Full Title: Energy Storage Incentive Rate Setting for States
Author(s): Todd Olinsky-Paul and Olivia Tym
Publisher(s): Clean Energy Group
Publication Date: March 9, 2024
Full Text: Download Resource
Description (excerpt):
The intent of this document is to provide recommendations and guidance for states seeking to develop distributed or behind-the-meter (BTM) energy storage incentive programs. It is intended to help states decide how to structure incentive programs and how to set incentive rates.
As states increasingly adopt energy storage targets, develop storage policy and regulation, and seek to drive energy storage deployment, numerous incentive programs have emerged. These vary greatly in design, making it difficult to compare incentive rates from one program to another. For example, some incentive programs offer rebates, while others provide performance payments over a fixed period. Other programmatic differences, such as customer vs. utility ownership of BTM batteries, contribute to the difficulty of making apples-to-apples comparisons across programs.