Summary

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The EDGE model is a modular simulation tool developed by RMI to address the lack of analytical tools for evaluating distributed energy resources (DERs). It integrates resource portfolio planning, bulk power dispatch, distribution system simulation via OpenDSS, and rate/regulation accounting to determine the financial and operational impacts on utilities, customers, third-party providers, and society. While designed for utility or regional scales, it is not intended for national-level analysis or as a replacement for full distribution management systems.

Key insights

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  • Existing analytical tools are insufficient for decision-making regarding distributed energy resources (DERs) because they fail to capture critical performance variables and rely on operational rules-of-thumb, often ignoring the institutional and regulatory implications of increased coordination on distribution networks.
  • Traditional U.S. electric utility business models are poorly equipped to optimize or quantify the value of DERs, frequently viewing them as sources of revenue loss, operational challenges, and increased transaction costs.
  • The EDGE model utilizes a modular structure to evaluate the DER value proposition, incorporating a Resource Portfolio Module for investment needs, a System Operations Module for dispatch and distribution effects, a Rates and Regulation Module for accounting, and a Stakeholder Outcomes Module for financial allocation.
  • The model's Distribution System submodule uses the OpenDSS platform to simulate high-resolution time-series data on representative circuits, allowing it to convert technical performance—such as voltage extremes and network losses—into economic costs and benefits for the entire utility.
  • The Rates and Regulation module is designed to test alternative incentive regulations and revenue generation methods, such as performance-based earnings or shared savings, because traditional structures like net-energy metering (NEM) become problematic as DER adoption increases.
  • The EDGE model is specifically designed for utility-scale or regional analysis and is not intended for national-level studies where transmission constraints and regulatory diversity are more prominent, nor is it a replacement for a utility's full distribution management system.

Cite the original document

APA
RMI (2013). EDGE MODEL EXECUTIVE SUMMARY. https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_2013-02_EDGEModel.pdf
Chicago
RMI. EDGE MODEL EXECUTIVE SUMMARY. 2013. https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_2013-02_EDGEModel.pdf.
Wikipedia
{{cite report |author=RMI |title=EDGE MODEL EXECUTIVE SUMMARY |date=31 January 2013 |url=https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_2013-02_EDGEModel.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
BibTeX
@techreport{rmi2013edge, author = {{RMI}}, title = {{EDGE MODEL EXECUTIVE SUMMARY}}, institution = {RMI}, year = {2013}, month = jan, url = {https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_2013-02_EDGEModel.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }

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