Advanced Energy Perspectives

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.

As consumers face the electricity cost hikes and threats of blackouts that come with extreme weather conditions, it’s more important than ever to consider the potential benefits of a West-wide power grid. We already know that a Western regional transmission organization (RTO) could improve power system reliability, but a recent west-wide analysis conducted by Energy Strategies on behalf of AEE confirms that the region would also net major economic gains by establishing this kind of regional power grid. AEE also released three state-specific summaries showing that a Western RTO would generate huge economic benefits in Colorado, New Mexico, and Arizona. And that got people talking. 

The 2022 election is still not in the books, but with the outcome of most contests already known, advanced energy and its champions at the state and federal level were clear winners. Heading into any midterm election we expect to see a swing away from the sitting president’s party. This year that meant the potential to see the progress of the past four years slowed in key states across the country and at the federal level. But now, with the votes mostly tallied, we can say the stage is set for more clean energy progress next year, especially with the funds and incentives from federal legislation arriving in states ready to put it to work.

While much attention is focused on key Congressional races as we head into Election Day, the outcomes of contests for governor and state legislative seats could be just as consequential for the clean energy industry—if not more so. To ensure state policies help advanced energy and transportation make the necessary strides needed for the U.S. to reach net zero, AEE met with more than 130 candidates in key races to emphasize the value of clean energy.

As the West deals with a record-setting heat wave that is fueling catastrophic droughts and wildfires and is testing the limits of America's aging power grid, our team at AEE is focused on how we can improve grid resilience and connect more clean energy by establishing a regional transmission organization (RTO) to operate the power grid for Western states. Now, we can say with certainty just what the West would gain in savings, jobs, and economic growth - and it’s a lot.