Building a Better Grid Initiative To Upgrade and Expand the Nation's Electric Transmission Grid To Support Resilience, Reliability, and Decarbonization, 2769-2773 [2022-00883]
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Federal Register / Vol. 87, No. 12 / Wednesday, January 19, 2022 / Notices
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DEPARTMENT OF ENERGY
Building a Better Grid Initiative To
Upgrade and Expand the Nation’s
Electric Transmission Grid To Support
Resilience, Reliability, and
Decarbonization
Office of Electricity,
Department of Energy.
ACTION: Notice of intent.
AGENCY:
In this notice, the Department
of Energy (DOE or the Department)
unveils its new Building a Better Grid
Initiative focused on catalyzing
nationwide development of new and
upgraded high-capacity transmission
lines. Under the Building a Better Grid
Initiative, DOE will identify critical
national transmission needs and
support the buildout of long-distance,
high-voltage transmission facilities that
meet those needs through collaborative
transmission planning, innovative
financing mechanisms, coordinated
permitting, and continued transmission
related research and development. DOE
commits to robust engagement on
energy justice and collaboration,
including with states, American Indian
Tribes and Alaska Natives, industry,
unions, local communities, and other
stakeholders for successful
implementation of the program.
FOR FURTHER INFORMATION CONTACT: Ms.
Michelle Manary, Acting Deputy
Assistant Secretary, Electricity Delivery
Division, Office of Electricity, Mailstop
OE–20, Room 8H–033, 1000
Independence Avenue SW, Washington,
DC 20585; Telephone: (202) 586–1411
or ElectricityDelivery@hq.doe.gov. More
information will also be available at
https://www.energy.gov/oe/officeelectricity.
SUPPLEMENTARY INFORMATION:
SUMMARY:
I. Background
A robust transmission system is
critical to the Nation’s economic,
energy, and national security. However,
the United States faces challenges as its
electric grid infrastructure continues to
age—studies from the past decade find
that 70 percent of the grid’s
transmission lines and power
transformers were over 25 years old.1 2
In addition, insufficient transmission
capacity—especially transmission that
facilitates transfer of power across
1 See U.S. Dep’t of Energy, Infographic:
Understanding the Grid (Nov. 2014), https://
www.energy.gov/articles/infographicunderstanding-grid.
2 See Energy Information Agency, Major utilities
continue to increase spending on U.S. electric
distribution systems, (July 20, 2018), https://
www.eia.gov/todayinenergy/detail.php?id=36675.
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regions—presents another critical
challenge facing the grid. Upgrading and
expanding the current transmission
system will enhance grid reliability and
resilience and enable the cost-effective
integration of clean energy.
Modernizing, hardening, and
expanding the grid will enhance the
resilience of our entire electric system,
and ensure that electricity is available to
customers when it is needed most.
Aging infrastructure leaves the grid
increasingly vulnerable to attacks.3 The
increasing frequency of extreme weather
events is leading to energy supply
disruptions that threaten the economy,
put public health and safety at risk, and
can devastate affected communities all
over the country. Investment in
transmission infrastructure can help
protect the grid against supply
disruptions due to physical and cyberattacks or climate-induced extreme
weather, minimize the impact of supply
disruptions when they happen, and
restore electricity more quickly when
outages do occur.
Expanding transmission capacity also
improves reliability by creating stronger
and more numerous energy delivery
pathways, helping to ensure that
consumers have a dependable source of
electricity to power their homes,
schools, and businesses. When one
generation source is physically
unavailable or uneconomic,
transmission enables delivery from
other generation sources, making the
system better equipped to meet delivery
requirements under the broader range of
real circumstances and stresses seen in
recent years.
Electric grid investment also spurs
economic growth. Investment in the grid
will create demand for well-paying jobs
in construction and will drive
innovation, commercialization, and
deployment of energy technologies that
can spur new businesses. Moreover,
clean energy generation is increasingly
the least-cost option in many parts of
the country, and investment in
transmission will play a critical role in
unlocking the deployment of greater
renewable energy generation.
Transmission is critical to addressing
the climate crisis through the
decarbonization of the power sector and
electrification of transportation and
other sectors. The climate crisis
accelerates the need for the United
States to modernize its electric grid. To
3 See ICF International, Electric Grid Security and
Resilience: Establishing a Baseline for Adversarial
Threats, at 26 (June 2016), https://www.energy.gov/
sites/prod/files/2017/01/f34/Electric%20Grid%20
Security%20and%20Resilience—
Establishing%20a%20Baseline%20for%20
Adversarial%20Threats.pdf.
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address the imminent threat of climate
change, and capitalize on the economic
opportunity of doing so, President
Biden established ambitious goals: A
carbon pollution-free power sector by
2035, and a net-zero greenhouse gas
emissions economy by 2050.4 Multiple
pathways exist for the United States to
meet these clean energy goals, but all
require upgrading and expanding the
Nation’s transmission infrastructure.5 In
particular, they require deploying
interstate high-voltage lines connecting
areas with significant renewable energy
resources to demand centers and linking
together independently operated grid
regions. The most cost-effective
renewable resources are often located in
remote geographic areas far from the
areas with the biggest demand.6
Therefore, accelerating the shift toward
a clean power sector requires
investment in critical enabling
infrastructure such as transmission to
increase access to these renewable
energy sources.7 Numerous studies
conclude ‘‘that a reliable power system
that depends on very high levels of
renewable energy will be impossible to
implement without doubling or tripling
the size and scale of the [N]ation’s
transmission system.’’ 8 A recent study
found as the number of generation and
storage projects proposed for
interconnection to the bulk-power
system is growing, interconnection
queue wait times are increasing and the
percentage of projects reaching
completion appears to be declining,
particularly for wind and solar
resources.9 Needed investments in
transmission infrastructure include
4 See Executive Order 14008 of Jan. 27, 2021,
Tackling the Climate Crisis at Home and Abroad,
86 FR 7619 (Feb. 1, 2021), https://
www.federalregister.gov/documents/2021/02/01/
2021-02177/tackling-the-climate-crisis-at-homeand-abroad; Fact Sheet: President Biden Sets 2030
Greenhouse Gas Pollution Reduction Target Aimed
at Creating Good-Paying Union Jobs and Securing
U.S. Leadership on Clean Energy Technologies
(Apr. 22, 2021), https://www.whitehouse.gov/
briefing-room/statements-releases/2021/04/22/factsheet-president-biden-sets-2030-greenhouse-gaspollution-reduction-target-aimed-at-creating-goodpaying-union-jobs-and-securing-u-s-leadership-onclean-energy-technologies/.
5 See North American Renewable Integration
Study, Executive Summary, p. 9.
6 See id. at 4–5.
7 See Eric Larson, et al., Net-Zero America:
Potential Pathways, Infrastructure, and Impacts, at
13–14 (Dec. 15, 2020), https://
netzeroamerica.princeton.edu/img/Princeton_NZA_
Interim_Report_15_Dec_2020_FINAL.pdf.
8 ESIG Report at 10 (providing a summary of six
studies at Appendix B); also, see Net Zero America
(previous footnote).
