FERC Takes Crucial Steps toward Better Grid Reliability in the Face of Climate-Driven Extreme Weather

Statement of Ted Kelly, EDF Senior Attorney for Energy Markets and Regulation

June 20, 2023
Sharyn Stein, 202-905-5718, sstein@edf.org

“The Federal Energy Regulatory Commission has just taken two crucial steps toward establishing better responses to the risks of increasingly frequent and severe extreme weather events driven by climate change. We welcome FERC’s issuance of these crucial orders and will work with the North American Electric Reliability Corporation to ensure robust implementation of the requirements for planning and corrective action. As FERC notes, the U.S. has experienced at least seven major weather events that stressed electric grid operations since 2011.

“We also call on FERC to further enhance the reliability of our electric system by moving forward with its proposed rules on interconnection and transmission, which will accelerate the development of needed infrastructure and the integration of clean energy resources that will enhance the capabilities and reliability of the electric grid.

“FERC just finalized a rule requiring NERC to update our national reliability standards to require planning for a broad array of extreme weather risks, including extreme heat and cold. Current reliability rules require only limited evaluation of the risks posed by a smaller class of extreme weather events, specifically hurricanes and tornadoes. However, the risks we face from a wide variety of climate-amplified extreme weather is growing, and this rule will support FERC's long-standing duty to ensure continuing grid reliability. FERC’s order will require that utilities and transmission operators conduct a detailed evaluation of the risks of extreme weather events and then take corrective action where risks are identified. We’re especially pleased to see that the order recognizes extreme weather risks can often be best mitigated through the buildout of the electric transmission system to increase linkages between regions.

“FERC also finalized a rule directing all transmission providers to file reports on whether and how they conduct extreme weather vulnerability assessments. These reports will reveal whether utilities are sufficiently considering and addressing the reliability and resiliency risks created by climate change. If these reports show that risks are not being sufficiently addressed, FERC should take further action to ensure robust resiliency planning. As highlighted by Chair Phillips and Commissioner Clements, it is also crucial for transmission providers to identify whether and how they consider impacts on disadvantaged and vulnerable communities and engage with them to find solutions.”

            - Ted Kelly, EDF Senior Attorney for Energy Markets and Regulation

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