CESA Policy Work

CESA has made grid-connected storage a leading focus area for California and beyond. California policymakers now understand the tremendous role energy storage can play to optimize the electric power system.

CESA policy work is steeped in the following principles:

  1. CESA supports and advances all forms of energy storage

  2. CESA supports and actively helps promote a competitive and transparent marketplace

  3. CESA supports and actively practices collaborative, constructive engagement with all stakeholders, and in particular, key energy storage champions

CESA primarily focuses its efforts in the following domains:

2018 has been an important year for advancing energy storage in California. Key CESA accomplishments include:

CESA helped to greatly expand market opportunities at historic global levels

  • The largest energy storage procurement in the world happened this year in California. California increased market size of energy storage by nearly 600 MW to address south San Francisco Bay Area reliability needs and avoid reliance on old ‘must run’ gas plants (Resolution E-4909).

  • Increased energy storage roles in addressing weakness of major SoCal Gas Facility (Aliso Canyon) through planned exceptional energy storage procurement of 120 MW (SB 801)

  • Ensured approvals of multiple high-value energy storage contracts related to AB 2514 procurement targets, for a total of 320 MW in 2018

  • Supported SB 700 that directs $830M in new incentive funding for the Self Generation Incentive Program (SGIP) to support customer-sited energy storage through 2024

CESA helped California recognize and increase the value of energy storage

  • Enabled customer-sited storage resources to earn incremental revenues for addressing grid ‘overgeneration’ challenges through a new CAISO market participation model (PDR-LSR)

  • Ongoing efforts to value the capacity benefits of energy storage paired with solar or wind resources (ELCC for ‘paired-storage’ resources)

  • Established first-of-its-kind energy storage multiple-use application (MUA) framework to permissively value and guide considerations of energy storage resources providing multiple grid services and benefits

  • Identified need for and value of 2,200 MW of incremental energy storage through 2030 through direct advocacy in California’s inaugural Integrated Resources Planning (IRP) modeling efforts

CESA helped reduce barriers for Energy Storage

  • Revised rules to explicitly authorize the eligibility of combined storage and demand-response to provide capacity

  • Further developed fast-track approaches and low-cost solutions to address local grid (Rule 21) interconnection of energy storage

  • Supported and enhanced a bill to prioritize energy storage for providing capacity, including in hybrid configurations (SB 1136)

  • Led efforts to streamline and reduce costs for energy storage permitting in California (AB 546 implementation)

  • Provided pathways for procurement of electrolytic hydrogen storage through updates to definitions of eligible “energy storage” (SB 1369)