December 22, 2024
Half of the U.S. is at high risk of a power outage in the next decade, regulators say

Half of the U.S. is at high risk of a power outage in the next decade, regulators say

NEW YORK (Reuters) – About half of the United States faces increased risk of power shortages over the next decade that could lead to outages and power conservation measures, the North American Electric Reliability Corporation said on Tuesday.

As U.S. electricity consumption increases due to AI data centers and the electrification of buildings and transportation, efforts to increase electricity generation have been unsuccessful, leading to a growing imbalance between supply and demand, NERC said in its annual long-term reliability assessment.

“We’re seeing demand growth like we haven’t seen in decades,” said John Moura, director of NERC’s Reliability Assessment and Performance Analysis Division. “Our infrastructure is not being built fast enough to keep up with increasing demand.”

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The Midcontinent Independent System Operator, which operates the power grid in 15 states, faces a high risk of outages even during normal peak demand periods, NERC said.

Other carriers at increased risk of experiencing outages in extreme heat or cold include PJM Interconnection, ISO New England, Texas and California. Parts of the Northwest, Northeast, Southeast and Midwest are better positioned to keep the lights on long-term, NERC said.

Accelerating electricity demand contributed to high-risk and high-risk areas, along with planned retirements of fossil-fueled power plants that may stop operating before new supply comes online.

NERC found that there are 78 gigawatts of confirmed generator retirements and another 37 gigawatts with announced retirement plans by 2034.

One gigawatt of capacity can power up to 1 million U.S. homes.

NERC is a North American nonprofit regulatory agency that develops industry standards, assessments and forecasts with a focus on the reliability and security of the electric grid.

(Reporting by Laila Kearney; Editing by Aurora Ellis)

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