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About Commodity Insights
20 Jun 2023 | 19:42 UTC
Highlights
New York, New Jersey, New England states
Explore options for interconnectivity, offshore wind
Eight states across the Northeast and New England have banded together to ask for the US Department of Energy's help in expanding electric power ties within those parts of the country.
The states want the DOE to assist in forming a Northeast States Collaborative on Interregional Transmission. Using the DOE's technical expertise, the group can "explore opportunities for increased interconnectivity, including for offshore wind, between our regions," the states said in a June 16 letter to Maria Robinson, director of the DOE's Grid Deployment Office.
The request was made by New York, New Jersey and the New England states of Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island and Vermont.
Under the proposed collaborative, the DOE would lead the states in interregional transmission planning activities. Those activities may include exploring "mutually beneficial options for increasing the flow of electricity between three different planning regions in the Northeast and assessing offshore wind infrastructure needs and solutions," said a release from the Massachusetts Executive Office of Energy and Environmental Affairs.
In addition to the DOE and states, the three grid operators in those regions — ISO New England, New York ISO and PJM Interconnection LLC — could be invited to provide technical support, the June 16 letter said. Other states and, eventually, Canadian representatives could also be part of the collaborative's work in the future, the letter added.
The proposal comes as the DOE, Federal Energy Regulatory Commission and lawmakers in Congress seek to find ways to support interregional transmission planning. The DOE's Grid Deployment Office has made substantial funding available for planning, modeling and analysis. In addition, FERC has launched a proceeding to consider a minimum transfer standard between regions within its jurisdiction.
Congress is also weighing action on the issue, including recently passing legislation to study interregional transfer capacity. Grid expansion backers want to move more quickly, however, saying a larger and more modern grid is essential to meeting US climate and clean energy goals.
"Rather than wait for new regulatory mandates to spur action, we can collectively take steps now to consider expanding ties between our regions to help enhance system reliability and transition to a clean energy future more quickly and affordably," the states said in their June 16 request to the DOE.
S&P Global Commodity Insights reporter Molly Christian produces content for distribution on Capital IQ Pro .