Senators Mike Lee (R-UT) and Martin Heinrich (D-NM), who lead the Senate Committee on Energy and Natural Resources, have sent a bipartisan letter supporting a recent proposal from the Department of Energy (DOE) that would require the Federal Energy Regulatory Commission (FERC) to address how large new energy resources and major electricity users connect to the power grid. The rule was proposed by Secretary Chris Wright under Section 403 of the Department of Energy Organization Act, with an aim to improve grid reliability and reduce costs.
The proposal calls for FERC to start a rulemaking process focused on large-load interconnections, an issue that has become more urgent as electricity demand in the United States has reached its highest levels in ten years. Electricity prices are also increasing at a rate faster than inflation, prompting concerns about affordability for consumers.
In their statement, Chairman Lee said: “We are excited to work with FERC on the large load interconnection proposal submitted by Secretary Wright. Addressing this issue will be key to ensuring American energy dominance as well as enabling advancements in AI and the onshoring of key manufacturing industries. As FERC undertakes this proceeding, I encourage them to keep customer affordability at the forefront of the issue. FERC must also ensure that state authorities in electricity transmission and demand side interconnection are respected.”
Ranking Member Heinrich added: “We’re facing an energy affordability crisis right now – we need more energy on our grid to meet our increasing demand and lower costs for working families. FERC considering a rule that aims to improve large-load and new generation interconnections is a step in the right direction. We need to improve transmission planning and ensure that costs are allocated fairly so that households aren’t left covering the increased demand from large new energy users. I look forward to working with Chair Lee on all these issues to ensure that we shore up American made energy and costs come down for consumers.”
Both senators emphasized their readiness to support FERC as it considers ways to strengthen national grid infrastructure so it can handle current demands as well as future challenges.
