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<title> - LESSONS LEARNED FROM THE TEXAS BLACKOUTS: RESEARCH NEEDS FOR A SECURE AND RESILIENT GRID</title> |
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[House Hearing, 117 Congress] |
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[From the U.S. Government Publishing Office] |
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LESSONS LEARNED FROM |
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THE TEXAS BLACKOUTS: RESEARCH NEEDS |
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FOR A SECURE AND RESILIENT GRID |
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======================================================================= |
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HEARING |
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BEFORE THE |
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COMMITTEE ON SCIENCE, SPACE, |
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AND TECHNOLOGY |
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HOUSE OF REPRESENTATIVES |
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ONE HUNDRED SEVENTEENTH CONGRESS |
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FIRST SESSION |
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MARCH 18, 2021 |
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Serial No. 117-5 |
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Printed for the use of the Committee on Science, Space, and Technology |
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[GRAPHIC NOT AVAILABLE IN TIFF FORMAT] |
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Available via the World Wide Web: http://science.house.gov |
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U.S. GOVERNMENT PUBLISHING OFFICE |
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43-633PDF WASHINGTON : 2021 |
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COMMITTEE ON SCIENCE, SPACE, AND TECHNOLOGY |
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HON. EDDIE BERNICE JOHNSON, Texas, Chairwoman |
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ZOE LOFGREN, California FRANK LUCAS, Oklahoma, |
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SUZANNE BONAMICI, Oregon Ranking Member |
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AMI BERA, California MO BROOKS, Alabama |
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HALEY STEVENS, Michigan, BILL POSEY, Florida |
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Vice Chair RANDY WEBER, Texas |
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MIKIE SHERRILL, New Jersey BRIAN BABIN, Texas |
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JAMAAL BOWMAN, New York ANTHONY GONZALEZ, Ohio |
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BRAD SHERMAN, California MICHAEL WALTZ, Florida |
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ED PERLMUTTER, Colorado JAMES R. BAIRD, Indiana |
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JERRY McNERNEY, California PETE SESSIONS, Texas |
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PAUL TONKO, New York DANIEL WEBSTER, Florida |
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BILL FOSTER, Illinois MIKE GARCIA, California |
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DONALD NORCROSS, New Jersey STEPHANIE I. BICE, Oklahoma |
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DON BEYER, Virginia YOUNG KIM, California |
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CHARLIE CRIST, Florida RANDY FEENSTRA, Iowa |
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SEAN CASTEN, Illinois JAKE LaTURNER, Kansas |
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CONOR LAMB, Pennsylvania CARLOS A. GIMENEZ, Florida |
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DEBORAH ROSS, North Carolina JAY OBERNOLTE, California |
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GWEN MOORE, Wisconsin PETER MEIJER, Michigan |
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DAN KILDEE, Michigan VACANCY |
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SUSAN WILD, Pennsylvania |
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LIZZIE FLETCHER, Texas |
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VACANCY |
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C O N T E N T S |
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March 18, 2021 |
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Page |
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Hearing Charter.................................................. 2 |
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Opening Statements |
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Statement by Representative Eddie Bernice Johnson, Chairwoman, |
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Committee on Science, Space, and Technology, U.S. House of |
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Representatives................................................ 7 |
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Written Statement............................................ 8 |
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Statement by Representative Frank Lucas, Ranking Member, |
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Committee on Science, Space, and Technology, U.S. House of |
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Representatives................................................ 9 |
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Written Statement............................................ 10 |
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Witnesses: |
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Dr. Jesse Jenkins, Assistant Professor of Mechanical and |
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Aerospace Engineering, Andlinger Center for Energy and the |
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Environment at Princeton University |
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Oral Statement............................................... 12 |
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Written Statement............................................ 15 |
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Dr. Varun Rai, Associate Dean for Research; Professor of Public |
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Affairs, LBJ School of Public Affairs at the University of |
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Texas at Austin |
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Oral Statement............................................... 32 |
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Written Statement............................................ 34 |
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Mr. Juan Torres, Associate Laboratory Director, Energy Systems |
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Integration National Renewable Energy Laboratory |
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Oral Statement............................................... 40 |
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Written Statement............................................ 42 |
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Ms. Beth Garza, Senior Fellow, R Street Institute |
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Oral Statement............................................... 56 |
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Written Statement............................................ 58 |
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Dr. Sue Tierney, Senior Advisor, Analysis Group |
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Oral Statement............................................... 69 |
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Written Statement............................................ 71 |
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Discussion....................................................... 91 |
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Appendix I: Answers to Post-Hearing Questions |
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Dr. Jesse Jenkins, Assistant Professor of Mechanical and |
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Aerospace Engineering, Andlinger Center for Energy and the |
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Environment at Princeton University............................ 132 |
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Dr. Sue Tierney, Senior Advisor, Analysis Group.................. 136 |
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Appendix II: Additional Material for the Record |
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Executive summary of a report submitted by Representative Sean |
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Casten, Committee on Science, Space, and Technology, U.S. House |
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of Representatives............................................. 140 |
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Documents submitted by Representative Bill Posey, Committee on |
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Science, Space, and Technology, U.S. House of Representatives.. 145 |
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Article submitted by Representative Bill Posey, Committee on |
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Science, Space, and Technology, U.S. House of Representatives.. 157 |
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Report submitted by Representative Brian Babin, Committee on |
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Science, Space, and Technology, U.S. House of Representatives.. 161 |
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LESSONS LEARNED FROM THE TEXAS |
