[USA] Vistra's 300 MW storage facility to remain offline after overheating incident

Vistra Corp announced on September 7, 2021, that it has begun a preliminary assessment of the Phase 1 300 MW/1,200 MWh lithium-ion battery storage system at its Moss Landing Energy Storage Facility in Monterey Bay, California, following an overheating issue on September 4, 2021.[1] Vistra's 300 MW storage system is the largest battery storage facility in the world and began operations in December 2020. Phase II of the project, which added an additional 100 MW/400 MWh, came online in August 2021. Moss Landing operates under a long-term agreement with Pacific Gas & Electric.

According to the statement, "a limited number of battery modules" at the facility overheated, resulting in the facility going offline. Experts from Vistra, engineering contractor Fluence, battery manufacturer LG Energy Solution, and others are conducting the initial investigation into the cause of the issue. The North County Fire Protection District of Monterey County is also helping with the investigation. In a statement, the California Public Utilities Commission said that it is also investigating the incident.[2] The 300 MW unit will remain offline for the duration of the investigation. Vistra's Phase II system, located in a separate standalone building, was unaffected by the incident and remains operational.

[1] https://investor.vistracorp.com/news?item=197

[2] https://investor.vistracorp.com/2021-01-06-Vistra-Brings-Worlds-Largest-Utility-Scale-Battery-Energy-Storage-System-Online

[USA] DOE Solar Futures Study provides a blueprint for solar to decarbonize the grid

On September 8, 2021, the Department of Energy (DOE) released its Solar Futures Study, which examines the role of solar in decarbonizing the power grid.[1] The study, produced by the U.S. Department of Energy Solar Energy Technologies Office (SETO) and the National Renewable Energy Laboratory (NREL), recommends "strong decarbonization policies coupled with a massive deployment of renewable energy sources, large-scale electrification, and grid modernization." According to the study, solar energy could account for as much as 40% of the nation's electricity supply by 2035 and 45% by 2050. To reach these levels, the U.S. must install an average of 30 GW of solar per year between now and 2025 and 60 GW per year from 2025-2030, which would total 1,000 GW of solar by 2035. By 2050, total solar capacity would need to reach 1,600 GW. Decarbonizing the entire energy system could require 3,000 GW of solar by 2050 due to increased electrification in the transportation, buildings, and industrial sectors. By comparison, in 2020, the U.S. installed 15 GW, bringing the total to 76 GW, or 3% of the current electricity supply.

According to the study, solar will employ 500,000 to 1.5 million people by 2035, and the clean energy transition will create about 3 million jobs across all technologies. The clean energy transition will also result in health and cost savings of $1.1 trillion to $1.7 trillion due to reduced carbon emissions and improved air quality.

[1] https://www.energy.gov/articles/doe-releases-solar-futures-study-providing-blueprint-zero-carbon-grid

[USA] Hurricane Ida knocks out all eight transmission lines into New Orleans

In a statement released on August 29, 2021, Entergy, a utility that serves customers in Arkansas, Louisiana, Mississippi, and Texas, said Hurricane Ida caused the utility to lose all eight transmission lines delivering power into New Orleans, Louisiana.[1] Hurricane Ida made landfall near Port Fourchon, Louisiana, as a Category 4 storm with 150 mph winds. In addition to the eight major transmission lines, 216 substations, over 200 smaller lines, and more than 2,000 miles of transmission lines were put out of service by the hurricane. Hurricane Ida also toppled a 400-foot tower that withstood Hurricane Katrina in 2005. The loss of transmission led to a load imbalance, ultimately resulting in generation dropping offline. According to the Edison Electric Institute (EEI), nearly 1.2 million electricity customers in Louisiana and Mississippi were left without power the morning of August 30, 2021. As of September 1, 2021, Entergy has restored power to more than 107,000 customers in Eastern New Orleans with generation supplied by the New Orleans Power Station, a 128 MW gas-fired power plant.[2] The utility noted that full restoration will take time due to the significant damage across the region.

