Abstract

As the energy sector embraces the core principles of sustainability, North America's electricity markets are experiencing a paradigm shift. The proliferation and acceptance of distributed energy resources (DERs) have fundamentally altered the dynamics of electricity generation and distribution, and how we leverage energy storage and demand response.1 This is especially true for all utility types and DER owners/representatives, on the distribution system. While many consumers with DERs have successfully navigated the wholesale and retail energy markets, many challenges still exist with traditional utility models, sparking a reevaluation of compensation mechanisms for energy providers on the distribution system.

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