National Electrical Manufacturers Association (NEMA) has endorsed HR 1465 STORAGE 2013, legislation to promote adoption of state-of-the-art energy storage technologies.
“Energy storage is a key enabler of the smart grid and is transforming the way we think about electricity,” said NEMA President and CEO Evan R. Gaddis. “By generating electricity at the same moment as it is used, energy storage delivers greater system efficiency, enhances reliability and resiliency, and fosters integration of renewable energy.”
STORAGE 2013 would offer a 30% investment tax credit for energy storage used in connection with the power grid, with no project eligible to receive more than US$40 million, and the total program capped at $1.5 billion. For municipal utilities and electric cooperatives, the legislation would make energy storage eligible for new clean renewable energy bonds. To promote efficiency and distributed generation in the commercial and residential markets, the bill offers a 30% credit (up to $1 million) for on-site application of energy storage.
The legislation is crafted to promote the entire spectrum of energy storage technologies and not to pick technology winners and losers. Eligible technologies include, for example, batteries, superconducting magnetic energy storage, flywheels and thermal energy storage systems.
Energy storage has experienced rapid maturation in recent years. Storage is being deployed at an increasing rate and many demonstration projects have proven its usefulness to the grid and its role in electricity markets. NEMA and its member companies are leading efforts in the development of performance metrics that will allow utilities and customers to compare systems and select the system which best fits their needs through consensus criteria.