9 See Joseph Rand, et al., Queued Up:
Characteristics of Power Plants Seeking
Transmission Interconnection as of the End of 2020,
Briefing at 6 (May 2021), https://etapublications.lbl.gov/sites/default/files/queued_up_
may_2021.pdf.
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increasing the capacity of existing lines,
using advanced technologies to
minimize transmission losses and
maximize the value of existing lines,
and building new long-distance, highvoltage transmission lines.
Recognizing these challenges,
Congress enacted and the President
signed the Infrastructure Investment and
Jobs Act (IIJA) on November 15, 2021.
IIJA builds on existing Department of
Energy authorities to provide substantial
new tools and funding to the
Department to accelerate the
modernization, expansion, and
resilience of the Nation’s electric grid.
DOE intends to coordinate the use of all
authorities and funding focused on
collaborative planning, innovative
financing mechanisms, and coordinated
permitting now at the disposal of the
Department to resolve challenges and
constrains facing the electric grid.
II. Transmission Deployment Program
For the reasons discussed previously,
DOE intends to launch a coordinated
transmission deployment program to
implement both IIJA and previously
enacted authorities and funding. Under
the Building a Better Grid Initiative,
DOE will engage in a collaborative
initiative to encourage and enable
investment in transmission
infrastructure. DOE recognizes the
importance of engaging with other
federal agencies, state and local
governments, American Indian Tribes
and Alaska Natives, industry, unions,
local communities, environmental
justice organizations, and other
stakeholders. Working with these
partners, DOE aims to increase
coordination and transparency; to
employ available tools and resources to
support the development of nationallysignificant transmission projects; and to
improve transmission siting, permitting,
and authorization processes.
DOE’s implementation of the Building
a Better Grid Initiative will fall into five
broad categories: Coordination;
enhancing transmission planning to
identify areas of greatest need;
deploying federal financing tools to
reduce project development risk;
facilitating an efficient transmission
permitting process; and performing
transmission-related research and
development.
A. Coordination
Early and collaborative engagement is
an essential element of building a
reliable, resilient, and efficient electric
grid. DOE will consult and work
collaboratively with government
entities, including states, American
Indian Tribes, and Alaska Natives, and
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other stakeholders throughout the
process of evaluating and deploying the
Department’s tools and authorities to
accelerate transmission deployment.
(1) Regional Convenings. In most of
the country, the primary venue in which
the future of the transmission grid is
being planned is through regional and
state-level processes led by transmission
planning organizations such as
independent system operators (ISOs)/
regional transmission organizations
(RTOs), state regulatory commissions,
and utilities, with key involvement from
transmission developers, independent
power producers, consumer advocates,
unions, public interest organizations,
technology providers, and other
stakeholders that contribute to the
planning process to identify where and
when new transmission lines are
needed to ensure that the delivery of
electricity remains reliable and
affordable. In implementing the specific
elements of the Building a Better Grid
initiative described underneath, DOE
intends to leverage existing regional
venues where stakeholders are
convened around transmission planning
to identify nationally significant
transmission lines, validate
transmission modeling approaches, and
provide technical analysis to states,
American Indian Tribes and Alaska
Natives, ISOs/RTOs, and utilities.
(2) Offshore Wind Transmission
Convening. DOE is partnering with the
Department of the Interior’s Bureau of
Ocean Energy Management (BOEM) to
convene key stakeholders, government
partners, and ocean users, including
American Indian Tribes and Alaska
Natives, state and local governments,
ISOs/RTOs, utilities, wind energy
developers, and non-governmental
organizations, to elucidate the central
transmission challenges associated with
meeting the Biden Administration’s
goal—30 GW of deployed offshore wind
(OSW) capacity by 2030 and to facilitate
OSW development well beyond that
goal—and identify potential solutions to
those challenges. Later this year, DOE
and BOEM will lead a series of
convening workshops, in consultation
with the Federal Energy Regulatory
Commission (FERC) and other federal
agencies, to develop a set of
recommendations and associated action
plan for addressing medium- and longterm OSW transmission challenges.
These will include recommendations for
OSW transmission development,
transmission planning and permitting
policies, as well as seeking to maximize
benefits to the onshore transmission
system by considering solutions that
will reduce congestion and support
system interconnection inclusive of
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potential onshore transmission
upgrades.
B. Planning
Building a cost-effective transmission
network that offers access to a diversity
of energy resources within and across
geographic regions, and that supports
reliability and resilience through robust
inter-regional transfer capability,
requires deliberate planning and a
different approach than has been used
traditionally. Transmission planning
processes have not generally been
designed to identify long-term (beyond
10-year planning cycles), flexible, and
inter-regional solutions that will meet
national interests by enhancing electric
system resilience across regions.
Modernizing transmission planning can
provide greater certainty to drive
investment to the highest-need
transmission projects and enable
development of the projects with the
largest long-term benefit for consumers.
DOE intends to consider the following
actions to facilitate transmission
planning:
(1) National Transmission Needs
Study. DOE intends to identify highpriority national transmission needs—
specifically, to identify where new or
upgraded transmission facilities could
relieve expected future constraints and
congestion driven by deployment of
clean energy consistent with federal,
state, and local policy and consumer
preferences; higher electric demand as a
result of building and transportation
electrification; and insufficient transfer
capacity across regions—by conducting
a Transmission Needs Study. Consistent
with authority provided by the Energy
Policy Act of 2005 10 and the IIJA, this
study will evaluate current and
expected future electric transmission
capacity constraints and congestion that
could adversely affect consumers. DOE
will consult with affected states,
American Indian Tribes and Alaska
Natives, and appropriate regional
entities. The results of this needs
assessment can inform the prioritization
of the DOE financing authorities
described in Section II.C of this
document; designation of national
interest electric transmission corridors
(National Corridors), as described in
Section II.D of this document, and
regional transmission planning
processes.
(2) National Transmission Planning.
In addition to the Transmission Needs
Study, DOE is leading a national-scale,
long-term (a 15- to 30-year) transmission
planning analysis to identify
10 Federal
Power Act (FPA) section 216(a); 16
U.S.C. 824p(a).
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transmission that will provide broadscale benefits to electric customers;
inform regional and interregional
transmission planning processes; and
identify interregional and national
strategies to accelerate decarbonization
while maintaining system reliability. In
partnership with the Pacific Northwest
National Laboratory (PNNL) and the
National Renewable Energy Laboratory
(NREL), DOE will work with
stakeholders to help identify viable
future grid realization pathways to a
large-scale transmission system buildout
that would accomplish clean energy
goals. Robust stakeholder engagement
will help define new scenarios for
analysis to reach grid decarbonization
goals cost effectively and under new
high-stress conditions. As part of this
process, DOE intends to work with the
Department of Transportation, the
Department of the Interior, the United
States Forest Service, other federal and
state agencies, and utilities as
appropriate, to integrate existing rightsof-way into the National Transmission
Planning Study, including existing rail
and highway rights-of-way; the Bureau
of Land Management’s (BLM) Westwide Energy Corridors; and other
existing federal land and utility rightsof-way.