[1] https://www.entergynewsroom.com/storm-center/article/entergy-system-hurricane-ida-update-8-30-21-10-m/?utm_source=twitter&utm_medium=entergy&utm_campaign=Power+Outages%2FRestoration&utm_content=5392617605

[2] https://www.entergynewsroom.com/news/entergy-restores-107-000-customers-in-mississippi-louisiana-new-orleans-service-areas/

[USA] New reports from DOE highlight record wind energy growth in 2020

On August 30, 2021, the Department of Energy (DOE) released the 2021 editions of three wind market reports: Land Based Wind Market Report[1], Offshore Wind Market Report[2], and Distributed Wind Market Report[3]. According to the reports, wind energy accounted for 42% of all new capacity additions in 2020, beating solar, which accounted for 38%. The Land Based Wind Market Report found that a record 16,836 MW of onshore wind was added in 2020. DOE analysts project that wind capacity will continue to grow rapidly in 2021, with expected additions of 13 GW-16GW. In 2022 and 2023, additions will slow before rebounding to 11−13 GW in 2024 and 2025 due to the scheduled expiration of the federal production tax credit (PTC) and anticipated growth in offshore wind in the mid-2020s.

The offshore wind project development and operational pipeline grew by 24% in 2020, from 28,521 MW in 2019 to 35,324 MW in 2020. This figure includes two operating projects—the 30 MW Block Island Wind Farm and the 12 MW Coastal Virginia Offshore Wind pilot project—as well as Vineyard Wind 1, an 800 MW project that has been fully approved and received all permits. The DOE report cites several factors as drivers of this growth, including increasing state-level procurement targets in the Northeast and mid-Atlantic, an increased number of projects clearing major permitting milestones, and growing vessel, port, and infrastructure investments needed to keep up with the pace of development.

[1] https://www.energy.gov/eere/wind/articles/land-based-wind-market-report-2021-edition-released

[2] https://www.energy.gov/eere/wind/articles/offshore-wind-market-report-2021-edition-released

[3] https://www.energy.gov/eere/wind/articles/distributed-wind-market-report-2021-edition-released

[USA] Illinois Senate passes clean energy bill, includes subsidies for nuclear plants

The Illinois Senate voted 39-16 on September 1, 2021, to pass Senate Bill (SB) 18, an energy bill that would decarbonize the state's electric grid by 2050.[1] Two Republicans joined with 37 Democrats to vote for the bill. SB18 aims to prevent the premature closure of nuclear plants, and to this end, the bill contains $694 million in taxpayer funds for Exelon's Byron, Dresden, and Braidwood power plants. Exelon has said that it will shut down its Byron plant in September 2021 and its Dresden plant in November 2021.[2] However, Exelon said that it has "established off-ramps" that will allow contingencies for continuing operations of the plants if legislation is passed. In addition to nuclear subsidies, the bill also provides more than $600 million in subsidies for renewable power-related initiatives.

The legislation still needs to pass the House, which has not set a date as to when it will return. Environmental groups and Governor J.B. Pritzker, D, have raised objections to the bill's plans for coal plants, saying that coal plants would not be phased out quickly or allowed to keep running with unproven carbon-capture equipment. Under SB18, the municipally-owned Prairie State coal-fired plant, the largest carbon-emitting power plant in Illinois and one of the largest in the nation, would shut down by 2045. Environmental groups and the governor say that this is not soon enough, and there need to be provisions to significantly reduce the plant’s emissions. In a statement, the governor said his "office looks forward to working with members of the House to finalize an energy package that puts consumers and climate first."

[1]https://www.ilga.gov/legislation/billstatus.asp?DocNum=18&GAID=16&GA=102&DocTypeID=SB&LegID=127591&SessionID=110

[2] https://www.reuters.com/legal/litigation/illinois-senate-passes-bill-save-nuclear-plants-sends-house-2021-09-01/

[USA] Minnesota Appeals Court upholds Minnesota Power’s proposed natural gas power plant

On August 23, 2021, the Minnesota Court of Appeals upheld a 2018 Minnesota Public Utilities Commission (PUC) approval of Minnesota Power’s plans to jointly build a $700 million natural gas plant in Superior, Wisconsin.[1] Minnesota Power and Dairyland Power Cooperative first proposed the 625 MW Nemadji Trail Energy Center (NTEC) project in 2017, with a planned construction date in 2025. The companies said they would jointly operate the plant to ensure reliability while transitioning away from coal towards renewables. However, environmental groups, including the Minnesota Center for Environmental Advocacy, Union of Concerned Scientists, and Sierra Club, have challenged the PUC’s approval of Minnesota Power’s plans to buy a stake in the project.  They argue that there is substantial evidence that does not support the commission’s determination that the power plan is necessary and in the public interest.

