Advanced Energy Perspectives

In the rapidly evolving energy landscape, a growing number of distributed energy resources (DERs) are being deployed on the grid, providing flexibility, resilience, cost savings, and clean energy to communities. However, as the number of grid-connected DERs grows, their full potential will only be realized if the right grid infrastructure is in place, including transmission systems that complement and support DER deployment.  

Yes, that’s right; getting the most out of DERs is not just about making changes to the distribution system. A new report by Strategen, Better Together: The Benefits of Coordination in the Development of Transmission and Distributed Energy Resources, explores the symbiotic relationship between transmission and DERs. 

FERC’s landmark transmission planning order – Order No. 1920 – will require changes to how America builds up its transmission system, the backbone of our electric grid. Fundamental to this new process will be a formalized role for states in deciding how transmission lines are planned and paid for. The ruling has the potential to transform our system by encouraging cooperation and prioritizing system reliability and affordability. Getting it right will require a new approach by many stakeholders, and will especially require robust state engagement. 

Our transmission grid is overdue for an upgrade. More than 70% of America’s transmission lines are nearing the end of their 50-80-year lifespan, and the older our antiquated grid gets, the more vulnerable it becomes to failure. According to a U.S. Government Accountability Office analysis, power outages have become longer and more frequent in recent years, affecting nearly three in four Americans and jeopardizing the health and safety of vulnerable people. America needs more transmission to keep up with its growing electricity needs.

This past weekend, President Biden signed a bill to raise the national debt ceiling that also included modest improvements in the permitting process for building clean energy projects. As part of the negotiation process, Congressional leaders considered policy changes to speed up the buildout of large-scale electric grid transmission, such as expanding transmission capacity between regions. Ultimately, and unfortunately, those reforms were not included in the bill.