The California Independent System Operator Corp. (California ISO) board of governors has approved a service that will enable new types of storage resources, such as batteries and flywheels, to provide reserves for the power grid. The resources offer flexibility and fast on/off capabilities that are expected to provide operational benefits, according to the California ISO.
The California ISO's regulation energy management is expected to open up opportunities for storage, as well as demand response, to become a larger participant in the ancillary services market that makes up the ISO's operating reserves.
‘The integration of renewable resources introduces new requirements to reliably manage the grid,’ says Yakout Mansour, president and CEO of the California ISO. ‘Our five-year strategic plan points out that storage technologies bring unique operational solutions to grid management as a tool for helping balance renewables on the system.’
An estimated 5 MW to 10 MW of storage is expected to begin bidding into the California ISO market once the Federal Energy Regulatory Commission approves the required tariff changes and once software modifications are made.