S. 1243

Grid Modernization Act of 2015

This bill requires the Department of Energy (DOE) to conduct a program of research and development of electric grid energy storage that addresses the principal challenges identified in the 2013 Department of Energy Strategic Plan for Grid Energy Storage.

DOE shall establish and facilitate a collaborative process to develop model grid architecture and a set of future scenarios for the electric system to examine the impacts of different combinations of resources on the electric grid (including different quantities of distributed energy resources and large-scale, central generation).

DOE shall also:

• conduct modeling based upon the scenarios developed; and
• analyze and evaluate the technical and financial impacts of the models to assist states, utilities, and other stakeholders in enhancing strategic planning efforts, avoiding stranded investments, and maximizing the cost-effectiveness of future grid-related investments.

DOE shall: (1) conduct six demonstration projects to expand the application of technologies to improve observability, advanced controls, and prediction of system performance on the distribution system; and (2) establish a program for the development and promotion of grid-scale energy storage with microgrids to enhance the resilience of critical infrastructure.

The Public Utility Regulatory Policies Act of 1978 establishes a new resilience standard requiring each electric utility, each state authority regulating one, and each nonregulated electric utility to incorporate consideration of electric grid resilience (the ability of the electric grid to adapt to changing conditions and withstand and rapidly recover from disruptions) into its integrated resource planning.

DOE shall: (1) initiate development of voluntary model pathways for modernizing the electric grid through a collaborative, public-private effort; and (2) establish a steering committee to facilitate development of the pathways.

DOE must develop baseline, voluntary model performance metrics to facilitate and promote the adoption of best practices and processes for electricity infrastructure providers to design, build, and implement a modernized electric grid and maximize opportunities to enhance progress in grid technologies and capabilities, consumer engagement, and policy.

DOE shall also, upon request, partner with the states and regional organizations to facilitate development of state and regional distribution plans.