(3) OSW Transmission Analysis. To
inform the integration of OSW, DOE
will conduct supportive analyses to
identify transmission pathways and
develop transmission strategies to
integrate offshore wind, consistent with
the Administration’s goal of 30 GW of
OSW by 2030 and to set the stage for a
more ambitious 2050 OSW deployment
target. In November 2021, DOE
launched the Atlantic Offshore Wind
Transmission Study, a 2-year study led
by NREL and PNNL. Through robust
engagement with diversified stakeholder
groups, this work evaluates coordinated
transmission solutions to enable
offshore wind energy deployment along
the U.S. Atlantic Coast, addressing gaps
in existing analyses.11
(4) Transmission Planning Technical
Assistance. DOE will continue to
develop and leverage modeling tools
and capabilities to provide technical
analysis to states and regions, and other
agencies, where appropriate. This
includes the research and capabilities
created as part of the National
Transmission Planning and the OSW
Transmission Analysis above. The
technical analysis and assistance aim to
aid in long-term energy planning, policy
implementation, and regulatory
11 See Atlantic Offshore Wind Transmission
Study, NREL. https://www.nrel.gov/wind/atlanticoffshore-wind-transmission-study.html.
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rulemaking, informed by core
transmission planning precepts and in
alignment with current federal and state
public policy goals. The IIJA requires
states to incorporate transmission
planning as a mandatory feature of their
energy plans and is supported with
$500 million in increased funding for
the State Energy Program.
C. Financing
Financial risk poses a significant
barrier to pursuing large scale, multiregion transmission projects.
Transmission projects require large,
upfront investments. For regulated
utility projects, returns are ultimately
collected over long periods through
rates charged to end-use customers, but
it is difficult for such utilities to recover
costs for transmission projects that cross
multiple service territories and planning
regions. Merchant transmission
developers face challenges securing
transmission customers before a project
is built, but customer commitments are
often needed to reduce investment risk.
The IIJA provided critical new
authorities and appropriations that the
Department can use to help reduce
financing challenges project sponsors
may face and catalyze private
investment in transmission. DOE
intends to deploy these authorities
while also continuing to make available
existing financing tools.
New Programs Authorized in IIJA:
(1) Transmission Facilitation
Program. The IIJA establishes a new
$2.5B revolving fund to facilitate the
construction of high capacity new,
replacement, or upgraded transmission
lines.12 This program will prioritize
projects that improve resilience and
reliability of the grid, facilitate interregional transfer of electricity, lower
electric sector greenhouse gas
emissions, and use advanced
technology. DOE is authorized to do so
through three separate tools.
• DOE is authorized to serve as an
anchor customer on new and upgraded
transmission lines in order to facilitate
the private financing and construction
of the line. Under this authority, DOE
would buy up to 50 percent of planned
capacity from the developer for a term
of up to 40 years. A purchase of capacity
will not be considered a ‘‘major federal
action’’ that would trigger
environmental review pursuant to the
National Environmental Policy Act
(NEPA). DOE will then market the
capacity it has purchased to recover the
12 In addition, eligible projects include those that
would connect an isolated microgrid to an existing
transmission, transportation, or infrastructure
corridor located in Alaska, Hawaii, or a U.S.
territory.
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costs it has incurred once the project’s
long-term financial viability is secured.
• DOE is authorized to make loans for
the cost of carrying out eligible
transmission projects.
• DOE is authorized to enter into
public-private partnerships to codevelop projects that are located in a
National Corridor or that are necessary
to accommodate an increase in demand
for interstate transmission, among other
criteria. Such co-development can entail
the design, development, construction,
operation, maintenance, or ownership of
a project.
DOE intends to establish procedures
for the administration of this program
and for solicitation and selection of
project applications. Further guidance
will be forthcoming for this program.
(2) Enhancing Grid Resilience. DOE
will provide formula grants, competitive
grants, and competitive awards across a
number of provisions of the IIJA that
allow for upgrading transmission
infrastructure. DOE intends to issue
solicitations for applications by states,
American Indian Tribes, local
communities, and industry. Further
guidance and solicitations will be
forthcoming for these programs.
• Preventing Outages and Enhancing
the Resilience of the Electric Grid—The
IIJA authorizes DOE to make grants for
supplemental hardening activities to
reduce risks of power lines causing
wildfires, and the likelihood and
consequence of impacts to the electric
grid due to extreme weather, wildfires,
and natural disasters. This program is
split between $2.5 billion in matching
grants for industry and $2.5 billion in
formula grants for states and American
Indian tribes.
• Program Upgrading Our Electric
Grid and Ensuring Reliability and
Resiliency—The IIJA authorizes DOE to
provide $5 billion in competitive
financial assistance to states, local
governments, and American Indian
tribes. This financial assistance must
support electric sector owners and
operators with projects that demonstrate
innovative approaches to hardening and
enhancing the resilience and reliability
of transmission, storage, and
distribution infrastructure.
• Energy Improvement in Rural and
Remote Areas—DOE is authorized to
provide competitive grants to small
cities, towns, and unincorporated areas
to improve resilience, safety, reliability,
and availability of energy; and that
provide environmental protection from
adverse impacts of energy generation.
(3) Deployment of Technologies to
Increase Capacity and Enhance
Flexibility of the Existing Grid. The IIJA
provides DOE with $3 billion to provide
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matching grants for the deployment of
advanced grid technologies to enhance
grid flexibility. Building on the success
of the Smart Grid Investment Grant
Program, this program now includes
advanced transmission technologies
such as dynamic line rating, flow
control devices, advanced conductors,
and network topology optimization, to
increase the operational transfer
capacity transmission networks. Further
guidance and solicitations will be
forthcoming for this program.
Existing DOE Programs:
(4) Loan Programs. DOE’s Loan
Programs Office (LPO) administers a
number of programs that can provide
loan guarantees to help deploy largescale energy infrastructure projects in
the United States, some of which have
already been utilized to issue over $300
million in Conditional Commitment for
the construction and energization of a
new transmission line. Under the Title
17 Innovative Energy Loan Guarantee
Program and the Tribal Energy Loan
Guarantee Program, the Department is
authorized to provide loan guarantees to
projects that will expand and improve
the transmission grid. Through these
programs, LPO can offer borrowers
access to debt capital, flexible financing
customized for the specific needs of
borrowers, and valuable expertise in
energy infrastructure project
development. LPO can also reduce the
risk of investment in long-distance
transmission projects by providing
financing support for projects that
analysis shows are likely to support
repayment of the loan, even if those
projects have not yet secured preconstruction agreements for
transmission service for their full
capacity.
(5) Transmission Infrastructure
Program (TIP). The Western Area Power
Administration (WAPA) administers a
unique federal infrastructure
development assistance and financing
program. TIP manages WAPA’s
statutory $3.25 billion borrowing
authority to provide debt financing and
development assistance for qualifying
transmission projects with at least one
terminus in WAPA’s 15-state service
territory and that facilitate delivery of
renewable energy. The program
leverages WAPA’s transmission project
development expertise and WAPA’s
borrowing authority, partnering with
private and other non-federal coinvestment to support the development
of critical transmission and related
infrastructure in the West.