The appeals court, which reviewed the case on remand from the Minnesota Supreme Court, said the NTEC is a “more reliable and lower cost source” of energy than equivalent-sized wind or solar power projects. The court ruled that Minnesota Power and the MPUC “offered extensive evidence and analysis showing that the transition away from coal and toward intermittent renewable resources impairs reliability and could cause a reliance on more expensive energy markets.” The NTEC is facing another legal challenge in Wisconsin where two environmental groups, Clean Wisconsin and the Sierra Club, petitioned an administrative law judge to review a prior approval by the Wisconsin Public Service Commission.[2]

[1] https://dailyenergyinsider.com/news/31668-minnesota-powers-proposed-natural-gas-power-plant-wins-minn-appeals-court-approval/?amp

[2] https://www.sierraclub.org/press-releases/2020/03/clean-wisconsin-sierra-club-challenge-gas-plant-approval

[USA] PG&E has installed more than 200 new weather stations in 2021 to monitor severe weather events

On August 24, 2021, Pacific Gas and Electric Company (PG&E), a utility that serves more than 16 million people across Northern and Central California, announced that it had installed more than 200 new weather stations in 2021.[1] The utility said that it has installed more than 1,200 weather stations since 2018 and plans to have a total of 1,300 weather stations by the end of 2021. This plan would amount to one weather station for every 20-line miles of electric distribution circuits within Tier 2 and Tier 3 High Fire-Threat Districts. The new weather stations will help the utility better prepare for severe weather events and reduce the extent of Public Safety Power Shutoff (PSPS) events.

Data captured by the weather stations, such as temperature, wind speed, and humidity levels, will help the utility evaluate where severe weather may be headed and inform its operational planning. During a PSPS, PG&E turns off specific power lines based on severe weather conditions to prevent tree branches and other debris from contacting energized power lines. The 200 new weather stations are sending hyperlocal data to PG&E meteorologists as well as analysts and experts in PG&E's Wildfire Safety Operations Center (WSOC). The WSOC is where the utility detects, evaluates, monitors, and responds to wildfire threats. The utility noted that weather stations are just one part of its Community Wildfire Safety Program. The program also includes installing sectionalizing devices to split the grid into smaller pieces and hardening infrastructure to reduce wildfire risk and lessen the effects of PSPS events.

[1]https://www.pge.com/en/about/newsroom/newsdetails/index.page?title=20210824_improving_weather_forecasting_to_better_predict_and_respond_to_weather_threats_pge_has_installed_more_than_200_new_weather_stations_this_year

[Japan] TEPCO releases plan to discharge radioactive water from its Fukushima Plant

Tokyo Electric Power Company (TEPCO) released its plans on August 25, 2021, to construct a roughly 1 km-long undersea tunnel to release treated radioactive water from the Fukushima Daiichi Nuclear Power Station.[1] Since the accident in 2011, more than 1 million tons of treated water has accumulated at the complex. The water was contaminated when it was pumped into the ruined reactors to cool the melted fuel and is being treated using an advanced liquid processing system. While the process removes most radioactive materials, it leaves behind tritium, which is considered low risk at low concentrations. On August 24, 2021, the Japanese government announced that it will buy marine products to support the fishing industry in case the release of treated water from the plant hurts their sales.[2] Prior to this, in April 2021, the government decided to start discharging treated water in the spring of 2023. However, the plan has been opposed by fishermen, citizens, and nearby countries.

TEPCO will construct the undersea tunnel by hollowing out bedrock on the seabed near the plant’s No. 5 reactor. The tunnel will stretch 1 km east and release the water into an area where there are no fishing rights in place. The company will dilute the treated water with seawater to reduce the tritium concentration to less than 1,500 becquerels per liter. Because the seawater in the port in front of the Fukushima Daiichi Nuclear Power Plant contains radioactive materials, the seawater will be taken from elsewhere. TEPCO plans to apply to the Nuclear Regulation Authority for a review of the construction plans and begin preparatory work soon. The company hopes to start construction in early 2022 and begin operations in spring 2023 in line with government policy.

