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Illinois Regulator Explores Policy Tools to Reap Benefits of Energy Storage

The Federal Energy Regulatory Commission granted a request by Gateway Energy Storage LLC, a unit of LS Power Development LLC, for an order directing San Diego Gas & Electric Co. to provide transmission and grid-connections to deliver the output of its battery storage system onto its service territory within the California grid. FERC said that the request is in the public interest, noting that as a general principle, the availability of transmission service enhances competition in power markets by increasing power supply options of buyers and sales options of sellers, resulting in lower costs to consumers. San Diego Gas & Electric said that the commission’s consent was needed to preserve its status as a “local furnishing utility” that qualifies for tax-exempt bonds for financing transmission, distribution, and generation facilities. Gateway requested approval by Sept. 15 so that the battery facility, under development in San Diego, can achieve its expected commercial operation date in January 2020.

September 14, 2018
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