Policy:
Clean Energy Parties Response to Staff Questions for Comment on Calculating Locational System Relief Value (LSRV) and Demand Reduction Value (DRV) Components of the VDER Value Stack
November 22, 2024
On November 22, 2024, NYSEIA and the Clean Energy Parties submitted detailed comments as part of the Value of Distributed Energy Resources (VDER) proceeding regarding how we believe New York's utilities should translate the results of their Marginal Cost of Service (MCOS) studies into bankable temporal and locational price signals via VDER.
In addition to responding to DPS Staff's questions, the Clean Energy Parties put forward a straw proposal for how we recommend that New York's utilities identify Locational System Relief Value (LSRV) zones and how to algebraically derive Demand Reduction Value (DRV) and LSRV compensation. Comments were drafted by Energy Tariff Experts with input from SEIA, NYSEIA, NY-BEST, AEU and individual clean energy companies.
NYSEIA is hopeful that forthcoming orders in this proceeding, in combination with the MCOS Order from August 2024, will result in increased VDER compensation, and a re-animation of the LSRV construct envisioned in the original VDER Order and REV proceeding, by late 2025.