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United States2024-07en

Distributed Wind and Impacts of FERC Order No. 2222 Implementation

Summary

This July 2024 report from Pacific Northwest National Laboratory examines the implementation of FERC Order No. 2222 and its potential impact on distributed wind energy across the United States. FERC Order No. 2222, issued in September 2020, directs ISOs/RTOs to enable distributed energy resource (DER) aggregations in wholesale markets. As of July 2024, only 1 of 6 FERC-jurisdictional ISOs (CAISO) has full compliance plan approval (effective by November 1, 2024), with others projecting compliance dates between 2026 and 2029. The total distributed wind capacity in states served by ISOs is 882 MW as of 2023, with 78% being front-of-the-meter projects. The report highlights an information gap on how distributed wind can best participate in these new market conditions and notes that 13 states restrict DER aggregators from wholesale markets.

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