[USA] DOE report: coal plant sites could host 265 GW of advanced nuclear

According to a new report released by the Department of Energy on September 13, 2022, about 80% of operating and recently retired coal-fired power plant sites could host an advanced nuclear power reactor, with nearly 265 GW in total potential nuclear capacity.[1] The report, titled Investigating Benefits and Challenges of Converting Retiring Coal Plants into Nuclear Plants, was prepared by researchers from the Argonne, Idaho, and Oak Ridge national laboratories and looked at the feasibility of a coal-to-nuclear (C2N) transition. The report identified 190 operating coal plant sites that could host 198.5 GW of nuclear capacity and 125 recently retired plant sites that could handle 64.8 GW of nuclear capacity. According to the Federal Energy Regulatory Commission (FERC), the U.S. has about 100 GW of existing nuclear capacity, accounting for 8.2% of all generating capacity in the U.S.

In a case study examining the impacts and potential outcomes of replacing a 1.2 GW coal plant with nuclear, the report found that reusing infrastructure from the coal plant sites could reduce the overnight cost of capital of a nuclear facility by 15% to 35% compared with a greenfield construction project. In the case study, the report also found that regional economic activity could increase by as much as $275 million and add 650 new, permanent jobs to the region of analysis.

[1] https://fuelcycleoptions.inl.gov/SiteAssets/SitePages/Home/C2N2022Report.pdf

[USA] New England states launch effort to connect offshore wind to the grid

On September 1, 2022, five New England states—Massachusetts, New Hampshire, Connecticut, Rhode Island, and Maine— launched an effort to help connect offshore wind projects and other carbon-free resources to the power grid over the next three decades.[1] In a joint request for information (RFI), the states requested comments on how to limit the costs of transmission for consumers, where new power lines should be located, and how environmental justice and equity impacts should be considered. The states hope to speed up the process for building new power lines and related infrastructure and to make use of funding programs established by the Bipartisan Infrastructure Law (BIL). Although Vermont, the only state in New England without a coastline, is not participating in the joint initiative, it will remain an observer and supports the objectives of the initiative.

Currently, the New England states have about 8.3 GW of offshore wind under construction or in the permitting process. However, the RFI cited a 2020 study conducted by ISO New England (ISO-NE) that indicated the region could only add up to 5.8 GW of offshore wind without major new transmission reinforcements on land. “Any significant quantity of offshore wind beyond that amount may not be able to interconnect into the regional grid without significant transmission upgrades,” the RFI said. “In addition, the most easily accessible interconnection points along the southern New England coast are already at or beyond their full capacity with those offshore wind projects under contract or review.” Comments on the RFI are due October 14, 2022.

[1] https://newenglandenergyvision.files.wordpress.com/2022/09/transmission-rfi-notice-of-proceeding-and-scoping.pdf

[USA] MISO opens energy and operating reserves markets to storage

On September 6, 2022, the Midcontinent Independent System Operator (MISO) announced that Electric Storage Resources (ESRs) are now eligible to participate in its energy and operating reserve markets for the first time.[1] According to the press release, the new resource type has operational characteristics that support reliability and resilience. ESRs include batteries, pumped storage facilities, and compressed air energy storage. Although a “nominal” amount of storage capacity is currently registered, MISO’s generator interconnection queue shows that more than 150 energy storage projects (about 13,300 MW of capacity) are in development. “We are excited to see this space grow with increasing member interest and participation, particularly as we continue to adapt to the accelerating resource transition,” said Jessica Lucas, MISO’s executive director of system operations. “With the introduction of Electric Storage Resources to our market portfolio, we will continue to position MISO’s grid and its members for the Grid of The Future.”

The integration of these resources follows the Federal Energy Regulatory Commission’s (FERC) Order 841, which directed grid operators to remove barriers to market participation for storage resources. MISO had previously requested to delay the compliance deadline until 2025, but FERC denied that request.

[1] https://www.misoenergy.org/about/media-center/miso-introduces-electric-storage-resource-to-market-portfolio/

[USA] DOE announces initiative to cut enhanced geothermal costs by 90% by 2035

On September 8, 2022, Department of Energy (DOE) Secretary Jennifer M. Granholm announced the Enhanced Geothermal Shot, the fourth shot announced in the DOE’s Energy Earthshots Initiative.[1] The Enhanced Geothermal Shot aims to make enhanced geothermal systems (EGS) a widespread renewable energy option by cutting the cost of the technology by 90% to $45/MWh by 2035. EGS extracts heat by creating a subsurface fracture system to which water can be added through injection wells. Unlike present geothermal generation, which comes from hydrothermal reservoirs and is limited in geographic application, EGS could extend the use of geothermal resources to larger areas. According to the press release, more than five terawatts of heat resources exist in the U.S.