[1] https://www.tepco.co.jp/en/hd/newsroom/press/archives/2021/20210825_01.html

[2] https://www.japantimes.co.jp/news/2021/08/24/national/fukushima-water-tunnel/

[USA] D.C. Circuit orders FERC to reinvestigate alleged market manipulation in MISO

On August 6, 2021, the U.S. Court of Appeals for the District of Columbia Circuit ruled that the Federal Energy Regulatory Commission (FERC) must reinvestigate alleged market manipulation in the 2015 capacity auction for the Midcontinent Independent System Operator (MISO).[1] MISO is the second largest regional transmission operator (RTO) in the U.S. and spans 15 states.[2] During the 2015 auction, capacity prices in the zone covering most of Illinois were 50 times higher than those across the rest of MISO. In their complaints to FERC, the state of Illinois, consumer advocacy group Public Citizen, and others allege that Dynegy Inc., which had just acquired four new power plants in the region, was responsible for the price spike. According to the state, the region in MISO was unable to meet its reliability requirements without purchasing capacity from Dynegy due to the company’s purchase of the power plants. Therefore, the clearing price was artificially inflated, costing the average residential customer an additional $131 in electricity costs in the 12 months that followed the capacity auction.

FERC dismissed the complaints in 2019 and dismissed the requests for rehearing in 2020, stating that the auction clearing price was just and reasonable. Then Commissioner and now-Chairman Richard Glick dissented in both orders, saying that the Commission did not adequately examine the complaints.[3] In response to FERC’s dismissal of the complaints, Public Citizen appealed FERC’s decisions to the D.C. Circuit. Similar to Chairman Glick’s previous findings, the three-judge panel found that the majority of commissioners failed to explain why the claims should be dismissed.

[1] https://www.cadc.uscourts.gov/internet/opinions.nsf/418CFCD8F8D7ED6F85258729004F14E5/$file/20-1156-1909243.pdf

[2] MISO covers all or a portion of Arkansas, Illinois, Indiana, Iowa, Kentucky, Louisiana, Michigan, Minnesota, Mississippi, Missouri, Montana, North Dakota, South Dakota, Texas, and Wisconsin

[3] https://www.ferc.gov/news-events/news/appellate-court-remands-miso-2015-capacity-auction-order-ferc

[USA] Senate passes $1 trillion bipartisan infrastructure bill and $3.5 trillion reconciliation package

On August 10, 2021, the Senate passed a $1 trillion bipartisan infrastructure bill, called the Infrastructure Investment and Jobs Act, in a 69-30 vote with the support of 19 Republicans.[1] The bill includes $73 billion in grid modernization and $7.5 billion for electric vehicle charging infrastructure. The bill now needs to pass the House. Following the passage of the infrastructure bill, the Senate passed a $3.5 trillion budget reconciliation package early on August 11, 2021, in a 50-49 vote before the chamber adjourned for summer recess.[2] Budget reconciliation is a special process to make legislation easier to pass in the Senate.[3] Instead of 60 votes to pass, reconciliation bills only need a simple majority. According to a summary released by Senate Democrats, the reconciliation package includes a clean electricity payment program, a clean energy technology accelerator, consumer rebates for electrification, and clean energy tax credits.[4]

[1] https://www.npr.org/2021/08/10/1026081880/senate-passes-bipartisan-infrastructure-bill

[2] https://www.npr.org/2021/07/14/1016052307/democrats-budget-deal-would-invest-in-the-child-tax-credit-health-care-and-clima

[3] Budget reconciliation is set up to expedite the passage of certain budgetary legislation, specifically spending, revenue, and the federal debt limit. Only policies that change these categories can be included. In contrast to most other legislation, senators cannot use the filibuster to prevent consideration of a reconciliation bill. Once passed in the Senate, the bill goes to the House where typical rules still apply.

