NARUC Releases Distributed Energy Resources Manual

The National Association of Regulatory Utility Commissioners last week released its Distributed Energy Resources Rate Design and Compensation manual.  The manual, recently finalized after a year-long development process, is intended to assist states in understanding and managing challenges associated with the growing number of distributed energy resources (DER) that are being integrated into the nation’s energy mix.  The manual provides a comprehensive discussion of DER impacts on existing regulatory and utility models, and provides a foundation for future evolution in the area of DER development.  The manual also provides an overview of a variety of rate design and compensation options that may address the challenges associated with increasing development of DERs, along with an analytical summary of the pros and cons of each option.

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