The DOE is investing in research and development to help reach the Enhanced Geothermal Shot goals. Recent investments include $44 million to help spur EGS innovations for DOE’s Frontier Observatory for Geothermal Energy Research (FORGE) field laboratory and up to $165 million to transfer best practices from oil and gas to advance both EGS and conventional geothermal. The Bipartisan Infrastructure Law (BIL) also included $84 million in funding to support four pilot EGS demonstration projects. Similar to its other Energy Earthshots Initiatives, the DOE plans to hold an Enhanced Geothermal Shot Summit.

[1] https://www.energy.gov/articles/doe-launches-new-energy-earthshot-slash-cost-geothermal-power

[USA] First Solar to invest $1.2B to expand its U.S. business following enactment of IRA

On August 30, 2022, First Solar said it will invest up to $1.2 billion to expand its U.S. manufacturing and grow its domestic footprint following the enactment of the Inflation Reduction Act (IRA), which included long-term tax incentives for solar energy.[1] “In passing the Inflation Reduction Act of 2022, Congress and the Biden-Harris Administration has entrusted our industry with the responsibility of enabling America’s clean energy future and we must meet the moment in a manner that is both timely and sustainable,” said Mark Widmar, chief executive officer of First Solar.

The company plans to scale up operations of its annual production capacity from 6 GW to over 10 GW by 2025. First Solar intends to build its fourth fully integrated domestic factory, with an annual capacity of 3.5 GW, in the Southeast. The company expects to invest up to $1 billion and start operations in 2025.  In addition, First Solar will invest $185 million in upgrading and expanding its Northwest Ohio manufacturing footprint by nearly 1 GW. It will also invest in expanding the capacity of its two operating facilities in Ohio and expand a third Ohio factory that is expected to be commissioned in the first half of 2023. The expansion will bring the company’s total investment in the state to more than $3 billion, with a cumulative annual production capacity of just over 7 GW by 2025.

[1] https://investor.firstsolar.com/news/press-release-details/2022/First-Solar-to-Invest-up-to-1.2-Billion-in-Scaling-Production-of-American-Made-Responsible-Solar-by-4.4-GW/default.aspx

[USA] Maine Supreme Court rules in favor of Avangrid’s transmission project

In a unanimous decision, the Maine Supreme Court ruled on August 30, 2022, that the November 2021 Maine referendum blocking the New England Clean Energy Connect (NECEC) is likely unconstitutional.[1] The NECEC is a $1 billion, 145-mile electric transmission line project that will carry Canadian hydropower through Maine to Massachusetts. Project developer Central Maine Power Co. (CMP), a subsidiary of Avangrid, had to stop construction of the transmission line project after 59% of Maine voters approved a referendum blocking the project in November 2021. The law bans major transmission lines from the area where the project would be built and requires two-thirds legislative approval for projects on state land retroactive to 2014.

In its decision in NECEC Transmission LLC, et al., v. Bureau of Parks and Lands, et al., the court said the ballot violated the developers’ constitutional rights by retroactively imposing new requirements on a permit previously issued by the Maine Public Utilities Commission. If Avangrid can show that it engaged in substantial construction on NECEC before voters approved the ballot, it can move ahead with the project. The Maine Supreme Court remanded the case back to a lower court to decide whether Avangrid meets the conditions for having the right to build the project.

[1] https://law.justia.com/cases/maine/supreme-court/2022/2022-me-48.html

[USA] WPP files with FERC to approve resource adequacy program

On August 31, 2022, the Western Power Pool (WPP) filed with the Federal Energy Regulatory Commission (FERC) to approve the Western Resource Adequacy Program (WRAP).[1] The WRAP is the region's first region-wide reliability planning and compliance program. Southwest Power Pool (SPP) will be the program operator, providing technical support. So far, 26 utilities from the northwest, parts of the desert southwest, Canada, and northern California have joined the non-binding program. These utilities include Avangrid, NVEnergy, PacifiCorp, and Portland General Electric. Together, these utilities have a 72,000 MW summertime peak load across ten states and one Canadian province. Participants can enter the binding program starting in Summer 2025.