D. Permitting
The siting and permitting of interstate
and inter-regional high-voltage
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transmission generally requires action
by many different authorities governing
the federal, state, local, and Tribal
lands, as well as private lands, that
facilities will pass through. Projects
involving multiple agencies are subject
to a wide array of processes and
procedural requirements for compliance
with legal mandates and multiple
authorizations. The time required to
meet these legal mandates can be
reduced through effective planning
processes that take advantage of existing
rights-of-way, which as outlined
previously, DOE intends to incorporate
into its planning activities. As an
example, DOE is coordinating with BLM
as the agency updates its designated
West-wide Energy Corridors. But where
such rights-of-way are not available,
siting and permitting processes can
significantly slow development and
should be conducted efficiently, with
clear expectations and predictable
timelines and processes. These aims
should occur without sacrificing
important analysis, protection of
environmental, cultural, and other
important values, or robust public
engagement. DOE intends to coordinate
with states and with federal permitting
agencies to help facilitate the siting and
permitting process, including through
consideration of the following actions:
(1) Federal Permitting Coordination.
The Federal Permitting Improvement
Steering Council (FPISC), established
pursuant to Title 41 of the Fixing
America’s Surface Transportation Act
(‘‘FAST–41’’), and made permanent by
IIJA, facilitates coordination and
oversight procedures for federal
environmental review and permitting
process related to eligible large-scale
infrastructure projects. IIJA provided
additional authority to FPISC to include
projects on the permitting dashboard.
DOE will work with relevant agencies to
evaluate and recommend whether to
include nationally-significant
transmission projects on the dashboard.
In addition, DOE works with
interagency partners to bolster preapplication planning for transmission
projects through its Integrated
Interagency Pre-Application Process,
which allows transmission project
developers a mechanism for early
coordination and information sharing
with permitting agencies.13 DOE intends
to encourage developers to take
advantage of the pre-application process
in order to streamline federal permitting
action.
(2) Public-private partnership
projects. The previously-described
Transmission Facilitation Program,
13 FPA
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section 216(h); 42 U.S.C. 824p(h).
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enacted as part of IIJA, includes
authority for the Secretary to enter into
public-private partnerships for the
design, development, construction,
operation, maintenance, and ownership
of transmission facilities. In addition,
the Secretary, acting through the
Administrators of the Southwestern
Power Administration (SWPA) or
WAPA, has the authority to design,
develop, construct, operate, maintain, or
own, alone or in partnership with third
parties, transmission system upgrades or
new transmission lines and related
facilities within states in which WAPA
and SWPA operate.14 In exercising these
authorities, DOE can help facilitate
transmission development in areas
where state or local permitting
requirements would otherwise make a
project difficult or impossible to
complete. In carrying out either type of
project, the Secretary may accept and
use contributed funds from another
entity, such as a transmission developer,
to carry out the Department’s work on
upgrades or on new projects. DOE may
solicit interest in these public-private
partnership projects, with a particular
focus on projects that would fulfill
transmission needs identified by the
transmission planning actions outlined
previously.
(3) Designation of Route-Specific
Transmission Corridors. The Federal
Energy Regulatory Commission (FERC)
has authority, clarified by the IIJA, to
issue permits for the construction or
modification of electric transmission
facilities in National Corridors
designated by the Secretary of Energy.15
IIJA also clarified that National
Corridors can be any area experiencing
or expected to experience electricity
transmission capacity constraints or
congestion that adversely affects
consumers.16 DOE can designate a
National Corridor after taking into
consideration the Transmission Needs
Study discussed previously and other
information. In order to facilitate the
efficient consideration of projects
seeking a FERC-issued permit, DOE
intends to provide a process for the
designation of National Corridors on a
route-specific, applicant-driven basis.
DOE intends to give particular
consideration to proposed National
Corridors that, to the greatest degree
possible, overlap with or utilize existing
highway, rail, utility, and federal land
rights-of-way. Further, in order to
enable effective use of both DOE’s routespecific National Corridor process and
14 Energy Policy Act of 2005 section 1222; 42
U.S.C. 16421.
15 FPA section 216(b); 16 U.S.C. 824p(b).
16 Section 216(a) of the FPA; 16 U.S.C. 824p(a).
VerDate Sep<11>2014
16:58 Jan 18, 2022
Jkt 256001
FERC’s permitting process, DOE and
FERC intend to work together, as
appropriate, to establish coordinated
procedures that facilitate efficient
information gathering related to the
scope of activities under review
pursuant to these authorities. By
harmonizing, to the greatest extent
practicable, pre-filing and application
processes, DOE and FERC can work
with applicants to identify and resolve
issues as quickly as possible; share
information in a timely fashion; and
expedite reviews conducted pursuant to
these authorities, the National
Environmental Policy Act, and other
requirements.
E. Transmission Research,
Development, and Demonstration
(RD&D)
DOE continues to conduct RD&D to
further develop and reduce the costs of
technologies that enable the
transmission system to be used more
efficiently, including grid enhancing
technologies, improved transmission
conductors, and grid-related energy
storage facilities. The National
Laboratories’ research programs, in
partnership with industry, are investing
in the next generation of components
and systems. DOE’s FY22 budget
request prioritizes solicitations to
support transmission technology
development including transformers,
high voltage direct current converter
stations, and storage.
DOE is also developing and
improving analytical tools to more
effectively support transmission
deployment. DOE, in collaboration with
several National Laboratories, is
developing the North American Energy
Resilience Model (NAERM), a nationalscale energy planning and real-time
situational awareness tool. DOE is
working to enable and expand NAERM’s
capabilities to facilitate effective
transmission planning. Currently
deployed transmission planning tools
include the Energy Zones Mapping
Tool, an online mapping tool that can be
used to identify potential energy
resource areas and energy corridors, and
the Transmission Resilience Maturity
Model that enables utilities to measure
the maturity of their transmission
resilience programs and identify
improvements to increase the resilience
of their transmission systems.
Moving forward, the Department will
keep the public informed of its planned
activities and progress related to this
Building a Better Grid Initiative to
expand and improve the Nation’s
electric transmission grid. DOE is
committed to robust engagement and
collaboration with states, American
PO 00000
Frm 00028
Fmt 4703
Sfmt 4703
2773
Indian Tribes and Alaska Natives,
industry, unions, local communities,
environmental justice organizations,
and other stakeholders. For additional
information, interested parties may
reach out to DOE’s Office of Electricity
using the contact information provided
in this Notice.
Signing Authority
This document of the Department of
Energy was signed on January 11, 2022,
by Jennifer M. Granholm, Secretary of
Energy. That document with the original
signature and date is maintained by
DOE. For administrative purposes only,
and in compliance with requirements of
the Office of the Federal Register, the
undersigned DOE Federal Register
Liaison Officer has been authorized to
sign and submit the document in
electronic format for publication, as an
official document of the Department of
Energy. This administrative process in
no way alters the legal effect of this
document on publication in the Federal
Register.
Signed in Washington, DC, on January 12,
2022.
Treena V. Garrett,
Federal Register Liaison Officer, U.S.
Department of Energy.
[FR Doc. 2022–00883 Filed 1–18–22; 8:45 am]
BILLING CODE 6450–01–P
DEPARTMENT OF ENERGY
Environmental Management SiteSpecific Advisory Board, Northern New
Mexico
Office of Environmental
Management, Department of Energy.
ACTION: Notice of open virtual meeting.
