Current Developments in Retail Rate Design: Implications for Solar and Other Distributed Energy Resources
- Lawrence Berkeley National Laboratory (LBNL), Berkeley, CA (United States)
Retail electricity pricing is evolving in the context of broader shifts in how electricity customers pay for grid services and how they are compensated for customer-sited generation. This evolution has been prompted by a broad set of factors, chief among them being: widespread adoption of advanced metering infrastructure (AMI), increased customer investment in solar and other distributed energy resources (DERs), concerns about utilities’ fixed cost recovery and revenue sufficiency in an era of flat or declining load growth, and significant changes to utilities’ hourly net load profiles and operational needs as greater amounts of variable renewable energy (VRE) resources connect to the grid. This report discusses five current retail rate design trends among residential and commercial customer classes that have emerged, at least in part, in response to those drivers, and uses case studies to illustrate key motivations, variations in rate design, and aspects of implementation experience.
- Research Organization:
- Lawrence Berkeley National Laboratory (LBNL), Berkeley, CA (United States)
- Sponsoring Organization:
- USDOE Office of Energy Efficiency and Renewable Energy (EERE), Renewable Power Office. Solar Energy Technologies Office
- DOE Contract Number:
- AC02-05CH11231
- OSTI ID:
- 1545158
- Country of Publication:
- United States
- Language:
- English
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