The WRAP will set a regional reliability metric and use a consistent approach for accounting resources. Participants must show they have brought their “fair share” of regional capacity for the upcoming season seven months in advance. The program also includes a real-time component to be used during critical conditions. Through this, participants with excess capacity, based on near-term conditions, will share resources with those with a deficit. WPP hopes that FERC will give its approval by the end of 2022.

[1] https://www.westernpowerpool.org/news/western-power-pool-marks-major-milestone-files-wra

[USA] FERC approves extension for Mountain Valley pipeline

On August 18, 2022, the Federal Energy Regulatory Commission (FERC) extended the permit for the Mountain Valley natural gas pipeline project by four years.[1] The $6.6 billion project is being built by a joint venture of Equitrans Midstream, NextEra Energy, Consolidated Edison, AltaGas, and RGC Resources. The pipeline will run 304 miles from northwestern West Virginia to southern Virginia and deliver 2 billion cubic feet of gas daily to the Southeast. Construction on the project has been slowed by several court decisions rejecting federal permits. When FERC initially approved the pipeline in 2017, it said the project had to be operating by October 2020. However, in August 2020, FERC extended the permit deadline to October 13, 2022. With the most recent extension, the project must be completed by mid-October 2026. In its decision, FERC unanimously ruled that the basis for its findings in its initial 2017 approval remained the same. The commission rejected calls to conduct a supplemental environmental analysis. Equitrans now expects to complete the Mountain Valley project in the second half of 2023. Currently, the project is roughly 94% complete.

[1] https://elibrary.ferc.gov/eLibrary/filelist?accession_number=20220823-3076&optimized=false

[Japan] PM Kishida considers development of new nuclear reactors

On August 24, 2022, Japanese Prime Minister Fumio Kishida said the country will restart more idled nuclear power plants and consider developing safer, smaller nuclear reactors, signaling a renewed emphasis on nuclear energy a decade after the Fukushima disaster.[1] PM Kishida also said the government would look at extending the lifespan of existing reactors. The prime minister made the announcement at a "green transformation" conference focused on the country’s efforts to meet its environmental goals. The statement represents a policy shift; previously, the Japanese government has said it was not considering building new plants or replacing aging reactors.

Following the Fukushima nuclear plant disaster in 2011, most of Japan's nuclear power plants were taken offline for safety checks under tightened standards. Since then, utilities have set more than 20 reactors for decommissioning. Of the 33 reactors, 25 have been screened for safety checks by the Nuclear Safety Authority (NRA). Seventeen have been approved, but only ten have restarted. Japan’s government has previously announced plans to speed up restarts. It aims to have up to nine reactors restarted by winter 2022 to cope with energy constraints and to restart seven other reactors after summer 2023. The government also aims to extend the life of aging reactors to beyond 60 years from the initial 40 years.

[1] https://www.reuters.com/world/asia-pacific/japan-pm-call-development-construction-new-generation-nuclear-power-plants-2022-08-24/

[USA] Dominion threatens to abandon 2.6 GW offshore wind project

In a rehearing request filed with the Virginia State Corporation Commission (SCC) on August 22, 2022, Dominion Energy Virginia said it will abandon its planned 2.6 GW offshore wind farm if regulators do not reverse their decision to set a performance guarantee requirement for the project.[1] The 2.6 GW Coastal Virginia Offshore Wind project will include 176 wind turbines located about 27 miles off the coast of Virginia Beach and has an expected capital cost of $9.8 billion. On August 5, 2022, the SCC approved the project with a rate rider for recovering the cost of the project and related onshore transmission facilities. Under this decision, Dominion’s customers must be held harmless for any shortfall in energy production below the project’s expected 42% average annual capacity factor, measured on a three-year rolling average. According to the utility’s filing, “There is no precedent in the record of any utility being forced to take on an obligation of this nature to guarantee a capacity factor for its generating units over their entire life or, equally importantly, to insure against the risk of events beyond the utility’s control and its reasonable or unreasonable conduct.”

The SCC accepted Dominion’s rehearing request on August 24, 2022, and said the utility could begin recovering costs related to the project using a special rate rider. Opposing parties in the proceeding must respond to the rehearing request by September 13, 2022. The utility can reply to these submissions by September 22, 2022.

