Report outlines microgrid framework for public utility commissions, state energy offices

Published on August 23, 2023 by Liz Carey

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A new report from the National Association of Regulatory Utility Commissioners (NARUC) and the National Association of State Energy Officials lays out a framework for public utility commissions (PUCs) and state energy offices to support microgrid policies.

The report, State Microgrid Policy, Programmatic and Regulatory Framework, aims to foster productive collaboration among state entities, the organizations said, while helping them to anticipate questions that could arise during planning and implementations of microgrid policies, programs and regulations. The report outlines microgrid background information relevant to state energy offices and PUCs regardless of their state’s microgrid landscape.

“NARUC and NASEO have numerous collaborative efforts bringing together public utility commissions and State Energy Offices,” said NARUC Executive Director Greg White. “This framework highlights the unique considerations and circumstances affecting the ways in which our diverse state members approach microgrid policies, programs and regulations.”

Because microgrids play a large role in energy resilience and reliability, officials said, it’s important for PUCs and state energy offices to have a firm understanding of the technology. Additionally, as state energy offices and PUCs implement microgrids they also have to consider regulatory and policy questions when addressing cost allocations, as well as hazard mitigation, decarbonization and equity.

“The State Microgrid Policy, Programmatic, and Regulatory Framework is a valuable resource for State Energy Offices as they develop and implement policy and programmatic opportunities and public-private partnerships that move microgrid projects forward across the country,” said NASEO President David Terry. “State Energy Directors and their staff have policy, program expertise and resources to support microgrid investments and can utilize this framework to learn from their peers and identify pathways for microgrids that align with state resilience, economic and environmental goals.”

The report was made possible through financial support from the U.S. Department of Energy Office of Electricity, officials said.