New York Moves to Make Utilities Distributors, Not Owners, of Energy
NEW YORKâThe New York Public Service Commission (PSC) has issued an order largely barring utilities from owning distributed energy resources (DERs). DERs are small, decentralized grid-connected systems that distribute energy, often from renewable sources. The state PSC issued a 133-page order establishing a “policy framework” for the development of markets for DERs and changes the role of traditional utilities in a move that fundamentally reshapes how core electric and natural gas utilities have always conducted business as the central mover behind the grid. In most cases, utilities will be barred from owning DERs, including demand response, distributed generation, and distributed storage. The directive envisions thousands of small power sources joining to replace baseload power. The PSC has ordered the state’s electric utilities to file plans for the implementation of distributed system platforms by Dec. 15.