Download CCIF’s 2014 Report, DG: A Balanced Path Forward: Providing Customer Choice While Ensuring Reliability.Download CCIF’s 2013 Policy Considerations Related to Distributed Energy Resources Report. |
CCIF’s 2-Year Initiative on Distributed Generation
In late 2012, CCIF leadership identified the challenging topic of distributed energy resources (DER) as ripe for discussion among the three core groups. Without question, state commissioners, consumer advocates, and electric utilities possess both individual and collective perspectives that should be considered as policies are formed in this area. Therefore, CCIF kicked off an initiative on DER in November 2012 with a program that examined our distributed future, the benefits and challenges of DER, and relevant public policy initiatives and regulatory actions. The forum provided a solid foundation for the summits that followed as well as the framework and principles that ultimately were developed by summit participants from the three communities and included in CCIF’s 2013 report.
While recognizing that DER typically includes energy efficiency and demand response, 2013 summit participants from the three groups chose to narrow CCIF’s focus to distributed generation (DG). This decision was reflected in the adopted definition of DER included in the 2013 final report.
Distributed Energy Resources (DER) include distributed generation, which are non-centralized sources of electricity generation generally interconnected to the distribution system and located at or near customers’ homes or businesses. While DER can include energy efficiency and demand response, this collaborative process focuses on distributed generation. Examples of DER addressed by this collaborative include solar panels, energy storage devices, fuel cells, microturbines, reciprocating engines, small wind, backup generation, CHP systems, etc.
In late 2013, CCIF leadership chose to continue CCIF’s work on the topic of DG in a manner that would build upon the foundation of CCIF’s 2013 consensus framework and principles. The November 2013 kickoff program examined lessons learned from DG public policy initiatives and regulatory actions, addressed potential future approaches to provide a balanced path forward, and dug deeper into a number of consumer protection and consumer education issues related to investment in DG.
Over the course of three summits that followed in the spring of 2014, participants from the three core groups developed the 14 additional principles on DG that are included in the 2014 report. Participants also chose to reflect related summit discussion in a few areas. Finally, please note that the principles and related input developed from both the 2013 and 2014 summit processes have been combined and reordered for a more complete and organized statement on DG.
As noted, the term “distributed energy resources” and the abbreviation “DER” were used throughout the consensus framework and principles in CCIF’s 2013 report. However, the 2013 participants defined the term such that the principles effectively dealt with distributed generation, a subset of DER. Therefore, the 2014 participants chose to use “distributed generation” or “DG” throughout the 2014 report and to more accurately reflect the intent of the 2013 report by changing the terminology to DG for those 2013 consensus items referenced.
2013 Report on Distributed Energy Resources
On July 21, 2013, CCIF issued its report, “Policy Considerations Related to Distributed Energy Resources.” Through CCIF’s unique, collaborative process, approximately 100 leaders from the state commissioner, consumer advocate, and electric utility communities participated in a series of interactive dialogues and developed a framework to assist policymakers and other organizations in evaluating issues related to the opportunities and challenges of distributed energy resources in providing safe, reliable, affordable, cost-effective, and environmentally sound energy supply.
Within this framework, CCIF participants identified 21 consensus principles in the following 4 areas:
- Financial and Regulatory Issues
- Market Development and Deployment Issues
- Consumer Issues
- Safety, Reliability and System Planning Issues
2014 Report on Distributed Generation
On July 13, 2014, CCIF issued its report, “DG: A Balanced Path Forward: Providing Customer Choice While Ensuring Reliability.” The updated principles contained within were developed through a series of collaborative discussions by over 100 leaders from the state commissioner, consumer advocate, and electric utility communities. By digging deeper into these complex issues, developing additional consensus where possible, and elucidating policy and regulatory options, participants better equipped themselves—as well as policymakers and other stakeholders via the final report—to integrate DG technologies in a safe, fair, cost-effective, and reliable manner.