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Senate Passes Energy Permitting Reform Act to Boost U.S. Clean Energy and Climate Goals

Transmission Lines. Energy Permitting Reform Act.
The bill is seen as a critical move to enhance grid reliability, address extreme weather events, and support the development of clean energy.

The U.S. Senate Energy and Natural Resources Committee has advanced the Energy Permitting Reform Act of 2024, a bipartisan measure designed to accelerate the expansion and upgrade of the U.S. electricity grid. The bill, introduced by Senators Joe Manchin (D-WV) and John Barrasso (R-WY), is seen as a critical move to enhance grid reliability, address extreme weather events, and support the development of clean energy.

The proposed legislation comes on the heels of recent actions by the U.S. Federal Energy Regulatory Commission (FERC) and the Department of Energy (DOE). FERC has released a new transmission planning and cost allocation rule, while the DOE has identified potential National Interest Electric Transmission Corridors (NIETC), areas where grid congestion or capacity constraints are anticipated.

A key provision in the Energy Permitting Reform Act mandates that FERC establish a rule on interregional planning within 180 days of the bill’s passage. This rule would require transmission planning regions to collaborate on plans for new power lines, emphasizing projects with significant economic and reliability benefits for customers.

Another notable aspect of the bill is the expansion of FERC’s backstop siting authority. Previously limited to projects within NIETCs, this authority would now extend to any project deemed “in the national interest.” This change aims to expedite the construction of transmission infrastructure by allowing developers to appeal to FERC if states delay or obstruct permit approvals.

Additionally, the bill clarifies cost allocation processes, ensuring that costs are distributed based on the economic and reliability benefits of transmission projects. It also includes provisions to support community benefits and advancements in grid-enhancing technologies and conductors.

Continue reading at T&D World

For more insights into the utility industry, check out Xcel’s wildfire mitigation proposal in Colorado, the latest in efforts to Enhance the Grid and construct new reactors for power generation.

 

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