Policies: Disruptive Technology

California's Energy Storage Policy

Published March 2014
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Published March 2014

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The essentials

  • The Energy Storage Program is designed to facilitate California’s aggressive Renewable Portfolio Standard (33% by 2020) and greenhouse gas reduction target (80 percent below 1990 levels by 2050) by vastly increasing the state’s energy storage capacity. Increased storage mitigates intermittency issues and will enhance the state’s ability to meet peak energy demand while relying on a significant amount of wind and solar electricity generation.
  • To accomplish this goal, the plan sets the following targets:
    • Pacific Gas and Electric Company, Southern California Edison Company, and San Diego Gas and Electric Company, three of California’s biggest utilities, are mandated to procure 1,325 MW of energy storage by 2020, with installations completed by 2024.
    • Other electric service providers and “community choice aggregators” must procure energy storage capabilities of 1% of their annual peak load by 2020, with installations completed by 2024.