ERCOT proposes $1,500/MW incentive for legacy Texas storage to adopt grid stability support

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From ESS News

The Electric Reliability Council of Texas (ERCOT) is advancing a concept proposal to potentially financially support older energy storage and renewable resources in adopting advanced grid support capabilities. The concept, presented to the Inverter-based Resource Working Group (IBRWG) on March 27, 2026, seeks to address legacy assets currently exempt from newer, mandatory stability requirements.

The initiative is designed to align legacy Inverter-based Resources (IBRs), particularly Energy Storage Resources (ESRs), with grid-forming standards.

In practice, this will mean a retrofit for inverters, with grid-following inverters to be replaced with grid-forming capabilities, or a “GFL-to-GFM” retrofit, involving new equipment and commissioning.

To read the full story, please visit our ESS News website.

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