Watch the recording of the PSC's May meeting
The big topic of discussion was cooperative utility DEMCO’s application for a 100MW battery storage project — which was approved by the Commission in a 3-1 vote. Commissioner Foster Campbell was not present at the meeting.
The battery storage project will help strengthen grid reliability, add flexibility, and, as DEMCO stated, make “smarter use” of the infrastructure that they have.
The new battery storage will be paired with the existing Amite solar facility located in Tangipahoa Parish. The battery will allow DEMCO to store solar power during times of lower electricity use and then deploy that power when it’s needed most, during peak demand.
Think of a load pocket like a congested highway with not enough lanes so there are always traffic jams. A load pocket is a specific geographic area where the electricity demand is consistently high and there is not enough infrastructure to meet that demand. During sweltering summer days, when everyone is cranking up their AC units to beat the heat, this can lead to blackouts within load pockets.
This is exactly what happened almost a year ago on Memorial Day weekend when 100,000 people in New Orleans and the surrounding area lost power. Bottom line is due to multiple unplanned outages and an important transmission line that was out of service due to a tornado, there were not enough transmission lines to move power from where it was generated to where it was needed.
In this new age of data centers, batteries are a crucial tool, in fact one of the only viable tools, to help keep the lights on and balance the rapidly fluctuating power needs of a data center.
Additionally, the solar facility the battery is paired with is part of MISO South — and there’s a few reasons why that’s important.
The Midcontinent Independent System Operator, commonly known as MISO (pronounced MY-so), is a nonprofit organization that manages the flow of electricity across 15 states, including most of Louisiana.
Think of it like this: Transmission lines are like highways for power. MISO helps ensure we have enough highways, or transmission lines, to move electricity from where it’s generated to where it’s needed.
There are 7 regional transmission organizations across the country that perform similar functions as MISO. They exist for the express purpose of providing consumer focused planning — which utilities in their territories may not otherwise provide.
Because the solar facility is already connected to the MISO grid, DEMCO can “move forward much faster than a typical project without restarting the full interconnection process,” allowing DEMCO to meet the growing demand for electricity quickly, efficiently, and cost effectively.
For comparison, to build a new gas plant in that area it could take 2 or 3 times as long. DEMCO expects the battery storage project to be functional in about 18 months.
Plus, this battery won’t only help DEMCO customers, it will help everyone connected to the MISO grid.
Consultant hired for Cleco sale
The Commission hired a consultant on the Cleco sale that will be considered by the Commission. Hiring a consultant is the first step in the Commission considering Cleco’s application for new ownership.
Directive on franchise fees at the request of Commissioner Skrmetta
All customers pay franchise fees as part of their electricity bill. Local governments charge utilities franchise fees for the right to use public infrastructure like streets and sidewalks for poles and lines. They are typically at most 5% of the bill. Utilities then pass those costs onto their customers, as they do with all other costs. The Directive that was passed makes the franchise fee a line item on electric bills, so customers can see the charge as distinct from the other charges on your bill.
Watch the recording of the PSC's May meeting
