Valuation of modular generation, storage, and targeted demand-side management

The valuation of distributed resources is rapidly gaining interest among utilities where existing conventional central-station power supply and demand-side management might be supplemented with cost-effective modular generation, storage, and demand-side management technologies located at specific sites on the distribution system that require reinforcement. The business and technical aspects of developing distributed resources have been under study by a joint utility/federal research collaborative since 1991 and the early results discussed in this paper have been published in the project report. Results of this work indicate that substantial benefits for utilities and their customers might be achieved through development of dispersed resources located at the distribution system level.>