales.
Although the FERC guides the overall direction of our national energy market, RTOs and ISOs are the ones who come up with the rules that often dictate how open a market is to specific energy resource and whether or not they will be able to compete. The FERC reviews these rules and issues market rulings of its own.
The case studies detail different steps that can be taken by RTOs/ISOs and the FERC that will improve energy markets and give buyers the best deal.
“I think there’s a tremendous opportunity right now to work on the rules for wholesale markets to adopt more renewable generation, more storage and more efficiency,” said AEE CEO Nat Kreamer.
Want more on advanced energy? In April, AEE released the ‘Advanced Energy Now 2019 Market Report’ on revenue growth and trends in advanced energy industries, both domestically and abroad.
Download the Wholesale Market Barriers to Advanced Energy – And How to Remove Them report now.