Hybrid Resources: Challenges, Implications, Opportunities, and Innovation

The electric power system has historically been designed to provide reliable energy to loads by using a relatively small number of well-understood generators. The distinction between load, generation, and transmission resources has been quite clear. Most of the responsibility for planning and operating a system—building a highly reliable network from less reliable parts—has been with the system manager, whether that be a utility, a regional market operator, or some similar entity. Given this historical context, many experts were initially perplexed by the rapidly growing popularity of hybrid resources, which combine multiple technologies into a single entity. Rather than depending on a system operator to provide instructions to individual technologies, hybrid resources intentionally take on more operational responsibility by optimizing and scheduling their combined functions. Interconnection queues in many regions reveal a large and growing interest in hybrids, suggesting that project developers and investors see them as providing advantages.