[1] https://scc.virginia.gov/docketsearch/DOCS/7ndt01!.PDF

[USA] California governor proposes keeping Diablo Canyon nuclear plant open an additional five to ten years

On August 12, 2022, California Governor Gavin Newsom (D) officially proposed keeping the two units of the Diablo Canyon nuclear power plant online until 2029 and 2030, with the possibility of extending the plant’s life through 2035.[1] The 2.2 GW Diablo Canyon Power Plant is California’s only nuclear power plant and provides nearly a tenth of the state’s electrical power. In 2018, state regulators approved a plan to retire the units in 2024 and 2025. However, stakeholders have recently been exploring the benefits of keeping the plant open longer. According to the governor’s office, a limited term extension for the nuclear plant is necessary to ensure reliability as the state achieves its goal to decarbonize its grid by 2045.

The proposed legislation would direct the California Public Utilities Commission to keep the plant’s two units online through 2029 and 2030 and decide by 2026 whether to keep the plant open longer. The proposed legislation includes a $1.4 billion loan from California’s general fund to Pacific Gas & Electric (PG&E), the plant’s operator, to cover the cost of relicensing the plant. It also outlines the terms of the loan agreement, including conditions under which PG&E would have to repay the loan.

[1] https://apnews.com/article/california-legislature-gavin-newsom-climate-and-environment-4968ee9da7fd1d10ad67bfdf03950873

[USA] D.C. regulators approve Pepco’s 3-year energy efficiency and demand response program

On August 10, 2022, the District of Columbia Public Service Commission (PSC) approved the Potomac Electric Power Co.’s (Pepco) proposed Energy Efficiency and Demand Response (EEDR) Program to help reduce the amount of energy used by homes and businesses in the District.[1] Pepco will begin to implement the three-year EERD Program on January 1, 2023. The total budget for the program’s nine projects is approximately $92.4 million, with a third of the costs allocated to programs benefiting low- and moderate-income customers. The nine programs include the Efficient Products Program, Quick Home Energy Check-Up Program, Residential Behavior Based Program, Low- and Moderate-Income Home Energy Program, Commercial Behavior Based Program, Midstream Program, Existing Buildings Program, Low- and Moderate-Income Community Pilots, and Small Business Program.

According to the PSC, by the third year, the program is forecasted to achieve 226,831 MWh, or nearly 1%, in energy savings and cut CO2 emissions by about 181,000 metric tons. The PSC also approved Rider EEDR, a surcharge to recover program costs associated with the program based on usage and applied uniformly to all customers, excluding the utility’s Residential Aid Discount customers. Pepco will be required to file performance indicators, conduct program evaluations, and file semi-annual reports.

[1] https://edocket.dcpsc.org/apis/api/Filing/download?attachId=172220&guidFileName=2cb48217-3e48-4672-80dd-87518f756561.pdf

[USA] More than 30 organizations urge FERC to create a strong transmission planning rule

On August 16, 2022, a day before the comment deadline on the Federal Energy Regulatory Commission’s (FERC) Notice of Proposed Rulemaking (NOPR) on Regional Transmission Planning and Cost Allocation and Generator Interconnection, more than 30 organizations wrote a letter in support of a strong new planning rule that helps strengthen the nation’s transmission network.[1] The NOPR, released in April 2022, proposed reforming both FERC’s Open Access Transmission Tariff and Large Generator Interconnection Agreement to fix what the commission saw as deficiencies in existing regional transmission planning and cost allocation requirements. As written, the NOPR would require public utility transmission providers to undertake long-term regional transmission planning and consider dynamic line ratings and advanced power flow control devices more.

Organizations that signed the letter include utilities, consumers, nongovernmental organizations, think tanks, labor groups, national trade associations, equipment providers, clean energy buyers, transmission developers, builders and operators, independent power producers, and environmental organizations. The organizations emphasized that a better planned and integrated power system would help both in terms of consumer savings and reliability of service. Additionally, greater national rulemaking could trickle down into helpful regionalization. “The ability to move power across large areas helps deliver low-cost renewable energy, which is what consumers, utilities, and states are procuring,” the letter said.

[1] https://acore.org/macro-grid-initiative-letter-under-ferc-transmission-nopr/

[USA] EIA report: U.S. electricity sales to increase 2.5%, average residential price to increase 6.1%

According to the Energy Information Administration’s (EIA) August Short-Term Energy Outlook, U.S. electricity consumption will increase 2.5% in 2022 compared to 2021 due to economic growth and hot summer temperatures.[1] U.S. electric sales are expected to decrease 0.3% in 2023. The EIA forecast the U.S. average residential electricity price in 2022 will increase 6.1% compared to 2021, largely driven by rising natural gas prices. Residential electricity prices will average 14.6 cents/kWh in 2022 and 14.9 cents/kWh in 2023.