[4] https://www.democrats.senate.gov/imo/media/doc/MEMORANDUM%20for%20Democratic%20Senators%20-%20FY2022%20Budget%20Resolution.pdf

[USA] Report: Transmission for renewables and offshore wind in PJM may cost as much as $3 billion

According to a study published by PJM Interconnection on August 10, 2021, an estimated $627.3 billion to $3.2 billion of transmission upgrades will be necessary to help states in the region meet their offshore wind goals and renewable procurement standard (RPS) requirements over the next decade and a half.[1] The study is in response to a 2019 request by the Organization of PJM States, a group of regulators that represents the 13 states[2] within PJM’s footprint. The study aimed to identify the cost and location of the transmission upgrades needed to support the renewable energy buildouts required to meet states’ clean energy goals. The PJM study simulated the transmission investments required to meet state goals in 2027 and 2035, with six scenarios overall.

The study does not quantify the benefits of transmission upgrades, but it does mention that the transition to cleaner energy will reduce greenhouse gases and lead to consumer benefits through lower energy costs. PJM also noted that while the study includes the costs of onshore transmission, it does not include lead lines or other offshore facilities. PJM highlighted that transmission investments increase significantly between the 2027 and 2035 scenarios in line with state RPS requirements.

[1] https://www.pjm.com/-/media/committees-groups/committees/teac/2021/20210810/20210810-item-10-offshore-transmission-study-group-phase-1-results.ashx

[2] PJM is in all or parts of Delaware, Illinois, Indiana, Kentucky, Maryland, Michigan, New Jersey, North Carolina, Ohio, Pennsylvania, Tennessee, Virginia, West Virginia and the District of Columbia.

[USA] DC Circuit orders FERC to redo analysis for Texas LNG projects

On August 3, 2021, a panel of U.S. Court of Appeals for the D.C. Circuit judges unanimously ruled that the Federal Energy Regulatory Commission (FERC) did not go far enough in considering environmental justice and climate impacts in its 2019 approval of the Rio Grande and Texas liquified natural gas (LNG) projects.[1] When the commission did its environmental review of the projects, it found that it could not determine the impacts the projects would have on the climate crisis because there is no universal methodology for calculating the impacts. However, petitioners said that FERC could use the social cost of carbon or another generally accepted metric to evaluate the impacts of the projects. In his dissent of FERC 2019 approval, Chairman Richard Glick, who was a commissioner at the time, argued that under federal law, the commission was not allowed to "assume away" the impacts of these projects and that the commission's assessment was inadequate.

The judges found that FERC's analyses of the projects' impacts on climate change and low-income or minority communities in Cameron County, Texas, were "deficient" under the National Environmental Policy Act, the Natural Gas Act, and the Administrative Procedure Act. The panel did not vacate FERC's approval of the projects, though. Instead, the court's decision remands the decision back to the commission to review again.

[1] https://www.cadc.uscourts.gov/internet/opinions.nsf/1F97B59429C7D4F6852587260052CC71/$file/20-1045-1908759.pdf

[USA] ADNOC sells first blue ammonia cargo to Japan's Itochu

On August 3, 2021, Abu Dubai National Oil Company (ADNOC), the state-owned oil company of the UAE, announced that, in partnership with Fertiglobe, it had sold its first blue ammonia cargo to Itochu in Japan to be used in fertilizer production.[1] The agreement builds upon the Japanese Ministry of Economy, Trade and Industry's (METI) first fuel ammonia deal in cooperation with ADNOC in January 2021 to support the development of new UAE-Japan blue ammonia supply chains. Blue ammonia can be used as a low-carbon fuel in many different industrial applications, including transportation, power generation, and steel production, among other things. As a carrier fuel for hydrogen, which is hard to transport in its natural state, blue ammonia is expected to play an important part in Japan’s ongoing efforts to decarbonize its industrial sector.

In a statement, Masaya Tanaka, Executive Officer of Itochu Corp, said, "Starting with this trial of blue ammonia for fertilizer applications, we aim to create a wide range of ammonia value chains for existing industrial applications as well as future energy use. By collaborating with ADNOC and Fertiglobe, we expect to initiate and enhance our industrial portfolio in the fertilizer sector while achieving our commitments towards decarbonization activities in other industries."

