Stromfee.US · battery revenue, explained
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Stromfee.US · arbitrage levers · revenue transparency
D4.6

Regulation Up

▶ Explainer · ~37 s

Detail view of the Regulation Up for battery storage in US ISO markets — reserved capacity is paid in $/MW per hour, co-optimized with energy.

Where does arbitrage arise?

Capacity product: revenue comes from RESERVING megawatts, not from moving energy. US ISOs co-optimize energy and ancillary services in one clearing — the battery is awarded whichever use is worth most each hour. Capacity bid to increase output (or reduce charging) on ISO signal. Live US regulation price integration is planned.

Who earns what — and where?

US market roles, cleanly separated (FERC market design).

Power marketer / Scheduling Coordinator (SC)

Earns by RESERVING capacity ($/MW per hour, co-optimized with energy in DAM/RTM). On dispatch, energy settles separately at the LMP — mileage/performance payments apply for regulation.

Asset operator

Keeps the capacity available (state-of-charge management required); receives a share of the ancillary-service award.

Investor

Ancillary services give steadier $/MW than pure spot arbitrage — but US regulation markets are shallow and saturate quickly as storage build-out grows.

Utility & ISO/RTO

The ISO procures these products to hold 60 Hz and cover contingencies; the utility does not trade them.

Data status: No live US price feed for this product in our database yet — concept page; integration is planned. No numbers are shown rather than estimated ones.
Settlement-quality data: the potential shown here only becomes real revenue if it can be cleanly settled — revenue-quality meter data and ISO settlement statements decide what is billable. Stromfee builds exactly this transparency layer. (How we solved it in Germany: metering-data deep dive.)