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BLACKOUTS: RESEARCH NEEDS |
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FOR A SECURE AND RESILIENT GRID |
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---------- |
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THURSDAY, MARCH 18, 2021 |
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House of Representatives, |
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Committee on Science, Space, and Technology, |
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Washington, D.C. |
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The Committee met, pursuant to notice, at 10 o'clock a.m., |
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via Webex, Hon. Eddie Bernice Johnson [Chairwoman of the |
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Committee] presiding. |
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[GRAPHICS NOT AVAILABLE IN TIFF FORMAT] |
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Chairwoman Johnson. And without objection, the Chair is |
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authorized to declare recess at any time. |
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Before I deliver my opening remarks, I want to note that |
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Committee is meeting virtually, and I want to announce a couple |
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of reminders to the Members about the conduct of the hearing. |
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First, Members should keep their video feed on as long as they |
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are present in the meeting. Members are responsible for their |
|
own microphones. Please also keep your microphones muted unless |
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you are speaking. And finally, if Members have documents they |
|
wish to submit for the record, please email them to the |
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Committee Clerk, whose email address was circulated prior to |
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the meeting. These are our standard instructions, and I know |
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we'll all cooperate. |
|
Just a month ago on Valentine's Day, Winter Storm Uri |
|
descended upon Texas and broke cold temperature records across |
|
the State. Forty-eight percent of the electricity generation |
|
capacity for the State grid went offline due to frozen |
|
components and frozen fuel supplies. By February the 16th, four |
|
million Texas households were without power. Millions of Texans |
|
had no heat and no electricity for three days or more with |
|
temperatures well below freezing. At least 70 people died as a |
|
result of Winter Storm Uri and these power outages. One of them |
|
was just 11 years old. Cristian Pineda died of hypothermia |
|
after electricity was cutoff in his family's mobile home in |
|
Conroe, Texas. He had been trying to stay warm under a pile of |
|
blankets with his three-year-old brother. An eight-year-old |
|
girl and her mother died of carbon monoxide poisoning in Harris |
|
County after they ran the family car to try to stay warm. |
|
The electricity and heating crisis led to a severe water |
|
crisis. Water pipes burst, flooding homes. By Friday the 19th, |
|
12 million Texans were under a boil water advisory because the |
|
water supplies had fallen too low. And all of this happened in |
|
the midst of the greatest public health crisis this country has |
|
seen in a century, when families are dealing with lost loved |
|
ones, lost jobs, illness, and isolation. |
|
I'm lucky enough to have lost power for just 1 day, and I |
|
kept warm overnight just by piling on blankets. |
|
Texans, Texans deserve better. There was a lot of |
|
discussion in the immediate aftermath of the Texas blackouts |
|
about who to blame. There was a lot of misinformation and |
|
political jockeying. What seems clear already is that Electric |
|
Reliability Council of Texas, better known as ERCOT, failed to |
|
prepare its energy infrastructure for extreme weather |
|
conditions. It is unacceptable that millions of Texans were |
|
left without power for days on end during one of the worst |
|
winter storms in our State's history. |
|
But I know there is more for us to examine about what |
|
happened in Texas, and it is our responsibility as policymakers |
|
to get answers. Why didn't the models used by the utilities see |
|
this coming? Which systems and components performed well and |
|
which failed? Could better demand response technologies have |
|
allowed the Texas grid operators to ease the burden of these |
|
charges and outages? What was the role of climate change in |
|
enabling the conditions for this extreme weather episode? How |
|
ready is the electricity sector for future extreme weather |
|
events like wildfires and heat waves? That's what I had thought |
|
we'd be looking forward to but not this type of winter. Will |
|
Texas be brought to its knees if our grid is attacked by a |
|
sophisticated adversary? |
|
If we can get a clear-eyed understanding of how these |
|
failures occurred, we can help prevent them from happening in |
|
the future. What Texans endured last month must not be in vain. |
|
We must learn from this episode and redouble our research |
|
efforts in support of a more reliable, resilient electricity |
|
sector. |
|
Last Congress, our fellow Committee Member, Mr. Bera of |
|
California, introduced a bipartisan bill with Mr. Weber of |
|
Texas to do just that called the Grid Security Research and |
|
Development Act. I understand he intends to reintroduce this |
|
bill this Congress, and I look forward to working with him and |
|
my other colleagues on both sides of the aisle for this |
|
important effort. |
|
Today, I look forward to the testimony of our witnesses, |
|
some of whom were also personally affected by power outages. |
|
These five panelists represent some of the foremost experts in |
|
electricity reliability in the country, and we are honored to |
|
have them with us today. I hope that as the Texas Legislature |
|
considers what to do in response to this crisis, they will heed |
|
the lessons that we all share with us today. |
|
[The prepared statement of Chairwoman Johnson follows:] |
|
|
|
Just one month ago on Valentine's Day, Winter Storm Uri |
|
descended on Texas and broke cold temperature records across |
|
the state. Forty-eight percent of the electricity generation |
|
capacity for the Texas grid went offline due to frozen |
|
components and frozen fuel supplies. By February 16, four |
|
million Texas households were without power. Millions of Texans |
|
had no heat and no electricity for three days or more with |
|
temperatures well below freezing. |
|
At least 70 people died as a result of Winter Storm Uri and |
|
these power outages. One of them was just eleven years old. |
|
Cristian Peneda died of hypothermia after electricity was cut |
|
off in his family's mobile home in Conroe. He had been trying |
|
to stay warm under a pile of blankets with his three-year-old |
|
brother. An eight-year-old girl and her mother died of carbon |
|
monoxide poisoning in Harris County after they ran the family |
|
car to try to stay warm. |
|
And the electricity and heating crisis led to a severe |
|
water crisis. Water pipes burst, flooding homes. By Friday the |
|
19th, 12 million Texans were under a boil water advisory |
|
because the water supplies had fallen too low. And all of this |
|
happened in the midst of the greatest public health crisis this |
|
country has seen in a century, when families are dealing with |
|
lost loved ones, lost jobs, illness, and isolation. |
|
Texans deserve better. |
|
There was a lot of discussion in the immediate aftermath of |
|
the Texas blackouts about who to blame. There was a lot of |
|
misinformation and political jockeying, too. What seems clear |
|
already is that the Electric Reliability Council of Texas, |
|
better known as ERCOT, failed to prepare its energy |
|
infrastructure for extreme weather conditions. It is |
|
unacceptable that millions of Texans were left without power |
|
for days on end during one of the worst winter storms in our |
|
state's history. |
|
But I know there is more for us to examine about what |
|
happened in Texas, and it is our responsibility as policymakers |
|
to get answers. Why didn't the models used by the utilities see |
|
this coming? Which systems and components performed well and |
|
which failed? Could better demand response technologies have |
|
allowed the Texas grid operators to ease the burden of these |
|
outages? What was the role of climate change in enabling the |
|
conditions for this extreme weather episode? How ready is the |
|
electricity sector for future extreme weather events, like |
|
wildfires and heat waves? Will Texas be brought to its knees if |
|
our grid is attacked by a sophisticated adversary? |
|
If we can get a clear-eyed understanding of how these |
|
failures occurred, we can help prevent them from happening in |
|
the future. What Texans endured last month must not be in vain. |
|
We must learn from this episode and redouble our research |
|
efforts in support of a more reliable and resilient electricity |
|
sector. Last Congress, my fellow Committee Member, Mr. Bera of |
|
California, introduced a bipartisan bill with Mr. Weber to do |
|
just that, called the Grid Security Research and Development |
|
Act. I understand he intends to re-introduce this bill this |
|
Congress, and I look forward to working with him and my other |
|
colleagues on both sides of the aisle on this important effort. |
|
Today, I look forward to the testimony of our witnesses, |
|
some of whom were also personally affected by power outages. |
