Advanced Energy Perspectives

The PJM electricity market faces a capacity shortfall, due to rising demand and a slow and inefficient interconnection process. As millions of people across the region face rate hikes due to this capacity shortfall, the states that are part of the PJM market are seeking new ways to take action to help keep power affordable and reliable. 

In the face of these challenges, some stakeholders are seeking to attract more natural gas power plants to PJM states. However, natural gas power plants are not the solution to this crunch. (One reason for this is the gas turbine supply chain, which is currently stretched to a breaking point: Gas turbines are being ordered up to eight years in advance due to record demand.) State lawmakers and regulators need to expand capacity quickly, and they need to tap non-gas solutions to do so. 

America is at a crossroads. For the first time in decades, we’re experiencing a sharp rise in load growth driven by data center expansion, a resurgence in domestic manufacturing, and increased electrification. Without effective policies, consumer costs could rise, businesses may face investment uncertainty, and grid reliability may be at risk. But that doesn’t have to be the case. 

The 2024 NV Energy Integrated Resource Plan (IRP) proceeding is coming to a close, with a decision expected from the Public Utilities Commission of Nevada (PUCN) by December 20, 2024.

In Nevada, an IRP proceeding is conducted every three years with the goal of ensuring that NV Energy has the resources it needs to reliably and affordably serve Nevada’s electric customers and meet state policy goals. However, NV Energy’s proposed IRP, similar to those preceding it, exemplifies how the IRP process encourages investment in new gas resources, despite the availability of cheaper clean energy resources, such as Nevada’s abundant solar, geothermal, and distributed energy resources increasingly found on Nevadans’ rooftops and driveways. 

As we near the end of 2024, I’m pleased to share some good tidings and a bit of hope. While uncertainty hangs heavy on the horizon, Massachusetts offers a bright example of how states can shine when they choose to step up.

Governor Maura Healey recently signed a landmark clean energy package that will accelerate clean energy deployment in Massachusetts, and, in turn, will increase local jobs and lower energy costs. The act includes critical reforms to streamline siting and permitting processes, as well as provisions to expand grid-enhancing technologies, energy storage, and other advanced energy technologies.  

The advanced energy sector has experienced significant job growth in recent years, driven by technology advancements, increased investment in renewable energy sources, and supportive government policies aimed at combating climate change by transitioning away from fossil fuels. Investments in solar, wind, electric vehicles (EVs), and battery storage are creating millions of well-paying jobs across the advanced energy sector. As the advanced energy space continues to flourish, the future of the American workforce will evolve as well, contributing to economic development, energy independence, and positioning the U.S. as a leader in global advanced energy development.