AGENCY:
This notice announces an
online virtual combined meeting of the
Consent Order Committee and Risk
Evaluation and Management Committee
of the Environmental Management SiteSpecific Advisory Board (EM SSAB),
Northern New Mexico. The Federal
Advisory Committee Act requires that
public notice of this online virtual
meeting be announced in the Federal
Register.
SUMMARY:
Wednesday, February 16, 2022;
1:00 p.m.–4:00 p.m.
ADDRESSES: This meeting will be held
virtually via WebEx. To attend, please
contact Menice Santistevan by email,
Menice.Santistevan@em.doe.gov, no
later than 5:00 p.m. MT on Friday,
February 11, 2022.
FOR FURTHER INFORMATION CONTACT:
Menice Santistevan, Northern New
Mexico Citizens’ Advisory Board
DATES:
E:\FR\FM\19JAN1.SGM
19JAN1
Agencies
[Federal Register Volume 87, Number 12 (Wednesday, January 19, 2022)]
[Notices]
[Pages 2769-2773]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-00883]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF ENERGY
Building a Better Grid Initiative To Upgrade and Expand the
Nation's Electric Transmission Grid To Support Resilience, Reliability,
and Decarbonization
AGENCY: Office of Electricity, Department of Energy.
ACTION: Notice of intent.
-----------------------------------------------------------------------
SUMMARY: In this notice, the Department of Energy (DOE or the
Department) unveils its new Building a Better Grid Initiative focused
on catalyzing nationwide development of new and upgraded high-capacity
transmission lines. Under the Building a Better Grid Initiative, DOE
will identify critical national transmission needs and support the
buildout of long-distance, high-voltage transmission facilities that
meet those needs through collaborative transmission planning,
innovative financing mechanisms, coordinated permitting, and continued
transmission related research and development. DOE commits to robust
engagement on energy justice and collaboration, including with states,
American Indian Tribes and Alaska Natives, industry, unions, local
communities, and other stakeholders for successful implementation of
the program.
FOR FURTHER INFORMATION CONTACT: Ms. Michelle Manary, Acting Deputy
Assistant Secretary, Electricity Delivery Division, Office of
Electricity, Mailstop OE-20, Room 8H-033, 1000 Independence Avenue SW,
Washington, DC 20585; Telephone: (202) 586-1411 or
[email protected]. More information will also be available
at https://www.energy.gov/oe/office-electricity.
SUPPLEMENTARY INFORMATION:
I. Background
A robust transmission system is critical to the Nation's economic,
energy, and national security. However, the United States faces
challenges as its electric grid infrastructure continues to age--
studies from the past decade find that 70 percent of the grid's
transmission lines and power transformers were over 25 years
old.1 2 In addition, insufficient transmission capacity--
especially transmission that facilitates transfer of power across
regions--presents another critical challenge facing the grid. Upgrading
and expanding the current transmission system will enhance grid
reliability and resilience and enable the cost-effective integration of
clean energy.
---------------------------------------------------------------------------
\1\ See U.S. Dep't of Energy, Infographic: Understanding the
Grid (Nov. 2014), https://www.energy.gov/articles/infographic-understanding-grid.
\2\ See Energy Information Agency, Major utilities continue to
increase spending on U.S. electric distribution systems, (July 20,
2018), https://www.eia.gov/todayinenergy/detail.php?id=36675.
---------------------------------------------------------------------------
Modernizing, hardening, and expanding the grid will enhance the
resilience of our entire electric system, and ensure that electricity
is available to customers when it is needed most. Aging infrastructure
leaves the grid increasingly vulnerable to attacks.\3\ The increasing
frequency of extreme weather events is leading to energy supply
disruptions that threaten the economy, put public health and safety at
risk, and can devastate affected communities all over the country.
Investment in transmission infrastructure can help protect the grid
against supply disruptions due to physical and cyber-attacks or
climate-induced extreme weather, minimize the impact of supply
disruptions when they happen, and restore electricity more quickly when
outages do occur.
---------------------------------------------------------------------------
\3\ See ICF International, Electric Grid Security and
Resilience: Establishing a Baseline for Adversarial Threats, at 26
(June 2016), https://www.energy.gov/sites/prod/files/2017/01/f34/
Electric%20Grid%20Security%20and%20Resilience_
Establishing%20a%20Baseline%20for%20Adversarial%20Threats.pdf.
---------------------------------------------------------------------------
Expanding transmission capacity also improves reliability by
creating stronger and more numerous energy delivery pathways, helping
to ensure that consumers have a dependable source of electricity to
power their homes, schools, and businesses. When one generation source
is physically unavailable or uneconomic, transmission enables delivery
from other generation sources, making the system better equipped to
meet delivery requirements under the broader range of real
circumstances and stresses seen in recent years.
Electric grid investment also spurs economic growth. Investment in
the grid will create demand for well-paying jobs in construction and
will drive innovation, commercialization, and deployment of energy
technologies that can spur new businesses. Moreover, clean energy
generation is increasingly the least-cost option in many parts of the
country, and investment in transmission will play a critical role in
unlocking the deployment of greater renewable energy generation.
Transmission is critical to addressing the climate crisis through
the decarbonization of the power sector and electrification of
transportation and other sectors. The climate crisis accelerates the
need for the United States to modernize its electric grid. To
[[Page 2770]]
address the imminent threat of climate change, and capitalize on the
economic opportunity of doing so, President Biden established ambitious
goals: A carbon pollution-free power sector by 2035, and a net-zero
greenhouse gas emissions economy by 2050.\4\ Multiple pathways exist
for the United States to meet these clean energy goals, but all require
upgrading and expanding the Nation's transmission infrastructure.\5\ In
particular, they require deploying interstate high-voltage lines
connecting areas with significant renewable energy resources to demand
centers and linking together independently operated grid regions. The
most cost-effective renewable resources are often located in remote
geographic areas far from the areas with the biggest demand.\6\
Therefore, accelerating the shift toward a clean power sector requires
investment in critical enabling infrastructure such as transmission to
increase access to these renewable energy sources.\7\ Numerous studies
conclude ``that a reliable power system that depends on very high
levels of renewable energy will be impossible to implement without
doubling or tripling the size and scale of the [N]ation's transmission
system.'' \8\ A recent study found as the number of generation and
storage projects proposed for interconnection to the bulk-power system
is growing, interconnection queue wait times are increasing and the
percentage of projects reaching completion appears to be declining,
particularly for wind and solar resources.\9\ Needed investments in
transmission infrastructure include increasing the capacity of existing
lines, using advanced technologies to minimize transmission losses and
maximize the value of existing lines, and building new long-distance,
high-voltage transmission lines.
---------------------------------------------------------------------------
\4\ See Executive Order 14008 of Jan. 27, 2021, Tackling the
Climate Crisis at Home and Abroad, 86 FR 7619 (Feb. 1, 2021),
https://www.federalregister.gov/documents/2021/02/01/2021-02177/tackling-the-climate-crisis-at-home-and-abroad; Fact Sheet:
President Biden Sets 2030 Greenhouse Gas Pollution Reduction Target
Aimed at Creating Good-Paying Union Jobs and Securing U.S.