|
These five panelists represent some of the foremost experts in |
|
electricity reliability in the country, and we are honored to |
|
have you with us. I hope that as the Texas legislature |
|
considers what to do in response to this crisis, they will heed |
|
the lessons that you all share with us today. |
|
I yield to Ranking Member Lucas. |
|
|
|
Chairwoman Johnson. I now recognize and yield to our |
|
Ranking Member, Mr. Lucas. |
|
Mr. Lucas. Thank you, Chairwoman Johnson, for holding this |
|
important and timely hearing. |
|
Today, we have an opportunity to examine last month's |
|
blackouts in Texas and other Southern and Midwestern States. |
|
There is no better time to hear about the ongoing efforts by |
|
industry, Federal agencies, and the Department of Energy (DOE) |
|
national labs to learn from these events and adapt for the |
|
future. |
|
Before we begin, I'd like to express my gratitude for the |
|
safety of my Texas friends here, and I hope your families are |
|
well, and your districts, like mine, are on their way to |
|
recovery. |
|
I'd also like to commend the public utilities and member- |
|
owned cooperatives in my State for how well they managed their |
|
crisis and ensure the safety of their customers and my |
|
constituents. |
|
Physical and cyber threats to our power grid are |
|
constantly evolving. This incident, alongside last year's |
|
wildfires on the West Coast and the recent solar winds cyber |
|
attack highlights the need for congressional action to ensure |
|
the security and resilience of the U.S. energy sector. |
|
As we discussed these events and their causes, we on the |
|
Science Committee have a responsibility to focus on the long- |
|
term technological solutions that can help us prepare for and |
|
respond to the next trial. As the past year has shown, it's not |
|
a matter of if our grid will be tested again, it's a matter of |
|
when. The Science Committee has jurisdiction over DOE's |
|
electricity delivery, cybersecurity, energy security, and |
|
emergency response research and development (R&D) activities. |
|
This work is essential to maintaining the stability and |
|
flexibility of our grid not just for today's needs but also for |
|
the next generation's. |
|
Through its world-leading national laboratories and Grid |
|
Modernization Laboratory Consortium, DOE supports R&D in |
|
advanced grid modeling, grid energy storage, information |
|
sharing, and advanced control systems. By partnering with |
|
industry DOE can provide stakeholders with critical expertise |
|
and enable the deployment of new grid security tools and |
|
technologies. |
|
This morning, we will hear from Beth Garza, a Senior |
|
Fellow at R Street's Energy and Environmental Policy Team. She |
|
served as the Director of the Electric Reliability Council |
|
(ERCOT) of Texas, known to all of us as ERCOT, Independent |
|
Marketing Monitor from 2014 through 2019. Beth brings a |
|
critical perspective to this distinguished witness panel and |
|
could provide first-hand insight into ERCOT and the power |
|
supply industry as a whole. I look forward to her testimony |
|
highlighting the needs and challenges of our diverse and |
|
complex power delivery system. |
|
This hearing also will serve as an opportunity to discuss |
|
grid security legislation. Last year, H.R. 5760, the Grid |
|
Security Research and Development Act, passed by the House with |
|
strong bipartisan support. This legislation authorized the DOE |
|
(Department of Energy) research, development, and demonstration |
|
(RD&D) activities that focus on the discovery of innovative |
|
tools and technologies for energy sector security and |
|
resilience. The provisions of this bill were originally a |
|
central component of the bipartisan and bicameral Energy Act of |
|
2020, which became law last Congress. |
|
Unfortunately, due to last-minute jurisdictional claims |
|
from outside Committees, this bill had to be removed from the |
|
Energy Act at the 11th hour. I am hopeful that we can work |
|
together to once again introduce and pass grid security |
|
legislation this session, preferably this year. |
|
The energy sector faces unique challenges that require |
|
institutional knowledge and data that only the Department of |
|
Energy can provide. DOE is responsible for energy-critical |
|
infrastructure, which includes electric power, oil, and natural |
|
gas. It also has authority over the cybersecurity of energy |
|
delivery systems. Providing DOE researchers and industry with |
|
the tools they need to ensure the long-term security and |
|
resilience of our electric grid should be something we can all |
|
agree on. |
|
This Congress, I will prioritize getting these provisions |
|
over the finish line, working with my friends on both sides of |
|
the aisle to get this done. I thank our witnesses today for |
|
their valuable testimony at such a critical time, and I look |
|
forward to a productive discussion about how Federal agencies |
|
can work with industry to deliver affordable power to American |
|
homes, businesses, and essential services. |
|
Thank you, Madam Chair, and I yield back the balance of my |
|
time. |
|
[The prepared statement of Mr. Lucas follows:] |
|
|
|
Thank you, Chairwoman Johnson for holding this important |
|
and timely hearing. Today, we have an opportunity to examine |
|
last month's blackouts in Texas and other southern and |
|
midwestern states. There is no better time to hear about the |
|
ongoing efforts by industry, federal agencies, and the |
|
Department of Energy national laboratories to learn from these |
|
events and adapt for the future. |
|
Before we begin, I'd like to express my gratitude for the |
|
safety of my Texas friends here. I hope that your families are |
|
well and your districts--like mine--are on their way to a full |
|
recovery. |
|
Physical and cyber threats to our power grid are constantly |
|
evolving. This incident, alongside last year's wildfires on the |
|
West Coast and the recent SolarWinds cyber- attack, highlights |
|
the need for Congressional action to ensure the security and |
|
resilience of the U.S. energy sector. As we discuss these |
|
events and their causes, we on the Science Committee have a |
|
responsibility to focus on the long-term technological |
|
solutions that can help us prepare for and respond to the next |
|
trial. As the past year has shown, it's not a matter of if our |
|
grid will be tested again, it's a matter of when. |
|
The Science Committee has jurisdiction over DOE's |
|
electricity delivery, cybersecurity, energy security, and |
|
emergency response research and development activities. This |
|
work is essential to maintaining the stability and flexibility |
|
of our grid, not just for today's needs but also for the next |
|
generation's. |
|
Through its world-leading national laboratories and Grid |
|
Modernization Laboratory Consortium, DOE supports R&D in |
|
advanced grid modeling, grid energy storage, information |
|
sharing, and advanced control systems. By partnering with |
|
industry, DOE can provide stakeholders with critical expertise |
|
and enable the deployment of new grid security tools and |
|
technologies. |
|
This morning, we will hear from Beth Garza, a senior fellow |
|
with R Street's Energy & Environmental Policy Team. She served |
|
as director of the Electric Reliability Council of Texas |
|
(ERCOT) Independent Market Monitor from 2014 through 2019. Beth |
|
brings a critical perspective to this distinguished witness |
|
panel and can provide first-hand insight into ERCOT and the |
|
power supply industry as a whole. I look forward to her |
|
testimony highlighting the needs and challenges of our diverse |
|
and complex power delivery system. |
|
This hearing will also serve as an opportunity to discuss |
|
grid security legislation. Last Congress, H.R. 5760, the Grid |
|
Security Research and Development Act, passed the House with |
|
strong bipartisan support. This legislation authorizes DOE |
|
research, development, and demonstration activities that focus |
|
on the discovery of innovative tools and technologies for |
|
energy sector security and resilience. The provisions in this |
|
bill were originally a central component of the bipartisan and |
|
bicameral Energy Act of 2020, which became law last Congress. |
|
Unfortunately, due to last minute jurisdictional claims from |
|
outside committees, this bill had to be removed from the Energy |
|
Act in the 11th hour. I'm hopeful that we can work together to |
|
once again introduce and pass grid security legislation this |
|
year. |
|
The energy sector faces unique challenges that require |
|
institutional knowledge and data that only the Department of |
|
Energy can provide. DOE is responsible for energy critical |
|
infrastructure, which includes electric power, oil and natural |
|
gas. It also has authority over the cybersecurity of energy |
|
delivery systems. Providing DOE researchers and industry with |
|
the tools they need to ensure the long-term security and |
|
resiliency of our electric grid should be something we can all |
|
agree on. This Congress I will prioritize getting these |
|
provisions over the finish line, working with my friends on |
|
both sides of the aisle to get this done. |
|
I thank our witnesses today for their valuable testimony at |
|
such a critical time. I look forward to a productive discussion |
|
about how federal agencies can work with industry to deliver |
|
affordable power to American homes, businesses, and essential |
|
services. |
|
Thank you Madam Chair and I yield back the balance of my |
|
time. |
|
|
|
Chairwoman Johnson. Thank you, Mr. Lucas. |
|
And at this time if there are persons who would wish to |
|
submit a statement for the record, you're welcome to do that. |
|
I'd like now to introduce our witnesses. Dr. Jesse Jenkins |
