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Feb. 22, 2021 by Alexandra Klass

Lessons from the Texas Grid Disaster: Planning and Investing for a Different Future

This post was originally published on Lawfare. Reprinted with permission.

It is now a week out from the start of the massive Texas grid failure that has resulted in numerous deaths; millions of people plunged into darkness; scores of communities without clean water or heat in record cold temperatures; and billions of dollars in catastrophic damage to homes, businesses and the physical infrastructure that supports them. Critical questions surround the causes of this massive disaster and how to plan for the future so that a tragedy of this scale does not happen again.

At this point, there are many facts that Americans already know. Contrary to the spurious claims by Gov. Greg Abbott as well as numerous right-wing politicians and pundits, freezing wind turbines and the state’s history of supporting renewable energy development did not cause the grid to fail. Indeed, wind turbines outperformed grid operator expectations, despite the extreme cold, and the outages would have been worse without the wind energy that remained online. Instead, the state’s electric grid failed for a very simple reason—because Texas power plant operators do not insulate their facilities for sustained cold temperatures. As a result, pipes and equipment needed to …

Jan. 22, 2021 by Joseph Tomain
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President Joe Biden named Commissioner Richard Glick as Chair of the Federal Energy Regulatory Commission (FERC) January 21. Glick succeeds Chairman James Danly. The Commission is expected to retain its Republican majority until Commissioner Neil Chatterjee's term is up on June 30.

Glick previously served as a FERC Commissioner nominated by President Trump in August 2017 and confirmed by the Senate later that year.

Before joining FERC, Glick was general counsel for the Democrats on the Senate Energy and Natural Resources Committee, serving as a senior policy advisor on numerous issues, including electricity and renewable energy. Prior to that, he was vice president of government affairs for Iberdrola, a Spanish multinational electric utility. At Iberdrola, Glick focused on the company’s renewable energy, electric and gas utility, and natural gas storage businesses in the United States. He ran the company’s Washington, DC, office and was responsible …

July 12, 2018 by Daniel Farber
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At the end of June, in a vote divided along partisan lines, the Federal Energy Regulatory Commission (FERC) handed down a sweeping order that will impact electricity markets in a wide swath of the country – likely at the expense of renewable energy and nuclear power. Unfortunately, like Trump's power plant bailout, the result may be to delay the closing of coal-fired power plants. That's a serious problem. A new study by researchers at Resources for the Future shows that a two-year delay in plant closings would cause 353-815 deaths and release 22 million extra tons of carbon. A two-year delay would cause one death for every four or five coal mining jobs it saved for those two years.

The FERC order applies to PJM, which operates a vast part of the national grid encompassing much of the mid-Atlantic, upper South, and Midwest. My first thought was that …

Jan. 16, 2015 by Joel Eisen
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As expected, yesterday the Solicitor General filed a petition for certiorari to the Supreme Court in FERC v. Electric Power Supply Association, asking the Supreme Court to review a May 23, 2014 decision from a divided panel of the D.C. Circuit that invalidated FERC’s Order 745.

Order 745 directs Regional Transmission Organizations (RTOs) and Independent System Operators (ISOs) to establish rules that compensate demand response resources at the wholesale market price—the same rate that electric power suppliers receive for selling electricity.  A group of organizations affiliated with generators of electricity sued FERC, alleging that Order 745 had overstepped the agency’s authority.  A majority of the D.C. Circuit panel (Brown, Silberman) agreed, holding that Order 745 exceeds FERC’s jurisdiction over wholesale electricity markets under the Federal Power Act, 16 U.S.C. § 824.  The panel majority reasoned that, because demand response involves …

May 30, 2014 by Joel Eisen
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Last Friday (May 23), in Electric Power Supply Association v. FERC, a D.C. Circuit panel split 2-1 and vacated Order 745, a Federal Energy Regulatory Commission (FERC) rule designed to promote “demand response” (DR). DR is a rapidly growing and valuable means of reducing electricity demand, thereby benefiting consumers and the environment. It is also an important part of the Smart Grid, in which smart meters and devices that communicate with one another and energy service providers can further promote these goals. Indeed, former FERC Chairman Jon Wellinghoff has called DR the Smart Grid’s “killer app.”

The case tested a question of near first impression about the Smart Grid: which level of government regulates it? For now, the D.C. Circuit has held squarely for the states, concluding that DR regulation is a matter of exclusive state jurisdiction. If the decision stands, it will have …

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CPR HOMEPAGE
More on CPR's Work & Scholars.
Feb. 22, 2021

Lessons from the Texas Grid Disaster: Planning and Investing for a Different Future

Jan. 22, 2021

Biden Named Richard Glick as Chair of the Federal Energy Regulatory Commission. What's Next for the Agency?

July 12, 2018

What Hath FERC Wrought?

Jan. 16, 2015

Government Files Petition for Certiorari in FERC Demand Response Case

May 30, 2014

D.C. Circuit Vacates FERC Smart Grid “Demand Response” Rule