Electricity consumer groups urge FERC to improve load forecasts

AI generated summary

A coalition of consumer-oriented groups, led by the Electricity Customer Alliance, is urging the Federal Energy Regulatory Commission (FERC) to enhance electricity demand forecasts, citing significant uncertainty and a lack of transparency. They emphasize the urgency of this issue due to anticipated exponential load growth driven by emerging technologies such as artificial intelligence and the expansion of data centers and advanced manufacturing facilities. A report from ICF predicts a 25% increase in U.S. electricity demand by 2030 and a staggering 78% by 2050, necessitating the addition of approximately 80 GW of generation capacity annually by 2045.

The groups argue that improved load forecasts are essential for effective grid planning, which requires better confidence, transparency, and standardization in how these forecasts are developed. They warn that inaccurate forecasts can lead to either insufficient infrastructure investment or overinvestment, both of which could result in higher costs for consumers. The coalition calls for FERC to establish an independent forum to address load forecasting issues and to prioritize these discussions in collaboration with the National Association of Regulatory Utility Commissioners, aiming to protect customers from the risks associated with unreliable forecasts.