Integrated Distributed Energy Resources (IDER)

Background

Welcome to the Public Advocates Office's portal on Integrated Distributed Energy Resources (IDER). Here you can find links to the many aspects of IDER, including the greenhouse gas adder, societal cost test, and competitive solicitation framework for incentive pilots, as well as the Office's comments. From these pages you can also reach the CPUC's docket, which contains all filings on the record in the proceeding.

IDER aims to more effectively coordinate the integration of demand-side resources in order to better meet customer and grid needs, while enabling California to attain its greenhouse gas reduction goals. PUC §769 defines distributed resources as “distributed renewable generation resources, energy efficiency, energy storage, electric vehicles, and demand response technologies.” The IDER proceeding, Rulemaking (R.) 14-10-003, operates in coordination with the Distributed Resources Plans (DRP) proceeding (R.14-08-013) and will create the sourcing framework for distributed energy resources (DER) required to meet the grid needs identified in the DRP proceeding. The Rule 21 proceeding will also inform the IDER proceeding as it looks at efficient and cost-effective ways to interconnect DERs to the electric distribution grid.

This page provides links and summaries to key Commission documents in the IDER proceeding, including comments of the Public Advocates Office (the Office).

Summary and Proceeding Overview

The IDER proceeding’s original Scoping Memo from January 5, 2015 outlined Phase I and the potential scope of Phase II (described below). A subsequent Scoping Memo issued on February 26, 2016 expanded the scope to procurement methods for DERs to meet required characteristics and values; a focus on integrating DER holistically; and consideration of adoption of localized incentives and methodology. The Scoping Memo described the interplay and coordination with the DRP proceeding.

Phase 1 of the proceeding covers:

 

  1. Development of a competitive solicitation framework for areas determined by the Integration Capacity Analysis and Locational Net Benefits Analysis the DRP proceeding.
  2. Continued development of cost-effectiveness methods and protocols.
  3. Leveraging the work of the DRP Demonstration Projects towards development of the competitive solicitation framework.
  4. Addressing utility role, business models and financial interests regarding DER deployment.

 

Phase 1 will determine the scope of Phase 2, which may include development of shareholder incentive mechanisms, funding mechanisms, and necessary unification mechanisms.


An Administrative Law Judge (ALJ) Ruling on March 24, 2016 established a Competitive Solicitation Framework Working Group to develop a framework to address the reliability needs identified under the DRP proceeding. The Working Group released its Final Report on August 1, 2016. Decision 16-12-036 established the Competitive Solicitation Framework and directed the utilities to propose IDER pilots to test a distribution deferral incentive mechanism. Decision 16-06-007, issued on June 15, 2016, updated portions of the Commission’s current cost-effectiveness framework.

 

Phase I: Incentive Pilots and Societal Cost Test

Incentive Pilots: On December 22, 2016, the Commission issued Decision (D.) 16-12-036 which addressed the competitive solicitation framework and approved a utility regulatory incentive pilot for displacing or deferring capital infrastructure.

Societal Cost Tests and Greenhouse Gas Adder: The Commission is in the process of updating its cost-effectiveness framework for demand-side resources. An interim Greenhouse Gas value adder was approved in D.17-08-022 until a more permanent value can be developed through the Integrated Resource Planning proceeding (R.16-02-007).

 

CPUC Proceeding Docket

See the Proceeding docket.

Visit the docket to subscribe to proceeding updates.


Other Resources

CPUC IDER website

Workshops in the IDER rulemaking and related proceedings

The Public Advocates Office's Distributed Resources Plan (DRP) website