|
is an Assistant Professor at Princeton University with a joint |
|
appointment in the Department of Mechanical and Aerospace |
|
Engineering, and the Andlinger Center for Energy and |
|
Environment. Dr. Jenkins also leads the Princeton ZERO Lab, the |
|
Zero carbon Energy systems Research and Optimization |
|
Laboratory. He earned his Ph.D. in engineering systems and a |
|
master's in technology and policy from the Massachusetts |
|
Institute of Technology (MIT). |
|
Dr. Varun Rai is the Walt and Elspeth Rostow Professor in |
|
the LBJ School of Public Affairs at the University of Texas |
|
(UT) at Austin. He is the Director of the UT Energy Institute |
|
and Associate Dean for Research in the LBJ School. He received |
|
his Ph.D. and his master's in mechanical engineering from |
|
Stanford University and a bachelor's degree in mechanical |
|
engineering from Indian Institute of Technology. |
|
Dr. Juan Torres is the Associate Laboratory Director of |
|
Energy Systems Integration at the National Renewable Energy |
|
Laboratory (NREL). In this role, he oversees NREL's research to |
|
modernize and strengthen the security, resilience, and |
|
sustainability of the Nation's electrical grid. Prior to his |
|
time at NREL, he had a 27-year career at Sandia National |
|
Laboratories. Mr. Torres holds a bachelor's degree in |
|
electronic engineering technology from the University of |
|
Southern Colorado, a master's degree in electrical engineering |
|
from the University of New Mexico. |
|
Ms. Beth Garza is a Senior Fellow with R Street's Energy |
|
and Environmental Policy Team. Ms. Garza previously served as |
|
the Director of Electric Reliability Council of Texas, |
|
Independent Market Monitor from 2014 through 2019 after serving |
|
as a Deputy Director since 2008. She is a graduate of the |
|
University of Missouri and a registered professional engineer |
|
in the State of Texas. |
|
Last but certainly not least, Dr. Sue Tierney is a Senior |
|
Advisor at Analysis Group, an economic consulting firm located |
|
in Boston. She is a former Assistant Secretary for Policy at |
|
the U.S. Department of Energy, State Cabinet Officer for |
|
Environmental Affairs, and State Public Utility Commissioner |
|
and has more than 35 years of experience in this field. Her |
|
master's degree and Ph.D. in regional planning are from Cornell |
|
University. |
|
I want to thank all of our outstanding witnesses for |
|
joining us today. And as our witnesses should know, you will |
|
have 5 minutes for your spoken testimony. Your written |
|
testimony will be included in the record for the hearing. When |
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you have completed your spoken testimony, we will begin our |
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questions. Each Member will have 5 minutes to question you as a |
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panel. |
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Now we will start with Dr. Jenkins. Dr. Jenkins, you may |
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begin your testimony. |
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TESTIMONY OF DR. JESSE JENKINS, ASSISTANT PROFESSOR |
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OF MECHANICAL AND AEROSPACE ENGINEERING, |
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ANDLINGER CENTER FOR ENERGY |
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AND THE ENVIRONMENT AT PRINCETON UNIVERSITY |
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Dr. Jenkins. Thank you, and good morning. My name is Jesse |
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Jenkins, and I must note that the views expressed in this |
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testimony are my own and I am not speaking as a Representative |
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of Princeton University. |
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I'd like to first thank Chair Johnson and Ranking Member |
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Lucas and the Members of this Committee for inviting my |
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testimony, and I commend the Committee for holding this hearing |
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and for trying to get to the bottom of what went wrong in Texas |
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during last month's extreme cold. The truth is there is plenty |
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of blame to go around. The failures to plan for and build |
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resilience to this extreme cold were systemic. All sources of |
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power experienced failures from natural gas and coal plants to |
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wind turbines and even one of the State's four nuclear |
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reactors. |
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The energy crisis was not limited just to the power |
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system. Natural gas wells and pipelines also froze, cutting off |
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gas supply just as it was needed most. And State and Federal |
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policymakers alike all failed to require more robust |
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winterization measures after a 2011 storm provided ample |
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warning of the fragility of Texas's energy infrastructure to |
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extreme cold. |
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These systemic failures make it easy to cherry-pick claims |
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that advance one's preferred narrative, but the dozens of |
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Texans who died and the millions who suffered through the |
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crisis deserve a full account of what went wrong. And now is |
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the time to learn from the crisis and to take steps to prepare |
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for the extreme weather that all Americans face, threats that |
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climate change is making more severe. |
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Energy systems can and should be made more resilient with |
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existing technology. After all, wind turbines operate today in |
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Antarctica, gas plants in Alberta, and gas wells in Alaska. Of |
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course, weatherizing our infrastructure comes at an added cost |
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that must be paid back every year in the hopes that devastating |
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but rare crises are avoided. In this way, building resilience |
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to extreme events is a bit like buying fire insurance for your |
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home. Most of us buy insurance not because we ever expect our |
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homes to burn, but we know that if such a tragedy should occur, |
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we'd lose everything, and building our lives back may be |
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impossible. So we pay the premium every year. Determining how |
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much insurance in the form of investment in grid resilience is |
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worth it, and what kinds of crises we wish to protect against |
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is thus the key question. |
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Answering this question is more difficult now than ever |
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because the changing climate means the past is no longer a safe |
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guide to the future. Extreme weather events are dangerous |
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because our critical infrastructures are resilient only up to a |
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point. When pushed a little bit further, a few degrees colder |
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or hotter, an inch more rain, these systems can fail in |
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catastrophic ways. |
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This is where research can make a difference. Expanded |
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investment in climate science could help planners build more |
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resilient systems. This research should focus on assessing |
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impacts on critical infrastructures and identifying |
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catastrophic failure modes. |
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We must also look forward to the technologies needed to |
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build a resilient, affordable, and clean electricity system. We |
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can see a glimpse of this feature in Texas where wind and solar |
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provide a quarter of all electricity in 2020, more than 2.5 |
