Transforming Transmission: The Importance of FERC Order No. 1920
A significant show of support has been demonstrated by a group of state regulatory commissioners who have signed a letter to FERC backing Order No. 1920. This landmark order, issued on May 13, 2024, aims to revolutionize the evaluation and selection process for Long-Term Transmission Facilities, enhancing grid reliability and economic efficiency.
The letter highlights the extensive collaborative efforts behind Order No. 1920, reflecting the input from the Joint Federal-State Task Force on Electric Transmission. The commissioners additionally emphasized the importance of proactive, multi-purpose transmission planning, direct state involvement in cost allocation, and the equitable distribution of transmission costs.
This unified endorsement underscores the critical need for advanced transmission infrastructure to support America's economic growth and grid resilience in the face of increasing extreme weather events.
DOE Rolls Out $2.2B to Strengthen the Electrical Grid and Add Clean Power
The U.S. Department of Energy (DOE) has announced $2.2 billion in funding for eight projects across 18 states to enhance the electrical grid and incorporate more clean energy. This initiative is part of the Grid Resilience and Innovation Partnerships program funded by the Bipartisan Infrastructure Law of 2021. The planned investments will add over 600 miles of new transmission lines and upgrade 400 miles of existing ones to boost capacity and reliability.
Key projects include upgrading transmission lines in California to add renewable energy, enhancing connection points in New England for offshore wind energy, and building a high-voltage transmission line across Montana and North Dakota. Additionally, the Virginia Department of Energy will receive $85 million to implement clean electricity and backup power at data centers.
These investments aim to provide reliable, affordable electricity for 56 million homes and businesses while addressing the growing demand for power and the challenges posed by extreme weather events.
Senators Manchin and Barrasso Release Bipartisan Energy Permitting Reform Legislation
U.S. Senators Joe Manchin and John Barrasso have introduced the bipartisan Energy Permitting Reform Act of 2024. This legislation aims to expedite the permitting process for critical energy and mineral projects across the United States, enhancing American energy security and economic growth. The Act addresses the current outdated permitting system, which has hindered economic progress and energy development. It includes provisions to secure access to oil and gas resources, produce more American minerals, end the ban on natural gas exports, and strengthen the electric grid while protecting consumers. For more details, read the full announcement here.
FERC To Consider New Requirements for Transmission Providers to Use Dynamic Line Ratings
On June 27, FERC announced an advanced notice of a proposed rulemaking aimed at guiding transmission providers to implement Dynamic Line Ratings (DLR), a technology that determines the true, real-time capacity of a power line. Clean energy industry associations filed formal comments to FERC calling for more guidance on DLR use, saying in part that wider use of Dynamic Line Ratings, as well as other grid-enhancing technologies (GETs), would help ensure just and reasonable transmission rates by improving the accuracy of how much electricity can move along transmission lines. Read More.
FERC Approves ISO-NE/NESCOE LTTP Tariff Proposal
On July 8, the Federal Energy Regulatory Commission (FERC) accepted revisions to ISO New England's (ISO-NE) Transmission, Markets, and Services Tariff. Proposed by ISO-NE and the New England Power Pool (NEPOOL) Participants Committee, these revisions introduce a long-term transmission planning process beyond the standard five-to-ten-year horizon to support policy-based facilities. The revisions also establish a competitive solicitation process for transmission developers to propose projects for inclusion in the Regional System Plan. Additionally, it includes a default method for sharing transmission costs with the option for states to propose alternatives. This order should contribute to regional transmission planning by promoting long-term solutions for New England's energy policy objectives, ensuring reliability and cost-effectiveness.
DOE Invests $371 Million to Accelerate Transmission Permitting Across the U.S
The U.S. Department of Energy (DOE) has announced $371 million in funding for 20 projects across 16 states under the Transmission Siting and Economic Development (TSED) grants. These grants aim to accelerate the permitting process for high-voltage, interstate transmission projects and support community infrastructure improvements alongside new or upgraded lines. The TSED grants include funding for four siting and permitting projects and 16 economic development projects. Initiatives include upgrading public school buildings, enhancing emergency response facilities, and supporting workforce development in communities impacted by transmission development. The DOE plans to release the second round of TSED funding opportunities this fall. For more information on these impactful projects, read the full announcement here.
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Explainer: Energy Permitting Reform Act of 2024
Grid Strategies LLC | July 2024
Grid Strategies LLC has developed a flow chart explaining key transmission provisions of S. 4753, the Energy Permitting Reform Act of 2024. This visual summary details two primary routes for new transmission projects: an applicant-driven process and an interregional planning requirement. These provisions aim to streamline the planning, permitting, and development of new transmission infrastructure. Check out the full explainer here.
