PolicyBrief
S. 465
119th CongressFeb 6th 2025
GRID Power Act
IN COMMITTEE

The GRID Power Act aims to expedite and improve the process of connecting new power projects to the electric grid, prioritizing those that enhance grid reliability and resilience.

John Hoeven
R

John Hoeven

Senator

ND

LEGISLATION

GRID Power Act: FERC Ordered to Fast-Track Grid Reliability Projects - New Rules in 90 Days

The "Guaranteeing Reliability through the Interconnection of Dispatchable Power Act" (GRID Power Act) aims to bolster the electric grid by speeding up connections for new power projects. The core idea? Get power plants that boost grid reliability online faster. The bill specifically targets the Federal Energy Regulatory Commission (FERC), giving them a 90-day deadline to rewrite the rulebook on how new power projects get connected to the grid.

Power Up, Power Down: Interconnection Queue Overhaul

The GRID Power Act focuses on changing the "interconnection queue" – basically, the waiting list for power projects to hook up to the grid. Right now, it's often a first-come, first-served situation. This bill wants to change that. It allows transmission providers (the companies that run the high-voltage power lines) to propose tweaks to their queues, bumping up projects that improve "grid reliability" or "grid resilience" (SEC. 2). Think of it like getting express lane access for power plants deemed critical to keeping the lights on, especially during emergencies or extreme weather.

Show Your Work: Justifying the Jump

This isn't a free pass, though. Transmission providers have to prove that prioritizing certain projects will actually make the grid stronger (SEC. 3). They'll need to explain their reasoning, take public comments, and regularly report to FERC on how they're boosting reliability and resilience. FERC gets 60 days to approve or deny these fast-track requests, keeping things moving (SEC. 3). The whole regulatory framework gets a review every five years to adapt to new challenges (SEC. 3).

Real-World Rollout: Who Benefits, Who Waits?

Imagine a solar farm with battery storage – a project that can provide power even when the sun's not shining. Under this bill, that project might jump ahead of, say, a wind farm without storage, if the transmission provider argues the battery storage is more crucial for reliability. Or consider a rural electric cooperative that can demonstrate a new natural gas plant is essential to prevent blackouts in their area – they could potentially get priority connection. The bill defines "dispatchable power" as a source that can provide a "predictable amount of power when needed" (SEC. 2). This could be interpreted to favor certain types of generation, like natural gas, over others, like wind or solar without storage. The key takeaway: this definition, and how transmission providers apply it, will be critical.

The Fine Print: Potential Pitfalls

While the goal is admirable (who doesn't want a reliable grid?), there are a few things to watch. The 60-day review period for FERC might be tight, especially for complex proposals. Also, while "public comment" is required (SEC. 3), the bill doesn't specify how much weight those comments will carry. The five-year review is a good check-in, but the grid's needs can change quickly. The biggest question mark hangs over that definition of "dispatchable power." How that's interpreted will shape which projects get fast-tracked and which ones wait longer, potentially impacting everything from electricity prices to the pace of renewable energy adoption.