Time to Demand Answers on Reliability Issues

Through tornadoes in the Southeast, a rare earthquake on the East Coast, and the effects of Hurricane Irene from which millions are still reeling, Americans have recently come face to face with electrical grid reliability. As with all temporary disasters, it is just a matter of time before power returns. But what if our national energy choices, particularly regulatory choices, create a situation that threatens reliability?

Recently, Senator Lisa Murkowski created a miniature firestorm when she asked the Federal Electric Regulatory Commission (FERC) to evaluate the economic and grid reliability impact from EPA regulations, particularly from proposed Utility MACT regulations. Apparently, as detailed in this statement from Senator Murkowski, federal regulators had not bothered to conduct any formal grid assessment to measure whether Utility MACT could jeopardize our nation’s grid reliability. Why would EPA bother to find out whether its rules could keep the lights from coming on, right?

EPA’s brazen approach to regulation is becoming dangerous for America. FERC’s assessment, for example, states that EPA’s rules are likely to cause the retirement of 81 gigawatts of baseload capacity, or about 8% of our nation’s installed capacity for electrical generation. Of course, EPA’s job is not to replace that capacity with sources that are reliable and affordable for consumers; its mission, as the agency presumably sees it, is simply to shut down capacity it deems undesirable, consequences be damned.

At least two members of the Senate aren’t taking FERC’s response lightly. Senator Jim Inhofe of Oklahoma fired off this missive to EPA Administrator Lisa Jackson, while Senator Murkowski herself sent a similar letter. Groups like the National Mining Association and the National Association of Manufacturers are posing similar questions. With so much at stake, it is time for others to join in the demand for answers.

Abundant electricity is the fuel that drives American productivity, provides comfort and security for American families, and symbolizes our clear place as a first-rate world power. There are no financial, physical, or logistical reasons why American electricity should ever be unreliable. There are only political reasons. Encourage your lawmakers to demand answers for why EPA rulemaking is endangering America’s power grid.