Guide: Reforming State-Level Siting and Permitting Policies
Advanced Energy United | July 2024
On July 11, Advanced Energy United published "A Guide to Reforming State-Level Siting and Permitting Policies," addressing the urgent need to streamline the approval processes for clean energy projects. With increasing electricity demand and the push for more renewable energy sources, the guide highlights how outdated and complex regulations often hinder the development of wind, solar, and battery storage projects. The guide provides key policy recommendations to help state decision-makers set clear, consistent standards for large-scale renewable energy projects, aiming to unlock millions in new investments and create good-paying jobs in the clean energy sector. For a comprehensive overview of the recommended reforms, read the full guide here.
Report: Common Sense Ways to Improve the Power Transmission System
Acadia Center | July 2024
Acadia Center's latest report, "Common Sense Ways to Improve the Power Transmission System," explores the potential of Advanced Transmission Technologies (ATTs) and Grid Enhancing Technologies (GETs) to significantly boost the capacity, efficiency, and reliability of existing power transmission lines. The report emphasizes the urgency of incorporating these technologies to meet growing electricity demand and facilitate the transition to clean energy.
ATTs and GETs offer a cost-effective and rapid solution to increase transmission capacity, thereby reducing grid congestion and accelerating renewable energy deployment. Acadia Center supports the implementation of FERC Order 1920, which mandates the inclusion of GETs in long-term regional transmission planning, marking a pivotal step towards a more resilient and efficient grid. For a deeper understanding of these innovative technologies and their benefits, read the full report here.
Report: Fewer New Miles: The U.S. Transmission Grid in the 2020s
ACEG & Grid Strategies LLC | July 2024
The latest report by ACEG and Grid Strategies, "Fewer New Miles: The U.S. Transmission Grid in the 2020s," highlights a slowdown in the construction of high-voltage transmission lines across the United States. The findings reveal that while annual transmission spending has reached over $25 billion, most funds used for reliability upgrades and replacing aging infrastructure rather than building new lines, posing significant challenges to the nation’s energy future.
Despite federal efforts, including FERC’s Order No. 1920 and new DOE rules, a significant increase in federal funding and utility investment is essential to achieve this expansion. To explore more insights and understand the full scope of the challenges and recommendations, read the full report here.
Report: ISO-NE Summer Reliability Outlook Report
ISO-NE | June 2024
On June 4, ISO New England (ISO-NE) released its Summer Reliability Outlook report, projecting the region's electricity supply and demand for the upcoming summer months. The report underscores the importance of adequate planning and preparedness to ensure grid reliability during periods of extreme weather. It provides insights for stakeholders and policymakers, emphasizing the need for continued investments in grid infrastructure and demand management strategies to maintain reliable electricity service throughout the summer. For more details, download the full report here.
Toolkit: Transmission Toolkit for Community Participation
NWF | June 2024
The National Wildlife Federation presents their Transmission Toolkit for Community Participation. This toolkit will assist community and local decision-makers in learning about the basics of transmission and their integral leadership role in building a clean energy future. Download the Toolkit.
Workbook: Cultivating Rural Communities’ Approaches to Nature and Electrification (CRANE)
NWF | June 2024
National Wildlife Federation presents Cultivating Rural Communities’ Approaches to Nature and Electrification (CRANE). CRANE is a workbook designed for any town planner or community member to assist with land use planning for a clean energy future with an emphasis on transmission, clean energy, and preserving biological diversity. Download Here.
Report: Transmission Planning for PJM's Future Load and Generation: Version 1
ACEG | May 2024
On May 29, Americans for a Clean Energy Grid (ACEG) and Grid Strategies released the report "Transmission Planning for PJM's Future Load and Generation Version 1." With increased demand from electrification, data centers, onshore manufacturing, and a higher frequency of extreme weather events, we need to ensure that the grid can handle the needs of the future. This report highlights several recommendations of best practices that PJM can adopt to progress its long-term transmission planning further. Download the Report.
Fact Sheet: Understanding FERC’s Order 1920
RMI | May 2024
On May 13, 2024, the Federal Energy Regulatory Commission (FERC) released Order 1920, a landmark rulemaking requiring each of the transmission planning regions in the United States to undergo long-term transmission planning. The rulemaking also contains important reforms to local transmission oversight and interregional coordination.
To assist stakeholders with better understanding the rule, RMI has put together the following downloadable fact sheet providing a high-level summary of the rule. Download the Factsheet.
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