Energy Storage Rule Amendments

For more information regarding the AESO's Energy Storage initiative please visit the Energy Storage webpage.

Purpose

In the Letter of Notice for Development, the AESO proposes to consult with Stakeholders on the development of the proposed Energy Storage ISO Rule Amendments that will facilitate the integration of energy storage, improve the clarity required for market qualification and participation, and enable efficient, effective connection, monitoring, and control of energy storage facilities when connected.

At this time, the AESO does not have a definitive list of ISO rules that will be included in the proposed Energy Storage ISO Rule Amendments. However, the AESO anticipates that more than 30 ISO rules may be impacted in order to address various matters, including, potentially:

• market participation;
• fast frequency response;
• technical, qualification, and connection requirements;
• technology agnostic application of requirements;
• adjustment to load on the margin; and
• opportunities to reduce red tape.

Background

This initiative has resulted from the Energy Storage Long-term Markets Participation engagement, which concluded in March 2021. ES Long-term Markets Participation was part of the long-term implementation of the energy storage integrated plan as detailed in the Energy Storage Roadmap. The roadmap will improve the clarity required for market qualification and participation, and enable efficient, effective connection, monitoring and control of energy storage facilities when connected.

The current regulatory framework supports a traditional model, where electricity is produced by generators and transported through transmission and distribution systems to customers who purchase the electricity. Current ISO rules were not generally developed in contemplation of the integration of energy storage technologies to the interconnected electric system resulting in a lack of clarity in their application to energy storage. Specifically, ISO rules lack the clarity required for market qualification and participation, and to enable efficient, effective connection, monitoring, and control of energy storage facilities when connected. The AESO has developed draft high-level market design recommendations that outline how energy storage could be integrated into the energy market. The AESO’s draft high-level market design recommendations are described in the AESO’s Long-term Energy Storage Market Participation Draft Recommendation Paper. Once finalized, implementing these recommendations will require amendments to ISO rules

Related materials

• Long-term Energy Storage Market Participation Draft Recommendation Paper; and
• Stakeholder Comment Matrix – Development of Proposed Energy Storage ISO Rule Amendments.