Leadership on Clean Energy Technologies (Apr. 22, 2021), https://www.whitehouse.gov/briefing-room/statements-releases/2021/04/22/fact-sheet-president-biden-sets-2030-greenhouse-gas-pollution-reduction-target-aimed-at-creating-good-paying-union-jobs-and-securing-u-s-leadership-on-clean-energy-technologies/.
\5\ See North American Renewable Integration Study, Executive
Summary, p. 9.
\6\ See id. at 4-5.
\7\ See Eric Larson, et al., Net-Zero America: Potential
Pathways, Infrastructure, and Impacts, at 13-14 (Dec. 15, 2020),
https://netzeroamerica.princeton.edu/img/Princeton_NZA_Interim_Report_15_Dec_2020_FINAL.pdf.
\8\ ESIG Report at 10 (providing a summary of six studies at
Appendix B); also, see Net Zero America (previous footnote).
\9\ See Joseph Rand, et al., Queued Up: Characteristics of Power
Plants Seeking Transmission Interconnection as of the End of 2020,
Briefing at 6 (May 2021), https://eta-publications.lbl.gov/sites/default/files/queued_up_may_2021.pdf.
---------------------------------------------------------------------------
Recognizing these challenges, Congress enacted and the President
signed the Infrastructure Investment and Jobs Act (IIJA) on November
15, 2021. IIJA builds on existing Department of Energy authorities to
provide substantial new tools and funding to the Department to
accelerate the modernization, expansion, and resilience of the Nation's
electric grid. DOE intends to coordinate the use of all authorities and
funding focused on collaborative planning, innovative financing
mechanisms, and coordinated permitting now at the disposal of the
Department to resolve challenges and constrains facing the electric
grid.
II. Transmission Deployment Program
For the reasons discussed previously, DOE intends to launch a
coordinated transmission deployment program to implement both IIJA and
previously enacted authorities and funding. Under the Building a Better
Grid Initiative, DOE will engage in a collaborative initiative to
encourage and enable investment in transmission infrastructure. DOE
recognizes the importance of engaging with other federal agencies,
state and local governments, American Indian Tribes and Alaska Natives,
industry, unions, local communities, environmental justice
organizations, and other stakeholders. Working with these partners, DOE
aims to increase coordination and transparency; to employ available
tools and resources to support the development of nationally-
significant transmission projects; and to improve transmission siting,
permitting, and authorization processes.
DOE's implementation of the Building a Better Grid Initiative will
fall into five broad categories: Coordination; enhancing transmission
planning to identify areas of greatest need; deploying federal
financing tools to reduce project development risk; facilitating an
efficient transmission permitting process; and performing transmission-
related research and development.
A. Coordination
Early and collaborative engagement is an essential element of
building a reliable, resilient, and efficient electric grid. DOE will
consult and work collaboratively with government entities, including
states, American Indian Tribes, and Alaska Natives, and other
stakeholders throughout the process of evaluating and deploying the
Department's tools and authorities to accelerate transmission
deployment.
(1) Regional Convenings. In most of the country, the primary venue
in which the future of the transmission grid is being planned is
through regional and state-level processes led by transmission planning
organizations such as independent system operators (ISOs)/regional
transmission organizations (RTOs), state regulatory commissions, and
utilities, with key involvement from transmission developers,
independent power producers, consumer advocates, unions, public
interest organizations, technology providers, and other stakeholders
that contribute to the planning process to identify where and when new
transmission lines are needed to ensure that the delivery of
electricity remains reliable and affordable. In implementing the
specific elements of the Building a Better Grid initiative described
underneath, DOE intends to leverage existing regional venues where
stakeholders are convened around transmission planning to identify
nationally significant transmission lines, validate transmission
modeling approaches, and provide technical analysis to states, American
Indian Tribes and Alaska Natives, ISOs/RTOs, and utilities.
(2) Offshore Wind Transmission Convening. DOE is partnering with
the Department of the Interior's Bureau of Ocean Energy Management
(BOEM) to convene key stakeholders, government partners, and ocean
users, including American Indian Tribes and Alaska Natives, state and
local governments, ISOs/RTOs, utilities, wind energy developers, and
non-governmental organizations, to elucidate the central transmission
challenges associated with meeting the Biden Administration's goal--30
GW of deployed offshore wind (OSW) capacity by 2030 and to facilitate
OSW development well beyond that goal--and identify potential solutions
to those challenges. Later this year, DOE and BOEM will lead a series
of convening workshops, in consultation with the Federal Energy
Regulatory Commission (FERC) and other federal agencies, to develop a
set of recommendations and associated action plan for addressing
medium- and long-term OSW transmission challenges. These will include
recommendations for OSW transmission development, transmission planning
and permitting policies, as well as seeking to maximize benefits to the
onshore transmission system by considering solutions that will reduce
congestion and support system interconnection inclusive of
[[Page 2771]]
potential onshore transmission upgrades.
B. Planning
Building a cost-effective transmission network that offers access
to a diversity of energy resources within and across geographic
regions, and that supports reliability and resilience through robust
inter-regional transfer capability, requires deliberate planning and a
different approach than has been used traditionally. Transmission
planning processes have not generally been designed to identify long-
term (beyond 10-year planning cycles), flexible, and inter-regional
solutions that will meet national interests by enhancing electric
system resilience across regions. Modernizing transmission planning can
provide greater certainty to drive investment to the highest-need
transmission projects and enable development of the projects with the
largest long-term benefit for consumers. DOE intends to consider the
following actions to facilitate transmission planning:
(1) National Transmission Needs Study. DOE intends to identify
high-priority national transmission needs--specifically, to identify
where new or upgraded transmission facilities could relieve expected
future constraints and congestion driven by deployment of clean energy
consistent with federal, state, and local policy and consumer
preferences; higher electric demand as a result of building and
transportation electrification; and insufficient transfer capacity
across regions--by conducting a Transmission Needs Study. Consistent
with authority provided by the Energy Policy Act of 2005 \10\ and the
IIJA, this study will evaluate current and expected future electric
transmission capacity constraints and congestion that could adversely
affect consumers. DOE will consult with affected states, American
Indian Tribes and Alaska Natives, and appropriate regional entities.
The results of this needs assessment can inform the prioritization of
the DOE financing authorities described in Section II.C of this
document; designation of national interest electric transmission
corridors (National Corridors), as described in Section II.D of this
document, and regional transmission planning processes.
---------------------------------------------------------------------------
\10\ Federal Power Act (FPA) section 216(a); 16 U.S.C. 824p(a).
---------------------------------------------------------------------------
(2) National Transmission Planning. In addition to the Transmission
Needs Study, DOE is leading a national-scale, long-term (a 15- to 30-
year) transmission planning analysis to identify transmission that will
provide broad-scale benefits to electric customers; inform regional and
interregional transmission planning processes; and identify
interregional and national strategies to accelerate decarbonization
while maintaining system reliability. In partnership with the Pacific
Northwest National Laboratory (PNNL) and the National Renewable Energy
Laboratory (NREL), DOE will work with stakeholders to help identify
viable future grid realization pathways to a large-scale transmission
system buildout that would accomplish clean energy goals. Robust
stakeholder engagement will help define new scenarios for analysis to
reach grid decarbonization goals cost effectively and under new high-
stress conditions. As part of this process, DOE intends to work with
the Department of Transportation, the Department of the Interior, the
United States Forest Service, other federal and state agencies, and
utilities as appropriate, to integrate existing rights-of-way into the
National Transmission Planning Study, including existing rail and
highway rights-of-way; the Bureau of Land Management's (BLM) West-wide
Energy Corridors; and other existing federal land and utility rights-
of-way.
