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Director of Energy Policy & Senior Fellow
The R Street Institute
The traditional regulated monopoly model for electric utilities is outdated. It limits innovation, product and service development in the power sector. One example is the regulatory treatment of distributed energy resources (DER). In 46 states and D.C., customers are permitted to sell back excess energy generated from DERs through a process called net metering. As DERs like battery storage and rooftop solar penetrate the market, they increasingly expose cross-subsidies inherent in traditional utility rate design. Standard net metering policies attempt to serve a diverse customer base within this rigid framework and cannot properly capture the costs and benefits to the… [more]View Discussion
Public Utilities Regulatory Analyst
California Public Utilities Commission
The state of California is faced with the challenge of reaching its carbon emissions reduction and renewable portfolio standard goals while maintaining the safety and reliability of the electric supply and protecting the economic interests of the ratepayers. In addition to AB 32, which calls for reducing greenhouse gas emissions to 1990 levels by 2020, the state also has a Renewable Portfolio Standard goal of 33% renewables by 2020. The California Public Utilities Commission (CPUC), the California Independent System Operator (CAISO) and many stakeholders have been working on policies, technologies and market mechanisms to reach these goals. Managing the effect… [more]View Discussion