This fact sheet provides information on FERC's proceeding for distributed energy resources (DER) aggregation in wholesale electricity markets.
- FERC is considering a proposal to allow third-parties to bid groups or “aggregations” of distributed energy resources (DER) into wholesale electricity markets.
- Under this proposal, a company could solicit local utility customers to sell electricity from their rooftop solar or battery systems into wholesale markets as a group, as if these multiple consumer resources were a single energy source. The company and these customers would enjoy the profits.
- FERC should respect long-standing state and local authority. Any FERC regulation must allow the “relevant electric retail regulatory authority” (or RERRA), including a state public utilities commission, municipal board, or co-op board, to determine whether to allow DER aggregations to participate in wholesale markets.