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times the national average. Yet during this crisis, wind and |
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solar provided at times a tiny fraction of their maximum |
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output, leaving some to question can we assure a clean and |
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resilient grid with a larger role for wind and solar power? The |
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answer is yes, and to understand why, we need to understand the |
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role of each resource in our electricity system. |
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We don't need every source of electricity to be reliable |
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at all times. What we need is the system to be reliable, and |
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that requires a mix of electricity resources all playing the |
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right role. Wind and solar don't deliver value by being |
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dependable. Everyone knows the wind is inconstant and the night |
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affects solar output. Wind and solar deliver real value as |
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fuel-saving resources. When available, these resources displace |
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costlier sources of electricity from fuel-consuming resources |
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like natural gas and coal. That saves billions of dollars and |
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helps reduce carbon dioxide emissions. |
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What we also need is to maintain sufficient firm |
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generating capacity to deliver necessary reliability. Firm |
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resources are technologies that are available on-demand any |
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time of the year for as long as needed. These characteristics |
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make firm resources a critical complement to weather-dependent |
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renewable energy sources, as well as resources like batteries |
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that are best suited to fast bursts of use rather than |
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sustained output over several days or weeks. |
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For instance, Princeton's Net-Zero America study, which I |
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co-authored, finds that the United States needs to maintain a |
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similar magnitude of firm generating capacity as we have today |
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as the Nation makes a big but affordable transition to net zero |
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greenhouse gas emissions. |
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Over the next decade existing gas capacity and nuclear |
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reactors can act as firm resources and ensure reliability as |
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wind and solar expand and displace coal and gas-fired |
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generation. But reaching 100 percent carbon-free electricity |
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systems will ultimately require sufficient clean firm capacity, |
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and the time to invest in these technologies is now. Wind, |
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solar, lithium ion batteries took decades to improve, including |
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funding from R&D, demonstration and creation of early market |
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opportunities through subsidies and standards. This proven |
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process of making clean energy cheap must now be replicated for |
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a full portfolio of clean firm technologies. |
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In the Energy Act of 2020, this Committee worked on a |
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bipartisan basis to enact critical new authorizations to |
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advance many of these innovative clean firm technologies. More |
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effort and investment will be required to scale up and improve |
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these technologies in the years ahead beginning with |
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appropriations this year to make new authorizations a reality. |
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Thank you for having me today, and I look forward to |
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engaging with you on these critical questions. |
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[The prepared statement of Dr. Jenkins follows:] |
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[GRAPHICS NOT AVAILABLE IN TIFF FORMAT] |
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Chairwoman Johnson. Thank you, Dr. Jenkins. |
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Dr. Varun Rai. |
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TESTIMONY OF DR. VARUN RAI, |
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ASSOCIATE DEAN FOR RESEARCH; |
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PROFESSOR OF PUBLIC AFFAIRS, |
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LBJ SCHOOL OF PUBLIC AFFAIRS |
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AT THE UNIVERSITY OF TEXAS AT AUSTIN |
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Dr. Rai. Thank you, Chair Johnson. Good morning, everyone. |
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Good morning to Ranking Member Lucas and other Members of the |
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Committee. My name is Varun Rai. I'm a Professor at the |
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University of Texas at Austin, and thank you for the |
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opportunity to appear before you for this important hearing. |
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I live in Austin, Texas. Texas-wide power outages started |
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early morning on the 15th of February, affecting more than 4 |
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million homes and businesses over 3 days. Inside our house, the |
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temperature went down into the 30's for several days. It was |
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like living inside of a refrigerator for days. Sadly, some of |
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my fellow Texans died due to the crisis and aren't around to |
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tell their tales. |
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There were three key contributors to the severity of the |
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impact. First, equipment in both power generation and gas |
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production systems froze. After another blackout in Texas in |
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2011, winterization of both power and gas equipment was |
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identified as a high-priority item. Some changes were made |
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based on those recommendations, but most standards are |
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requirements tied to operational performance in extreme cold |
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were set. This has meant that there is insufficient overall |
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investment in winterization of the energy system in Texas. |
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Second, there were gaffes in communication and |
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coordination. As part of ERCOT's load shedding, power to many |
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oil and gas field operations were shut down, which meant a |
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further strain on gas production on top of declines in |
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production due to the weather. Power was also lost at water |
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treatment and pumping facilities across the State. On the |
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customer side, there was an absolute lack of coordinated, |
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consistent, and timely emergency communication to the people of |
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Texas. This translated the extreme weather-induced stress on |
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the power system into a severe humanitarian crisis. |
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Third, even with clear warning of a severe weather event |
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days and even weeks ahead, there were not enough calls in |
