Description

TABLE OF CONTENTS

Executive Summary (2)

Table of figures (5)

New regulations and initiatives discussed this month (6)

Americas (6)

The changes in the PJM frequency regulation market triggered the wrath of the US energy storage sector (6)

California keeps encouraging energy storage installations by providing generous incentives (7)

Nevada has introduced a bill that could lead to the creation of a new energy storage mandate (7)

Europe (8)

The French regulator introduces a new methodology for assessing the value of energy storage systems in the islands (8)

The French government allows “collective self-consumption” and includes the possibility that consumers share storage assets (10)

The British regulator is fine tuning the market participation rules of storage to the capacity market (10)

The Italian regulator is preparing the liberalization of the Ancillary Services market by mandating Terna to create a demonstration project (11)

The German government publishes a draft law that creates a scheme in which landlords can sell energy to their tenants (12)

Asia / Oceania (13)

The state of Victoria in Australia creates an energy storage initiative which includes a 40 MW tender (13)

Projects updates and announcements (13)

Overview of the 2017 market for utility-scale projects: Large procurements in California are dominating the market, but small announcements indicate dynamic markets (13)

Projects commissioned this month (14)

Projects announced this month (14)

Focus of the month – California’s Self Generation Incentive Program: a huge push for the Californian energy storage ecosystem (16)

Introduction (16)

Over the years, storage has become the key target of the SGIP (17)

The rise of storage (18)

Bidding process and incentives offered under the current version of the SGIP (19)

SGIP Step 1 preliminary results and outlook (20)

Bidding actors, priorities, and local encouragement (21)

SGIP energy storage incentive details (22)

Analysis of Business model (battery use and implementation) (24)

Large-scale energy storage systems usually benefit from the diminution of the demand charge (24)

TABLE OF FIGURES

Figure 1: Types of frequency regulation signals available on PJM (6)

Figure 2: Energy storage potential in dispatchable capacity for decreased cost of electricity (9)

Figure 3: De-rated factors for the 2016 capacity market auction (11)

Figure 4: Overview of the storage volume commissioned and announced for 2017 to date (14)

Figure 5: Overview of the procurements made by the three Californian IOUs (16)

Figure 6: Repartition of the 2017-2019 SGIP incentive funds (17)

Figure 7: Total SGIP funding dedicated to Energy Storage in 2009 - 2019 (18)

Figure 8: Energy storage capacity percent of total SGIP capacity (19)

Figure 9: SGIP total funding (repartitioned in 5 steps) for 2017 – 2019 (20)

Figure 10: Energy storage incentive rates for each Step of the SGIP (22)

Figure 11: Energy storage incentive based on energy capacity and duration (23)