Distributed Energy Resource (DER) Integration Framework: Regulatory Innovation for DER Compensation and Cost Allocation

Summary

The document outlines a Distributed Energy Resource (DER) Integration Framework designed to address the inefficiencies in current DER compensation and cost allocation mechanisms in the United States. These inefficiencies hinder efficient DER deployment and grid modernization due to issues like a lack of standardized business models and reactive system planning. The proposed framework introduces regulatory innovations focusing on DER compensation for grid services and modern cost allocation principles. As a forward-looking report published in January 2025, the framework is currently planned for potential future adoption and implementation.

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Source Document

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