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advance to reduce demand and conserve energy, including both |
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electricity and gas. In my view, not mobilizing enough |
|
voluntary demand reduction during the weather event was the |
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single biggest lost opportunity to minimize the impacts of the |
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crisis. |
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Looking ahead, to learn fully from the Texas power crisis |
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of February 2021 there are five questions that need further and |
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immediate research to support decisionmaking. Over 4 million |
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homes and businesses in Texas lost power during the crisis. |
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Power outage led to a water crisis. The power and water |
|
failures put millions of Texans under extreme physical, mental, |
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and financial stress. The load sheds were based on |
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unsophisticated critical-load lists, which did not account for |
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infrastructure interdependency, thus we need research and--to |
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design load-management strategies to minimize extreme stress |
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for households , taking into account the interdependent nature |
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of critical infrastructure and implications for fairness and |
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equity. |
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Some early estimates put the damages and economic losses |
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upwards of $100 billion. The full scale and scope of costs and |
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losses are multifaceted, for example, damages to water |
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infrastructure and loss production at manufacturing facilities |
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and bankruptcies of companies and local utilities and local |
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governments. We should consider all these factors when |
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evaluating the benefits and costs of infrastructure |
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investments. There is critical need to support research that |
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advances a more robust and comprehensive accounting and |
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understanding of the full scale of damages that result from |
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extreme events. |
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As I mentioned before, one of the biggest failures in the |
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days leading up to the event was how poorly the demand side was |
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engaged. Demand flexibility, both programmatic and voluntary, |
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will inevitably need to play a much larger and effective role |
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in the future to maintain system reliability in the face of |
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extreme events. Achieving that flexibility at very large scale |
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and over short timeframes of hours and days is an important |
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area of further research. |
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To outside observers, during much of the crisis there was |
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very little information and data about the status of the system |
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and how it might evolve. People were not just in power |
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darkness; they were also in information darkness. To address |
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this, there is a need to design data-sharing mechanisms and |
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collaborative efforts, including researchers at universities |
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and national labs with appropriate data-governance mechanisms |
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to enable monitoring, analysis, feedback, and problem-solving |
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by the broader community around and during crises. |
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With the frequency of extreme weather events expected to |
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increase as impacts of climate change unfold further, the need |
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to understand the long-term benefits and cost of connecting |
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ERCOT to the U.S. Eastern and Western grids is also immediate. |
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In particular, we need research that accounts for climate- |
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induced stresses on the energy system, systemwide |
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vulnerabilities and options, changing energy mix, and changing |
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nature of demand. |
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Thank you again for the opportunity to present at this |
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hearing, and I look forward to the discussion. |
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[The prepared statement of Dr. Rai follows:] |
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[GRAPHICS NOT AVAILABLE IN TIFF FORMAT] |
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Chairwoman Johnson. Thank you, Dr. Rai. |
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Mr. Juan Torres. |
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TESTIMONY OF MR. JUAN TORRES, |
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ASSOCIATE LABORATORY DIRECTOR, |
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ENERGY SYSTEMS INTEGRATION |
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NATIONAL RENEWABLE ENERGY LABORATORY |
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Mr. Torres. Chairwoman Johnson, Ranking Member Lucas, |
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Members of the Committee, thank you for the opportunity to |
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discuss [inaudible]. I commend the Committee for this timely |
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hearing, as it will inform research that will help guide the |
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Nation toward a more secure and resilient energy future. My |
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name is Juan Torres, and I serve as the Associate Laboratory |
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Director for Energy Systems Integration at the U.S. Department |
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of Energy's National Renewable Energy Laboratory, or NREL, in |
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Golden, Colorado. I've been affiliated with Federal research in |
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our national laboratory system for over 30 years. In my current |
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position, I direct NREL's efforts to strengthen the security |
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resilience and sustainability of our Nation's electric grid. In |
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addition, I'm Co-Chair for the DOE Grid Modernization |
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Laboratory Consortium and Technical Lead for its Security and |
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Resilience Teams. |
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I observed the catastrophic failures of the Texas energy |
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system not just as a research engineer but as a concerned |
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parent, as both of my children reside in Texas. My son works in |
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Austin and my daughter is a graduate student in Irving. The |
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severity of the event was clear when the conversations with |
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them became do you have enough food, water, and blankets? Sit |
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in your car and run it to charge your phone and get warm. |
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Tragically, many others in the Texas community had it much |
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worse. |
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It's been said that necessity is the mother of invention. |
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I can say that we have many needs with regards to the power |
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grid, but I'm also hopeful because we as a nation have the |
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innovation and horsepower to meet these needs. But where do we |