Average natural gas prices fell over June and July because of additional supply in the U.s. market after the shutdown of the Freeport LNG export terminal in June. However, prices increased at the end of July because of high demand from the electric power sector. The EIA projects that LNG exports will increase to 14% in 2022 compared to 2021. Natural gas consumption is also projected to rise by 3% from 2021 to 2022. Coal consumption is expected to decrease by 1% between 2021 and 2022 and 9% between 2022 and 2023. Renewable energy sources will make up 24% of total generation in 2023, compared to 20 percent in 2021.

[1] https://www.eia.gov/outlooks/steo/

[USA] Ford announces clean energy purchase with DTE Energy

On August 10, 2022, Ford Motor Co. announced that it has entered a clean energy power purchase agreement with DTE Energy.[1] Under the agreement, the utility will add 650 MW of new solar energy in Michigan for Ford, a nearly 70% increase in the amount of solar energy installed in Michigan. According to the press release, it is the largest corporate renewable energy purchase made with a utility in the U.S. DTE estimates that the construction of the solar arrays will create 250 temporary jobs and 10 permanent jobs. Through the agreement, every Ford vehicle manufactured in Michigan will be assembled with 100% clean energy by 2025, 10 years earlier than its company-wide goal.

Ford is purchasing clean electricity through the utility’s MIGreenPower program, one of the largest voluntary renewable energy programs in the U.S. To date, more than 600 businesses and 62,000 residential customers have enrolled in the MIGreenPower program. On an annual basis, program customers have enrolled 2.8 million MWh of clean energy in the program. The utility plans to add thousands of megawatts of new clean energy projects to support the program.

[1] https://media.ford.com/content/fordmedia/fna/us/en/news/2022/08/10/ford-motor-company-and-dte-energy.html

[USA] California adopts target of 25 GW of offshore wind by 2045

On August 10, 2022, the California Energy Commission (CEC) voted to adopt offshore wind energy preliminary planning targets of 2,000 MW to 5,000 MW by 2030 and 25,000 MW by 2045.[1] The upper end of the 2030 target range could come from a full build-out of Morro Bay Wind Energy Area (WEA) or a combination of a partial build-out of the Morro Bay WEA and Humboldt WEA. CEC staff proposed the goals in response to Assembly Bill 525, which was signed into law in September 2021 and required the CEC to develop planning goals and a strategic plan for offshore wind energy deployment in the state. The planning goals are an increase over the initial proposed goal of 10,000 MW to 15,000 MW goal by 2045. The increase follows a letter from Governor Newsom (D) urging regulators to establish a goal of at least 20 GW of offshore wind by 2045.[2] The new goal is the largest in the U.S. and exceeds New York’s plan to install 9,000 MW of offshore wind by 2035, previously the largest long-term target. CEC staff noted that the preliminary planning goals were designed to be potentially achievable but aspirational.

[1] https://www.energy.ca.gov/filebrowser/download/4361

[2] https://www.gov.ca.gov/wp-content/uploads/2022/07/07.22.2022-Governors-Letter-to-CARB.pdf?emrc=1054d6

[USA] Report: ISO-NE reserve margin may need to rise up to 300% by 2040 as more renewables are added

According to a report released by ISO New England (ISO-NE) on July 29, 2022, the grid operator’s reserve margin may need to increase from 15% to 300% by 2040 under some scenarios as more renewables are added to the grid and dispatchable generation is retired.[1] The Future Grid Reliability Study (FGRS), requested by New England Power Pool stakeholders, modeled a variety of decarbonization scenarios through 2040. The deep decarbonization scenario is based in part on assumptions used in Massachusetts’ 2050 Deep Decarbonization Roadmap Study. It includes the addition of 16 GW of offshore wind, 28 GW of solar, 600 GW of battery storage systems, and new transmission. Under this scenario, heating and transportation make up 20% and 18.6% of the grid operator’s total load, respectively.

In a modified deep decarbonization scenario where reliability criteria are met using only solar, wind, and storage, the transmission system would be challenged and would require 89,900 MW of those resources. Currently, ISO-NE has only 5,600 MW. The report concluded that ISO-NE “may require a significant amount of gas or stored fuels to support variable resources.” The report also found that the addition of new transportation and building electrification loads as part of decarbonization efforts will shift the grid to a winter-peaking system and require changes to planning processes. ISO-NE plans to issue a trio of appendices later in 2022 to address production cost, ancillary services, and resource adequacy. The second phase of the FGRS will consider the role of wholesale electricity markets.