(3) OSW Transmission Analysis. To inform the integration of OSW,
DOE will conduct supportive analyses to identify transmission pathways
and develop transmission strategies to integrate offshore wind,
consistent with the Administration's goal of 30 GW of OSW by 2030 and
to set the stage for a more ambitious 2050 OSW deployment target. In
November 2021, DOE launched the Atlantic Offshore Wind Transmission
Study, a 2-year study led by NREL and PNNL. Through robust engagement
with diversified stakeholder groups, this work evaluates coordinated
transmission solutions to enable offshore wind energy deployment along
the U.S. Atlantic Coast, addressing gaps in existing analyses.\11\
---------------------------------------------------------------------------
\11\ See Atlantic Offshore Wind Transmission Study, NREL.
https://www.nrel.gov/wind/atlantic-offshore-wind-transmission-study.html.
---------------------------------------------------------------------------
(4) Transmission Planning Technical Assistance. DOE will continue
to develop and leverage modeling tools and capabilities to provide
technical analysis to states and regions, and other agencies, where
appropriate. This includes the research and capabilities created as
part of the National Transmission Planning and the OSW Transmission
Analysis above. The technical analysis and assistance aim to aid in
long-term energy planning, policy implementation, and regulatory
rulemaking, informed by core transmission planning precepts and in
alignment with current federal and state public policy goals. The IIJA
requires states to incorporate transmission planning as a mandatory
feature of their energy plans and is supported with $500 million in
increased funding for the State Energy Program.
C. Financing
Financial risk poses a significant barrier to pursuing large scale,
multi-region transmission projects. Transmission projects require
large, upfront investments. For regulated utility projects, returns are
ultimately collected over long periods through rates charged to end-use
customers, but it is difficult for such utilities to recover costs for
transmission projects that cross multiple service territories and
planning regions. Merchant transmission developers face challenges
securing transmission customers before a project is built, but customer
commitments are often needed to reduce investment risk. The IIJA
provided critical new authorities and appropriations that the
Department can use to help reduce financing challenges project sponsors
may face and catalyze private investment in transmission. DOE intends
to deploy these authorities while also continuing to make available
existing financing tools.
New Programs Authorized in IIJA:
(1) Transmission Facilitation Program. The IIJA establishes a new
$2.5B revolving fund to facilitate the construction of high capacity
new, replacement, or upgraded transmission lines.\12\ This program will
prioritize projects that improve resilience and reliability of the
grid, facilitate inter-regional transfer of electricity, lower electric
sector greenhouse gas emissions, and use advanced technology. DOE is
authorized to do so through three separate tools.
---------------------------------------------------------------------------
\12\ In addition, eligible projects include those that would
connect an isolated microgrid to an existing transmission,
transportation, or infrastructure corridor located in Alaska,
Hawaii, or a U.S. territory.
---------------------------------------------------------------------------
DOE is authorized to serve as an anchor customer on new
and upgraded transmission lines in order to facilitate the private
financing and construction of the line. Under this authority, DOE would
buy up to 50 percent of planned capacity from the developer for a term
of up to 40 years. A purchase of capacity will not be considered a
``major federal action'' that would trigger environmental review
pursuant to the National Environmental Policy Act (NEPA). DOE will then
market the capacity it has purchased to recover the
[[Page 2772]]
costs it has incurred once the project's long-term financial viability
is secured.
DOE is authorized to make loans for the cost of carrying
out eligible transmission projects.
DOE is authorized to enter into public-private
partnerships to co-develop projects that are located in a National
Corridor or that are necessary to accommodate an increase in demand for
interstate transmission, among other criteria. Such co-development can
entail the design, development, construction, operation, maintenance,
or ownership of a project.
DOE intends to establish procedures for the administration of this
program and for solicitation and selection of project applications.
Further guidance will be forthcoming for this program.
(2) Enhancing Grid Resilience. DOE will provide formula grants,
competitive grants, and competitive awards across a number of
provisions of the IIJA that allow for upgrading transmission
infrastructure. DOE intends to issue solicitations for applications by
states, American Indian Tribes, local communities, and industry.
Further guidance and solicitations will be forthcoming for these
programs.
Preventing Outages and Enhancing the Resilience of the
Electric Grid--The IIJA authorizes DOE to make grants for supplemental
hardening activities to reduce risks of power lines causing wildfires,
and the likelihood and consequence of impacts to the electric grid due
to extreme weather, wildfires, and natural disasters. This program is
split between $2.5 billion in matching grants for industry and $2.5
billion in formula grants for states and American Indian tribes.
Program Upgrading Our Electric Grid and Ensuring
Reliability and Resiliency--The IIJA authorizes DOE to provide $5
billion in competitive financial assistance to states, local
governments, and American Indian tribes. This financial assistance must
support electric sector owners and operators with projects that
demonstrate innovative approaches to hardening and enhancing the
resilience and reliability of transmission, storage, and distribution
infrastructure.
Energy Improvement in Rural and Remote Areas--DOE is
authorized to provide competitive grants to small cities, towns, and
unincorporated areas to improve resilience, safety, reliability, and
availability of energy; and that provide environmental protection from
adverse impacts of energy generation.
(3) Deployment of Technologies to Increase Capacity and Enhance
Flexibility of the Existing Grid. The IIJA provides DOE with $3 billion
to provide matching grants for the deployment of advanced grid
technologies to enhance grid flexibility. Building on the success of
the Smart Grid Investment Grant Program, this program now includes
advanced transmission technologies such as dynamic line rating, flow
control devices, advanced conductors, and network topology
optimization, to increase the operational transfer capacity
transmission networks. Further guidance and solicitations will be
forthcoming for this program.
Existing DOE Programs:
(4) Loan Programs. DOE's Loan Programs Office (LPO) administers a
number of programs that can provide loan guarantees to help deploy
large-scale energy infrastructure projects in the United States, some
of which have already been utilized to issue over $300 million in
Conditional Commitment for the construction and energization of a new
transmission line. Under the Title 17 Innovative Energy Loan Guarantee
Program and the Tribal Energy Loan Guarantee Program, the Department is
authorized to provide loan guarantees to projects that will expand and
improve the transmission grid. Through these programs, LPO can offer
borrowers access to debt capital, flexible financing customized for the
specific needs of borrowers, and valuable expertise in energy
infrastructure project development. LPO can also reduce the risk of
investment in long-distance transmission projects by providing
financing support for projects that analysis shows are likely to
support repayment of the loan, even if those projects have not yet
secured pre-construction agreements for transmission service for their
full capacity.