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start? First, we need to understand where we came from and |
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where we're going. There is no single owner, operator, or |
|
architect for the U.S. power system. It is an engineering |
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marvel influenced by a collective of stakeholders over more |
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than a century. |
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Recent years have seen the grid evolve from a network |
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based on large, centralized generation to a hybrid system |
|
incorporating more distributed renewable resources. Significant |
|
changes are also occurring at the grid edge near the consumer. |
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Never before has a consumer been more proactive and engaged |
|
with the operation of the grid. Real-time pricing, transactive |
|
energy, smart appliances and lighting, grid-interactive |
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buildings and smart loads, electric vehicles, and residential |
|
photovoltaics are just some of the technologies transforming |
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the edge of the grid. And we have yet to understand the long- |
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term energy impacts that innovations resulting from COVID-19's |
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influence on the work-from-home culture. |
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Equally important is awareness of the dynamic threat space |
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which includes not only severe weather but also physical |
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attacks, geomagnetic disturbances, electromagnetic pulse (EMP) |
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events, and the ever-growing cyber threat. I offer the |
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following recommendations based on critical lessons from the |
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recent outage in Texas and other past major storm events. |
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First, take actions to harden the grid and generation |
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fleet to the broad spectrum of evolving threats for improved |
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monitoring, planning, investments, and technology advancements. |
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Second, address the overall resilience of the energy |
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system from fuel to generation, to delivery, to end-use, taking |
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into account interdependent infrastructure such as |
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communication systems, natural gas pipelines, and |
|
transportation systems. |
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Third, research how a grid with more controllable devices |
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and increasingly high penetrations of variable renewable |
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generation can be even more secure and resilient than today's |
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grid. |
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While these challenges are considerable, research is |
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lighting the path forward. Let me give you some examples. DOE's |
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Grid Modernization Initiative (GMI) and the 14 national labs in |
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the Grid Modernization Laboratory Consortium have been working |
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with industry and academia to tackle grid research challenges |
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over the past 5 years in devices, advanced architectures and |
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controls, design and planning tools, generation, sensors, |
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regulatory policy support, and security and resilience. |
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NAERM, the North American Energy Resilience Model, is a |
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DOE multi-lab comprehensive modeling capability being developed |
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to support grid planning and investment and to understand the |
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grid's state of resilience while considering interdependencies |
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with the natural gas and communication sectors. |
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ARIES, NREL's state-of-the-art Advanced Research on |
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Integrated Energy Systems platform, is leading the way for |
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large-scale experimentation and cyber emulation of the future |
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grid from behind the meter to the bulk transmission system. |
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We've only just opened the door to many new research |
|
directions. |
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Thank you for the opportunity to speak to you today. I |
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look forward to any questions you may have. |
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[The prepared statement of Mr. Torres follows:] |
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[GRAPHICS NOT AVAILABLE IN TIFF FORMAT] |
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Chairwoman Johnson. Thank you very much, Mr. Torres. |
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Ms. Beth Garza. |
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TESTIMONY OF MS. BETH GARZA, |
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SENIOR FELLOW, R STREET INSTITUTE |
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Ms. Garza. Thank you. Good morning, Chairwoman Johnson, |
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Ranking Member Lucas, and Members of the Committee. Before I |
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get started, I want to add my recognition to the tremendous |
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human impacts suffered by Texans during the February winter |
|
storms. I'm sure the efforts of this Committee will help ensure |
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that the U.S. infrastructure--excuse me--becomes better able to |
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withstand the challenges that it faces. |
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Today, I'm going to discuss three areas where research |
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would be of most value. These are forecasting, the |
|
weatherization or winterization of power plants and their fuel |
|
supply, and the third area is the improved granularity of |
|
operation and control of demand within the electricity |
|
distribution systems. |
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So starting with forecasting, demand for electricity is |
|
very sensitive to weather conditions, primarily temperature, |
|
and as an industry, we've become very good at forecasting |
|
customer demand based on foreseeable weather conditions. |
|
However, if we had a better long-term view of potential weather |
|
conditions, system preparedness and resiliency would improve. |
|
ERCOT prepares and publishes an assessment of demand and |
|
supply for each season. Unfortunately, their forecast for |
|
extreme demand this past winter was based on weather |
|
experienced during February 2011. The weather conditions |
|
actually experienced this year were much were much more severe. |
|
I believe all electric utility systems would benefit from new |
|
forecasting tools and techniques to ensure their longer-range |
|
planning is preparing them for the conditions that they may |
|
face. |
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Moving on to the winterization of supply, I caution that |
|
it's too early to draw detailed conclusions about the causes of |
|
all of the generator outages that we--that resulted in the |
|
curtailment of firm load, but based on preliminary data, it is |
|
clear that every type of generation--nuclear, coal, natural |
|
gas, wind, and solar--were limited in some manner during the |
|
extreme cold that we experienced. |
|
Also, based on preliminary data, generator outages were |
|
primarily the result of insufficient weatherization and fuel |
|
supply disruptions. I've heard that maybe half of the outages |
|
that natural gas plants--power plants were due to the lack of |
|
fuel delivered at sufficient volumes and pressures. It's too |
|
early to draw specific conclusions other than to recognize the |
|
codependence of electricity and natural gas systems, especially |
|
in Texas. |
|
Much has been made of the lack of mandatory winterization |
|
standards for power plants, and I suggest that it's easy to say |
|
that winterization should be mandatory, but effective |
|
regulations require a specific standard to be met, and any such |
|
standard should also have benefits that exceed cost. And one of |
|
the challenges power plants and natural gas system owners in |
|
Texas face is appropriately assessing the winterization |
|
benefits due to the relative infrequency of very cold weather. |
|
Winterization comes in various forms with different costs and |