[1] https://www.iso-ne.com/static-assets/documents/2022/07/2021_economic_study_future_grid_reliability_study_phase_1_report.pdf

[Japan] Mitsui and Mitsubishi cut value of their Sakhalin-2 LNG stakes by $1.7 billion

On August 2, 2022, major Japanese trade houses Mitsui & Co. and Mitsubishi Corp. said they had cut the value of their stakes in the Sakhalin-2 liquefied natural gas (LNG) project in Russia by a combined ¥217.7 billion ($1.7 billion), citing growing business uncertainty.[1] Mitsui and Mitsubishi cut their investment values by ¥136.6 billion to ¥90.2 billion and ¥81.1 billion to ¥62.3 billion, respectively, after Russian President Vladamir Putin signed a decree on June 30, 2022, to create a company to take over the rights and obligations of the project. Both companies said the move would have very little impact on their profits. Mitsui and Mitsubishi hold stakes of 12.5% and 10%, respectively, in the project.

The Japanese government has said that it will try to stay in the project but will move away from relying on Russian energy. Sakhalin-2 has an annual output capacity of about 10 million tons of LNG, with Japan importing around 6 million tons. Under the presidential decree, all assets rights linked to the project will be transferred to the new Russian company. Currently, state-owned Gazprom has a 50% plus one share stake in the project while Shell owns 27.5% minus one share, though in February 2022, Shell said it would exit the project.

[1] https://www.reuters.com/business/energy/japans-mitsui-mitsubishi-shave-17-bln-off-sakhalin-2-lng-stakes-2022-08-02/

https://www.japantimes.co.jp/news/2022/08/03/business/corporate-business/sakhalin-2-stakes-mitsui-mitsubishi/

[USA] NRC gives Vogtle approval to fuel up

On August 3, 2022, the Nuclear Regulatory Commission (NRC) issued a 103(g) letter giving Southern Nuclear Operating Company (SNC) approval to load fuel and begin the operation of its nuclear reactor at Vogtle Unit 3.[1] The reactor is one of two 1,117-MW Westinghouse AP1000 reactors SNC is building for owners Georgia Power, Oglethorpe Power, Dalton Utilities, and Municipal Electric Authority of Georgia (MEAG). The project is part of an expansion of the 2.4-GW Alvin W. Vogtle Electric Generating Plant in Burke County, Georgia. The approval from the NRC is a crucial step for the project. Vogtle is the only baseload nuclear construction project in the country, and its two new reactors are the first to be built and approved under the NRC’s Part 52 combined license process. They are also the first big reactors to be built in the U.S. in roughly 30 years. SNC’s parent company Southern Company expects Unit 3 to enter service in the first quarter of 2023, while Unit 4 will enter service in the fourth quarter of 2023.

[1] https://www.georgiapower.com/company/news-center/2022-articles/historic-nuclear-regulatory-commission-103g.html

[USA] MISO board approves $10.3 billion portfolio of long-range transmission projects

On July 25, 2022, the Midcontinent Independent System Operator (MISO) Board of Directors announced that they had approved a portfolio of long-range transmission projects for the Midwest subregion.[1] The $10.3 billion investment includes 18 transmission projects. According to MISO, this Tranche 1 portfolio is the first of four planned tranches in its Long-Range Transmission Planning (LRTP) process. The grid operator plans to follow this portfolio with another set of transmission projects for its northern and central areas, one for its southern region, and one to increase transmission capacity between its northern and southern areas. The projects are necessary to begin the integration of new generation resources outlined in MISO member and state plans as well as increase resiliency in the face of severe weather events.  

Analyses indicate that the Tranche 1 benefits will exceed costs, with a benefit-to-cost ratio of at least 2.2 for all resource zones in the grid operator's Midwest subregion. Benefits include congestion and fuel savings, avoided capital costs of local resource investment, avoided transmission investment, resource adequacy savings, avoided risk of load shed, and decarbonization. MISO used existing transmission corridors to plan this Tranche 1, which reduces the impact on local areas and communities, lowers construction costs, and shortens implementation time.

[1] https://www.misoenergy.org/about/media-center/miso-board-approves-$10.3-in-transmission-projects/