The Biden administration on Thursday finalized a rule aimed at expediting federal permits for major transmission lines as part of a broader effort to expand America’s electric grids.
Officials in the administration are increasingly concerned that their strategies to combat climate change could face obstacles unless the country can swiftly increase grid capacity to accommodate more wind and solar energy and better withstand extreme weather events. The construction of high-voltage power lines has significantly slowed since 2013, and building new lines can take a decade or more due to permitting delays and local opposition.
The Energy Department is working to allocate around $20 billion towards grid upgrades and to simplify approvals for new lines using the resources available to them. However, experts suggest that a rapid, large-scale grid expansion may ultimately require action from Congress.
The rule announced on Thursday would designate the Energy Department as the lead agency responsible for federal environmental reviews for specific interstate power lines and aims to issue necessary permits within two years. Currently, the federal approval process can take four years or more, involving multiple agencies conducting separate reviews.
“We need to build new transmission projects more quickly, as everybody knows,” stated Energy Secretary Jennifer Granholm. The new reforms represent “a significant improvement from the current situation, where developers often have to navigate multiple independent permitting processes across the federal government.”
The changes to permitting would impact only lines that necessitate federal review, such as those crossing federally owned land. Such projects accounted for 26% of all transmission line miles added between 2010 and 2020. Developers would need to establish a plan to engage with the public earlier in the process to qualify.
Experts believe the change could have a notable impact on power lines in the Western US, where federal government ownership of nearly half the land can complicate permitting. It took developers 17 years to gain approval for the SunZia line, designed to connect a large wind farm in New Mexico to residences and businesses in Arizona and California.
“Federal permitting isn’t the sole obstacle to transmission, but reducing timelines by even a year, and having fewer projects lasting a decade or more, would be a significant victory,” said Megan Gibson, chief counsel at the Niskanen Center.
The rule would not impact state environmental reviews, which can pose a major challenge to transmission developers facing complaints and lawsuits regarding views and ecosystem damage.
Other changes in grid policy could be forthcoming.
The Federal Energy Regulatory Commission is expected to finalize a rule in May that would encourage utilities and grid operators to engage in more long-term transmission planning, a practice currently uncommon. Depending on the rule’s specifics, it could help resolve disputes between states over who should bear the costs of new transmission lines, a common obstacle.
Separately, the Department of Energy is working to help utilities increase capacity on the existing grid using technologies like sensors, advanced controls, and advanced conductors. The department is offering $3.9 billion in funding for these solutions and others.
Many of these technologies could be implemented within a few years, providing time for developers to construct the larger transmission lines needed in the future.
Congress has granted federal regulators the authority to override objections from states for certain power lines deemed to be in the national interest, a potentially contentious move. The Biden administration has not yet exercised this power but is identifying potential qualifying sites.
“We’ve been maximizing our current capabilities,” said Maria Robinson, head of the Energy Department’s Grid Deployment Office.
However, experts assert that expanding the grid further without congressional assistance is limited. Lawmakers have struggled to agree on reforms thus far.
Democrats in Congress have proposed bills for greater grid connectivity and permitting authority for federal regulators, while some utilities and Republicans criticize these proposals for diminishing state control.
Energy companies have requested permitting reforms from Congress to impose stricter time limits on challenges and lawsuits from project opponents, though environmentalists express concerns over potential benefits to fossil fuel projects.
David Crane, under secretary for infrastructure at the Energy Department, expressed at a recent conference a desire for permitting reform from Congress to advance renewable energy and transmission projects.
“Without permitting reform, we hinder new zero-carbon energy sources,” Crane stated, addressing concerns that reform could lead to increased fossil fuel infrastructure.
