TL/DR –
California’s transmission permitting process is not adequately equipped to handle the surge in new transmission projects, according to a report by the Center for Energy Efficiency and Renewable Technologies and GridLab. The report suggests that California needs to build 7,000 MW to 8,000 MW of clean energy to meet the zero-carbon goal set by SB 100, which requires the state’s electricity sales to be entirely supplied by renewable energy and zero-carbon resources by 2045. The report highlighted problems with the permitting process at the California Public Utilities Commission, suggesting that the need determination process is prolonging project permitting timelines by years, while calling for a reform in the transmission permitting process and a more active role of the state legislature in this reform.
Dive Brief:
- California’s transmission permitting process struggles to efficiently review the high volume of new transmission projects, says a report from the Center for Energy Efficiency and Renewable Technologies and GridLab.
- California’s clean energy projects have surged due to the federal Inflation Reduction Act and Bipartisan Infrastructure Law. However, the California Independent System Operator’s (CAISO) interconnection processes are overwhelmed by the volume of projects.
- Consultant to CEERT, Ed Smeloff, warns that without improved transmission processes, the state’s goal of 7,000-8,000 MW clean energy to meet SB 100 zero-carbon goal might be jeopardized. SB 100 mandates total renewable energy and zero-carbon resources for electricity sales by 2045.
Dive Insight:
On one side, CEERT and GridLab report acknowledges CAISO’s improvements in transmission planning processes with a new “zonal” approach. This is expected to streamline transmission planning, interconnection queuing, and resource procurement,
However, they also note that California’s transmission development has failed to match the growing reliability and clean energy needs in the past decade.
According to the report, the most pressing issue is the permitting process at the California Public Utilities Commission (CPUC). Their need determination process has extended project permitting timelines by years.
Smeloff explains that the current process is outdated as it was designed during a period of minimal transmission due to modest or non-existent load growth.
California lawmakers proposed multiple legislation to speed up CPUC’s transmission permitting process this year, including SB 420 and SB 619, which were vetoed by Governor Newsom. He instead promised a separate infrastructure strike team to accelerate power infrastructure development.
The report indicates that the veto of SB 420 and SB 619 has brought transmission permitting reform to the forefront of CPUC’s agenda.
Alongside urging CPUC’s permit process reform, the authors also suggest that the state legislature could consider a renewable energy transmission authority to address these issues.
Implementing these recommendations hinges on the understanding of their urgency by the senior leadership in the governor’s office and CPUC, says Smeloff.
CAISO’s spokesperson, Anne Gonzales, mentioned that they haven’t fully reviewed the report but acknowledged that it cites CAISO’s May 2023 transmission plan and interconnection process enhancement initiative.
The CPUC declined to comment on the report.
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