The Colombian Government Has Released A Draft Law On Energy Storage System Grid Connection And Compensation Mechanisms

 

The Colombian government has released a draft law on energy storage system grid connection and compensation mechanisms, open for public comment until December 11.

 

The Colombian government has published a draft decree on energy storage regulations, aiming to establish guidelines for the integration, compensation, and operation of energy storage systems in the country's grid and in unconnected areas. The public comment period for this draft will continue until December 11.

 

The Colombian Ministry of Mines and Energy stated that the initiative aims to provide a specific regulatory framework for energy storage technology and allow its participation in electricity service provision. The draft clarifies that energy storage systems can participate in the demand, power, and energy management of systems in both interconnected and isolated areas, and details the technical guidelines required for their integration. It also emphasizes that compensation rules must cover the services provided by these systems in terms of support, reliability, and operational stability.

 

Minister of Mines and Energy Edwin Palma pointed out that the regulations will help facilitate the integration of new capacity and support system operation in the context of climate change or increased demand. He also stated that energy storage systems help reduce reliance on thermal power during periods of system stress and ensure the electricity needed during periods of high consumption. This framework responds to the elements identified in the 2022 CONPES 4075 document, namely the need for dedicated rules for this technology. In September of last year, the Colombian Energy and Gas Regulatory Commission publicly solicited opinions on a draft resolution that established technical, commercial, and pricing standards for the integration of battery energy storage systems with a capacity of 5MW or greater, and stipulated that a deposit equivalent to 20% of the project's valuation must be submitted.