Fertiglobe, a 58:42 partnership between Dutch chemicals company OCI and ADNOC, will produce blue ammonia at its Fertil plant in the Ruwais Industrial Complex in Abu Dhabi for delivery to ADNOC's customers in Japan. The Fertil plant has a production capacity of 1.2 million mt/year of ammonia and 2.1 million mt/year of urea. While the plant produces ammonia that is usually defined as “grey” ammonia, it will be fitted with CO2 liquefaction units. CO2 will then be transferred to and reinjected into underground reservoirs by the ADNOC Al Reyadah carbon capture and storage (CCUS) plant to enable the production of blue ammonia.

[1] https://www.adnoc.ae/en/news-and-media/press-releases/2021/adnoc-and-fertiglobe-partner-to-sell-uaes-first-blue-ammonia

[USA] Exelon subsidiary announces goal to achieve net-zero emissions by 2050

Exelon Utilities, a subsidiary of Exelon Corporation, announced its "Path to Clean" goal on August 4, 2021, which includes reducing its operations-driven emissions by 50% by 2030 compared to 2015 levels, and reach net-zero by 2050 as part of its efforts to address climate change.[1] Exelon Utilities is comprised of six utilities: Atlantic City Electric, Baltimore Gas & Electric (BGE), Commonwealth Edison (ComEd), Delmarva Power, PECO, and Potomac Electric Power Company (PEPCO). Together, the utilities deliver electricity and gas to more than 10 million customers across five states and the District of Columbia. Exelon Corporation has previously met or exceeded three other emissions reduction goals spanning both its generation company and utilities.

Exelon Utilities' plans to meet the new goal include electrifying 30% of its vehicle fleet by 2025 and 50% by 2030, concentration technology and infrastructure investments on increasing energy efficiency and utilizing clean electricity for operations, and modernizing natural gas infrastructure to reduce methane leaks and increase safety and reliability. In addition, Exelon Utilities will aim to reduce emissions beyond its company by continuing to advocate for climate policies, partnering with state and local leaders to achieve community emissions goals, and piloting new grid technologies. The company will also continue to prioritize energy efficiency programs, which it says helped customers save money on their energy bills and reduced usage by 22.3 million MWh in 2020.

[1] https://www.exeloncorp.com/newsroom/exelon-utilities-announces-goal-to-achieve-net-zero-emissions-by-2050

[USA] FirstEnergy agrees to pay $230 million fine for bribing Ohio officials

On July 22, 2021, FirstEnergy Corporation announced that it had reached a settlement agreement with the U.S. Attorney’s Office for the Southern District of Ohio to pay a $230 million penalty for bribing Ohio officials to guarantee the passage of Creates Ohio Clean Air Program (HB-6).[1][2] Passed on July 23, 2019, HB-6 created a ratepayer-funded $1.5 billion subsidy for two northern Ohio nuclear power plants previously owned by FirstEnergy and two coal-fired plants on the Ohio River jointly owned by the state's utilities. When the bill was being considered, FirstEnergy strongly lobbied for the passage of HB-6 and said that it would otherwise have to prematurely close the two nuclear plants. According to the federal disclosure, FirstEnergy cooperated with federal investigators to disclose bribing state officials through dark money groups to get HB-6 passed. FirstEnergy and its subsidiaries donated $59 million between 2017 and 2020 to Generation Now, a group controlled by then-Speaker of the Ohio House of Representatives Larry Householder (R). The company set up a group called Partners for Progress in February 2017 as a 501(c)(4), which are registered lobbying entities, through which it directed $25 million "to entities associated with public officials" over two years.

The U.S. Attorney's Office for the Southern District of Ohio charged FirstEnergy for conspiring to commit honest services wire fraud. The charge will be dismissed so long as FirstEnergy cooperates with the government for the three-year period of the settlement agreement. FirstEnergy must disclose all political donations, including those made to dark money groups, during the three-year period of the agreement. In addition, the agreement requires the company to take other steps such as establishing an executive director role for the Board of Directors and hiring a new chief legal officer.

