Supporting Alliant Energy’s innovative distributed generation compensation proposal

Wind turbine isolated in forest

Alliant Energy’s Wisconsin Power & Light engaged CRA to support its Power Partnership proposal, an innovative model for compensating distributed generation owners on the WPL system. The Power Partnership proposal shifted away from traditional net energy flow-based compensation toward fair compensation for the time of energy production and the “system asset value,” a measure of the avoided capital cost for a marginal generating unit in WPL’s generation portfolio.

CRA’s team leveraged deep expertise in ratemaking, load research, and utility cost structures to support all aspects of the proposal, including proposed mechanisms for compensation and charges. Hourly customer data was analyzed and used to model costs and benefits to distributed generation owners. Results were compared to costs and benefits under the existing net metering tariff to demonstrate the benefits brought by Power Partnership to distributed generation owners, to other customers, and to WPL.

CRA Energy Vice President Jim McMahon provided expert testimony supporting the Power Partnership in front of the Public Service Commission of Wisconsin, Docket No. 6680-UR-124.

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