(5) Transmission Infrastructure Program (TIP). The Western Area
Power Administration (WAPA) administers a unique federal infrastructure
development assistance and financing program. TIP manages WAPA's
statutory $3.25 billion borrowing authority to provide debt financing
and development assistance for qualifying transmission projects with at
least one terminus in WAPA's 15-state service territory and that
facilitate delivery of renewable energy. The program leverages WAPA's
transmission project development expertise and WAPA's borrowing
authority, partnering with private and other non-federal co-investment
to support the development of critical transmission and related
infrastructure in the West.
D. Permitting
The siting and permitting of interstate and inter-regional high-
voltage transmission generally requires action by many different
authorities governing the federal, state, local, and Tribal lands, as
well as private lands, that facilities will pass through. Projects
involving multiple agencies are subject to a wide array of processes
and procedural requirements for compliance with legal mandates and
multiple authorizations. The time required to meet these legal mandates
can be reduced through effective planning processes that take advantage
of existing rights-of-way, which as outlined previously, DOE intends to
incorporate into its planning activities. As an example, DOE is
coordinating with BLM as the agency updates its designated West-wide
Energy Corridors. But where such rights-of-way are not available,
siting and permitting processes can significantly slow development and
should be conducted efficiently, with clear expectations and
predictable timelines and processes. These aims should occur without
sacrificing important analysis, protection of environmental, cultural,
and other important values, or robust public engagement. DOE intends to
coordinate with states and with federal permitting agencies to help
facilitate the siting and permitting process, including through
consideration of the following actions:
(1) Federal Permitting Coordination. The Federal Permitting
Improvement Steering Council (FPISC), established pursuant to Title 41
of the Fixing America's Surface Transportation Act (``FAST-41''), and
made permanent by IIJA, facilitates coordination and oversight
procedures for federal environmental review and permitting process
related to eligible large-scale infrastructure projects. IIJA provided
additional authority to FPISC to include projects on the permitting
dashboard. DOE will work with relevant agencies to evaluate and
recommend whether to include nationally-significant transmission
projects on the dashboard. In addition, DOE works with interagency
partners to bolster pre-application planning for transmission projects
through its Integrated Interagency Pre-Application Process, which
allows transmission project developers a mechanism for early
coordination and information sharing with permitting agencies.\13\ DOE
intends to encourage developers to take advantage of the pre-
application process in order to streamline federal permitting action.
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\13\ FPA section 216(h); 42 U.S.C. 824p(h).
---------------------------------------------------------------------------
(2) Public-private partnership projects. The previously-described
Transmission Facilitation Program,
[[Page 2773]]
enacted as part of IIJA, includes authority for the Secretary to enter
into public-private partnerships for the design, development,
construction, operation, maintenance, and ownership of transmission
facilities. In addition, the Secretary, acting through the
Administrators of the Southwestern Power Administration (SWPA) or WAPA,
has the authority to design, develop, construct, operate, maintain, or
own, alone or in partnership with third parties, transmission system
upgrades or new transmission lines and related facilities within states
in which WAPA and SWPA operate.\14\ In exercising these authorities,
DOE can help facilitate transmission development in areas where state
or local permitting requirements would otherwise make a project
difficult or impossible to complete. In carrying out either type of
project, the Secretary may accept and use contributed funds from
another entity, such as a transmission developer, to carry out the
Department's work on upgrades or on new projects. DOE may solicit
interest in these public-private partnership projects, with a
particular focus on projects that would fulfill transmission needs
identified by the transmission planning actions outlined previously.
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\14\ Energy Policy Act of 2005 section 1222; 42 U.S.C. 16421.
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(3) Designation of Route-Specific Transmission Corridors. The
Federal Energy Regulatory Commission (FERC) has authority, clarified by
the IIJA, to issue permits for the construction or modification of
electric transmission facilities in National Corridors designated by
the Secretary of Energy.\15\ IIJA also clarified that National
Corridors can be any area experiencing or expected to experience
electricity transmission capacity constraints or congestion that
adversely affects consumers.\16\ DOE can designate a National Corridor
after taking into consideration the Transmission Needs Study discussed
previously and other information. In order to facilitate the efficient
consideration of projects seeking a FERC-issued permit, DOE intends to
provide a process for the designation of National Corridors on a route-
specific, applicant-driven basis. DOE intends to give particular
consideration to proposed National Corridors that, to the greatest
degree possible, overlap with or utilize existing highway, rail,
utility, and federal land rights-of-way. Further, in order to enable
effective use of both DOE's route-specific National Corridor process
and FERC's permitting process, DOE and FERC intend to work together, as
appropriate, to establish coordinated procedures that facilitate
efficient information gathering related to the scope of activities
under review pursuant to these authorities. By harmonizing, to the
greatest extent practicable, pre-filing and application processes, DOE
and FERC can work with applicants to identify and resolve issues as
quickly as possible; share information in a timely fashion; and
expedite reviews conducted pursuant to these authorities, the National
Environmental Policy Act, and other requirements.
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\15\ FPA section 216(b); 16 U.S.C. 824p(b).
\16\ Section 216(a) of the FPA; 16 U.S.C. 824p(a).
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E. Transmission Research, Development, and Demonstration (RD&D)
DOE continues to conduct RD&D to further develop and reduce the
costs of technologies that enable the transmission system to be used
more efficiently, including grid enhancing technologies, improved
transmission conductors, and grid-related energy storage facilities.
The National Laboratories' research programs, in partnership with
industry, are investing in the next generation of components and
systems. DOE's FY22 budget request prioritizes solicitations to support
transmission technology development including transformers, high
voltage direct current converter stations, and storage.
DOE is also developing and improving analytical tools to more
effectively support transmission deployment. DOE, in collaboration with
several National Laboratories, is developing the North American Energy
Resilience Model (NAERM), a national-scale energy planning and real-
time situational awareness tool. DOE is working to enable and expand
NAERM's capabilities to facilitate effective transmission planning.
Currently deployed transmission planning tools include the Energy Zones
Mapping Tool, an online mapping tool that can be used to identify
potential energy resource areas and energy corridors, and the
Transmission Resilience Maturity Model that enables utilities to
measure the maturity of their transmission resilience programs and
identify improvements to increase the resilience of their transmission
systems.
Moving forward, the Department will keep the public informed of its
planned activities and progress related to this Building a Better Grid
Initiative to expand and improve the Nation's electric transmission
grid. DOE is committed to robust engagement and collaboration with
states, American Indian Tribes and Alaska Natives, industry, unions,
local communities, environmental justice organizations, and other
stakeholders. For additional information, interested parties may reach
out to DOE's Office of Electricity using the contact information
provided in this Notice.
Signing Authority
This document of the Department of Energy was signed on January 11,
2022, by Jennifer M. Granholm, Secretary of Energy. That document with
the original signature and date is maintained by DOE. For
administrative purposes only, and in compliance with requirements of
the Office of the Federal Register, the undersigned DOE Federal
Register Liaison Officer has been authorized to sign and submit the
document in electronic format for publication, as an official document
of the Department of Energy. This administrative process in no way
alters the legal effect of this document on publication in the Federal
Register.
Signed in Washington, DC, on January 12, 2022.
Treena V. Garrett,
Federal Register Liaison Officer, U.S. Department of Energy.
[FR Doc. 2022-00883 Filed 1-18-22; 8:45 am]
BILLING CODE 6450-01-P