[1] https://www.firstenergycorp.com/newsroom/news_articles/firstenergy-reaches-agreement-to-resolve-department-of-justice-i.html

[2] https://www.justice.gov/usao-sdoh/pr/firstenergy-charged-federally-agrees-terms-deferred-prosecution-settlement

[USA] Electric Highway Coalition doubles membership

On July 26, 2021, the Electric Highway Coalition (EHC) announced that its membership has more than doubled since its founding and now includes 14 companies.[1] The EHC is a partnership committed to creating a network of DC fast charging stations along U.S. highway routes to enable long-distance electric vehicle (EV) travel. The original members of the EHC were American Electric Power, Dominion Energy, Duke Energy, Entergy Corporation, Southern Co., and the Tennessee Valley Authority. The new members are AVANGRID, Consolidated Edison, DTE Energy, Eversource Energy, Exelon, FirstEnergy Corp., ITC Holdings Corp., and National Grid. Together, the coalition members represent 29 states and the District of Columbia and serve more than 60 million customers.

The EHC initially announced plans to create a network of DC fast charging stations in March 2021. The recent announcement included further defining the coalition’s goals and objectives. Coalition members have agreed to cooperate to ensure reliable fast charging deployment plants that will allow for long-distance EV travel, avoid duplicating charging infrastructure between member utilities, and complement existing corridor fast charging sites. One goal is to set up sites that are easily accessible and located less than 100 miles apart, with at least two charging stations with universal vehicle compatibility in each area. Member companies will also consider additional features such as real-time status reporting for drivers and convenient payment collection. The EHC noted that effective EV charging buildout will vary from area to area, and its members are working closely with stakeholders in their service territories to determine the best approaches. Each member will determine its own specific pricing models and choose its own charging equipment providers.

[1] https://www.aep.com/news/releases/read/7190/Electric-Highway-Coalition-Grows-to-14-Members-More-Than-Doubling-Participation

[USA] Biden issues National Security Memorandum on critical infrastructure cybersecurity

On July 28, 2021, President Joe Biden signed a National Security Memorandum on improving critical infrastructure cybersecurity.[1] The memorandum aims to encourage critical infrastructure owners and operators to voluntarily adopt better cybersecurity standards. The memorandum specifically focuses on industrial control systems (ICS), which monitor, regulate, and automate operational technologies (OT). Compromised ICS and OT can enable attackers to cause physical damage to systems and even widespread outages.

The memorandum formalizes the ICS Cybersecurity Initiative, which was launched in April 2021 and included a pilot program for the electricity sector. The pilot program is a voluntary, collaborative effort between the federal government and the electricity sector to improve the cybersecurity of these systems. So far, more than 150 utility companies have joined the pilot. A separate pilot is being developed for natural gas pipelines later in 2021, followed by plans for the chemical industry and waste-water treatment plants. The memorandum also directs the Departments of Commerce and Homeland Security (DHS), in coordination with the Secretary of Commerce (through the Director of the National Institute of Standards and Technology) and other agencies, to develop and issue cybersecurity performance goals to help critical infrastructure owners and operators improve their individual capabilities.

[1] https://www.whitehouse.gov/briefing-room/statements-releases/2021/07/28/national-security-memorandum-on-improving-cybersecurity-for-critical-infrastructure-control-systems/

[USA] Coalition sues Alaska governor to return money rural energy program

On July 19, 2021, a coalition that includes the Alaska Federation of Natives, electric cooperatives, and several local governments[1] filed a lawsuit against Alaska Governor Mike Dunleavy (R) to demand that his administration release money intended to subsidize power bills in rural Alaska.[2] The Power Cost Equalization Endowment Fund is a program that reduces rural customers' electric rates to levels comparable to those paid in urban areas of Alaska. The program reimburses utilities for credits they extend to customers. The Power Cost Equalization Endowment Fund serves more than 80,000 citizens who are largely reliant on diesel for power generation. According to the Department of Revenue, the fund was valued at about $1.2 billion as of June 30, 2021.

The lawsuit claims that in 2019 the Dunleavy administration identified without "any legal explanation or justification" a larger list of accounts, including the Power Cost Equalization Endowment Fund, to be swept into the budget reserve compared to previous administrations. A budget reserve is a fund set aside to meet short-term deficits. The sweep happens automatically, and actions to reverse it and return funds to the accounts require three-quarters of legislators to pass. The legislature did not meet the three-quarter vote requirement in June 2021 amid a budget dispute. The attorney for the plaintiffs said that issue isn't with the failed vote but with the administration's decision to sweep money from the endowment fund into the budget reserve.

