Want larger transmission lines? Fix this regulatory gap, experts say.

Jeff St. John | Source: Canary Media | Posted 02/04/2025

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Utilities are opting to build small transmission projects with less oversight instead of big ones, and consumers are paying the price, according to a recent report.

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U.S. utilities are investing heavily in transmission grids, yet the construction of long-range, high-voltage power lines has significantly slowed. Experts attribute this slowdown to a regulatory gap that allows utilities to prioritize smaller, more profitable projects over larger, regionally planned ones that could better serve ratepayers. Claire Wayner from RMI highlights that the lack of oversight on local projects leads to higher costs for consumers and less investment in essential regional infrastructure, which is crucial for transitioning to clean energy and enhancing grid resilience.

The regulatory gap stems from FERC's Order 1000, which aimed to promote regional planning but exempted many local projects from scrutiny. As a result, over 90% of transmission spending has gone to projects that do not undergo cost-benefit analysis, leading to a decline in high-voltage projects. Advocates are calling for reforms to ensure that regional planning takes precedence over local projects, arguing that this could lead to more efficient spending and better outcomes for consumers and the environment.

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Source Link: https://www.canarymedia.com/articles/transmission/want-larger-transmission-lines-fix-this-regulatory-gap-experts-say

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Want larger transmission lines? Fix this regulatory gap, experts say.

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