Illustration: Brendan Lynch/Axios
Electricity grid operators warned lawmakers of power shortfalls if fossil fuel plants continue to shut down without new replacements.
Why it matters: The regional grid operators' testimony Tuesday to House Energy and Commerce provides ammo for Republicans' demand for more fossil fuels and other round-the-clock power generation.
- E&C plans a hearing on specific energy legislation after the Easter recess, Bob Latta, chair of its energy subcommittee, told Axios.
Driving the news: Soaring power demand — which data centers are driving in response to AI's energy thirst — is challenging the grid's ability to provide continuous, reliable service as coal and natural gas plants close, the officials said.
- "It's no secret that our country is in the midst of a reliability crisis, and it could not come at a worse time," Latta said at the hearing.
What they're saying: Renewables are "not a one-for-one substitute," said Manu Asthana, CEO of PJM Interconnection, the largest U.S. grid operator.
- "We must keep the supply we have today," he said. "We must try to bring back what we can."
- The grid needs both fossil fuels and renewables, said Jennifer Curran, an executive with the Midcontinent Independent System Operator.
Zoom in: The closure of fossil fuel plants in New York is contributing to "reliability violations" that could arrive as soon as 2032, said Richard Dewey of the New York ISO.
- Such violations — failures to comply with mandatory standards for electricity stability and security — can lead to significant fines if unaddressed.
- Pablo Vegas, head of the Electricity Reliability Council of Texas, said his state's grid is experiencing more demand from gas power plant developers as state lawmakers seek to spur that kind of use.
Between the lines: Republicans have introduced legislation to allow coal, gas and nuclear to jump the line, and red states are seeking to expedite more "dispatchable" resources.
- Renewables and battery projects make up about 95% of proposed power projects. There just aren't that many delayed fossil fuel power plant projects in comparison.
The other side: Renewables remain the cheapest and cleanest way to drive down energy costs, said Kathy Castor, the energy subcommittee's top Democrat.
- She criticized the Trump administration's energy funding cuts and trade wars for causing "chaos that's fueling higher costs and uncertainty."
What's next: FERC could accept a proposal from MISO — which covers 15 Southern and Midwest states — to speed up power plant reviews in the next two weeks, ClearView Energy Partners predicted in a note to clients Tuesday.