[1] Alaska Federation of Natives, First Alaskans Institute, Association of Village Council Presidents, Aleutians East Borough, Organized Village of Kake, City of Saint Paul, City of Adak, City and Borough of Yakutat, City of Sand Point, Alaska Village Electric Cooperative, Inn Electric Cooperative, Inside Passage Electric Cooperative, Kotzebue

Electric Association, Naknek Electric Association, Nushagak Electric & Telephone Cooperative, Unalakleet Valley Electric Cooperative, Cordova Electric Cooperative, and Tanalian Electric Cooperative

[2] https://public.courts.alaska.gov/web/media/MRCF/3AN-21-06737CI/complaint.pdf

[USA] House Democrat launches "Hot FERC Summer" campaign, introduces new legislation for FERC

On July 20, 2021, Representative Sean Casten (D-IL) launched the "Hot FERC Summer" campaign aimed at boosting the Federal Energy Regulatory Commission's (FERC) visibility in Congress.[1] Hot FERC Summer is a play on rapper Megan Thee Stallion's 2019 song "Hot Girl Summer." The campaign is also intended to highlight the need for President Biden to name a Democratic commissioner to FERC to give Democrats a majority on the commission for the first time in years.

The campaign was launched alongside the Energy PRICE Act, a policy that clarifies that FERC has the responsibility to consider the cost of greenhouse gas (GHG) emissions in ratemaking decisions. The legislation is co-sponsored by Representatives Jared Huffman (D-CA), Mike Levin (D-CA), and Suzanne Bonamici (D-OR). It points out that under the Federal Power Act (FPA), Congress granted FERC the authority and responsibility to include GHG emissions and other external factors when considering what rates are just and reasonable. Under this policy, FERC could conclude that it has the authority to implement a carbon price in U.S. wholesale power markets. In addition to the Energy Price Act, Rep. Casten has plans to introduce or has introduced two other FERC-related bills. The congressman plans to reintroduce the Right to Timely Rehearings at FERC Act, intended to expedite the rehearing process. Additionally, in April 2021, Rep. Casten and Sen. Martin Heinrich (D-NM) introduced the Interregional Transmission Planning Improvement Act to improve regional transmission planning.[2]

[1] https://casten.house.gov/media/press-releases/congressman-casten-kicks-hot-ferc-summer-introduction-energy-price-act-and

[2] https://casten.house.gov/media/press-releases/casten-heinrich-announce-bicameral-bill-recharge-electric-transmission-planning

[Japan] Japan sets new 2030 target for renewables

Japan's Ministry of Economy, Trade and Industry (METI) released a draft of its latest energy policy on July 21, 2021, which includes raising the share of non-fossil fuels for electricity generation to about 60% of total production by fiscal 2030—2.5 times the current level.[1] The first revision of the energy policy comes after Japan nearly doubled its 2030 target in April 2021 to 46% from 26% from 2013 levels. Mitsuhiro Nishida, METI’s director of energy strategy office, said that the revised 2030 energy plan is an "ambitious outlook on what needs to be done to fulfill the 46% reduction target.”[2] The policy draft says renewables should account for 36% to 38% of total power production by 2030, up from 22% to 24% in the previous plan. The draft plan keeps the target for nuclear power at 20% to 22% in 2030. Renewables and nuclear power made up 18% and 6% of total power generation in fiscal 2019, respectively. The draft basic energy policy also projects that ammonia and hydrogen will account for about 1% of the electricity mix in 2030. The new draft also reduces the share of fossil fuels compared to the previous plan. Under the new plan, the share of coal in the country's portfolio will be 19% in 2030, down from 32% in 2019. Similarly, the draft reduces natural gas and oil targets to 20% and 2%, respectively, down from 37% and 7% in 2019.

[1] https://www.reuters.com/business/energy/japan-boosts-renewable-energy-target-2030-energy-mix-2021-07-21/

[2] https://www.spglobal.com/platts/en/market-insights/topics/hydrogen