|
performance implications, and understanding these costs and |
|
performance tradeoffs will be very valuable to the standard- |
|
setting process. |
|
My last point has to do with distribution system |
|
improvements. Texas has an expansive advanced metering |
|
infrastructure. Preliminary results indicate that the Texas |
|
smart grid was not managed in a particularly smart manner. For |
|
example, the General Manager of Austin Energy, my local public |
|
power utility, described our advanced meters as capable of |
|
being disconnected remotely but requiring a person in the field |
|
to reconnect. |
|
This same topic came up during a recent hearing at the |
|
Texas legislature where an executive from CenterPoint Energy, |
|
which serves the greater Houston area, described different |
|
limitations preventing them from using their advanced meters to |
|
manage curtailment. And limitations as I've heard them |
|
described seem to be a lack of supplemental technologies |
|
combined with institutional and policy differences. The same |
|
improvements that could have eased the burden of these lengthy |
|
outages to a subset of customers could also form the foundation |
|
for demand to express their willingness to pay and receive |
|
higher reliability. The ability to use scarce supply to serve |
|
demand, which values it the most, is the foundation of economic |
|
efficiency. |
|
I look forward to your questions. Thank you. |
|
[The prepared statement of Ms. Garza follows:] |
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[GRAPHICS NOT AVAILABLE IN TIFF FORMAT] |
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Chairwoman Johnson. Thank you very much, Ms. Garza. |
|
Dr. Sue Tierney. |
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TESTIMONY OF DR. SUE TIERNEY, |
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SENIOR ADVISOR, ANALYSIS GROUP |
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Dr. Tierney. Good morning, Chairman--Chairwoman Johnson, |
|
Ranking Member Lucas, and Members of the Committee. My name is |
|
Sue Tierney. Although I am testifying today on my own behalf, I |
|
also share various grid resiliency and research-related |
|
recommendations from two recent National Academies of Sciences |
|
Committees on which I have served. |
|
The recent power outages in Texas led to extremely |
|
challenging living conditions for millions of people and of |
|
course the tragedy of 70 people having lost their lives. It |
|
disrupted access to critical services like heating and water |
|
supply. This crisis highlights the critical role that reliable |
|
and resilient electric service plays in the health and well- |
|
being of Americans. |
|
It is clear that steps could have been taken by State |
|
officials, grid operators, and energy companies in Texas that |
|
would have lessened the extent of the crisis in these human |
|
hardships. These events cry out for the need for further |
|
research to ensure a resilient electric supply, especially as |
|
we anticipate worsening and more frequent extreme weather |
|
conditions in the decades ahead. |
|
The Federal Government has an essential role to play here. |
|
As the Academies of Sciences' 2017 report on enhancing the |
|
resiliency of the electric grid pointed out--and I'm quoting |
|
here--``The Department of Energy is the Federal entity with a |
|
mission to focus on the longer-term issues of developing and |
|
promulgating technologies and strategies to increase the |
|
resilience and modernization of the grid.'' No other entity in |
|
the United States has the mission to support such work. This is |
|
a public good. If funding were not provided by the Federal |
|
Government, this gap in research won't be filled by the States |
|
or the private sector. In short, this is a role for the Federal |
|
Government. |
|
In my written testimony, I discussed factors that affected |
|
the power outages in Texas and related research needs. Because |
|
others on the panel have already talked about the Texas |
|
electricity crisis, I would only add a couple of points. Texas |
|
is the only State in the United States with an electric |
|
industry structure that combines an energy-only competitive |
|
wholesale market and mandatory customer choice among |
|
competitive retail suppliers. This is largely viewed by |
|
academic economists as having been a successful electricity |
|
market design, although some observers, including myself, have |
|
questioned whether such an approach that relies explicitly on |
|
the expectation of very high electricity prices, at times power |
|
shortages, is politically sustainable in the event that such |
|
conditions actually occur. |
|
Now, for several years the North American Electric |
|
Reliability Council (NERC) pointed--has pointed out ERCOT's |
|
slim reserve margins as contributing to reliability risks. |
|
Texas previously experienced winter conditions which created |
|
electric reliability problems. In following up on |
|
investigations in 2011, the staff of the Federal Energy |
|
Research--Regulatory--excuse me, Regulatory Commission (FERC) |
|
and NERC said the outages could have been avoided, and they |
|
encouraged State policymakers to adopt policies to encourage |
|
performance of the system under stressful conditions. However, |
|
for the most part, policymakers and the electric and gas |
|
industries in Texas did not act on these recommendations, and |
|
this set the stage for the events in February this year. |
|
Clearly, these are a chilling reminder of the critical need for |
|
reliable and resilient electricity in the--our basic needs. |
|
Although the Texas electricity crisis was an unusual |
|
event, it could happen anywhere, and proactive steps should be |
|
taken to lower the risk impacts of the occurrences. The 2017 |
|
Reliability and Resilience Report from the National Academies, |
|
along with a new report in February 2021 on the future of the |
|
power system, identified grid resilience as a key issue. In my |
|
written testimony, I have provided seven pages of findings and |
|
recommendations from these two studies, and I won't go through |
|
them here. Let me just mention a very short set. |
|
First, we conclude that research--scientific research and |
|
applied development and demonstration programs related to the |
|
electric industry should be tripled. That's for science, and |
|
much more of this support should be in multiyear |
|
appropriations. |
|
I see my time is up, and I would encourage the Committee |
|
to take a careful look at my written testimony for the |
|
additional recommendations. And I appreciate so much the |
|
Committee's attention to these important issues. Thank you. |
|
[The prepared statement of Dr. Tierney follows:] |
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[GRAPHICS NOT AVAILABLE IN TIFF FORMAT] |
|
|
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Chairwoman Johnson. Thank you very much. |
|
At this point we will begin our first round of questions, |
|
and I will recognize myself for 5 minutes. Dr. Rai, you pointed |
|
out that ERCOT's strategy for implementing load curtailment in |
|
order to keep demand and supply roughly even while generation |
|
supplies were out was basically all or nothing. Rather than |
|
users curtailing part of their electricity demand by lowering |
|
their thermostats or cutting some of their electricity use, |
|
entire subnetworks were either on or off. Is this how Houston |
|
got into the infuriating situation where people were freezing |
|
in their homes and yet when they looked across the way at |
|
downtown, all the buildings were lit up and electrified with no |
|
one inside? |
|
And the second question, how could a smarter load |
|
management strategy provide for more equity in grid operations |
|
during an emergency so that low-income neighborhoods don't take |
|
it all on the chin more than others? Dr. Rai, could you |
|
enlighten us a bit? |
|
Dr. Rai. Thank you so much for that question, Chairwoman |
|
Johnson. Your sense is right. The severity of the supply |
|
disruption was so high that in many parts, in most parts of |
|
Texas only critical load and critical circuits were kept alive. |
|
Everything--all the load-critical circuits, a majority of them, |
|
were shed. And that meant that the noncritical load that are |
|
part of the critical load circuits that were kept alive, they |
|
also stayed on, and there was not much ability, again, just |
|
because of the severity and the depth of the event to rotate |
|
outages. |
|
And so that's linked very much to your second part of the |
|
question, Chairwoman Johnson, in terms of being able to rotate |
|
the outages and being fair and equitable about it. It did mean |
|
that there were several parts across Texas where lower-income |
|
communities did have to weather more brunt of the whole event. |
|
And so as we heard from Ms. Garza, a much more granular |
|
approach to how this--these events are managed, the |
|
technologies do exist, but they do operate also in the |
|
underlying regulatory as well as operational context. And |
|
taking a holistic look at that is extremely important, but it |
|
is very possible and is one of the top priorities--it is one of |
|
the most low-hanging fruits there, Chairwoman. |
|
Chairwoman Johnson. Thank you very much. Dr. Jenkins, you |
|
spoke in your testimony about the evidence tells us that caused |
|
these blackouts. I'd like to ask just a quick yes or no answer. |
|
Forbes published an op-ed in February of 2017 which claimed |
|
that a renewably sourced energy captures a larger share of the |
|
power grid. Outages become inevitable. Is this true? |
|
Dr. Jenkins. No, that's not true. If power systems |
|
maintain sufficient firm generation that complement wind and |
|
solar, we can maintain reliability and expand the role of wind |
|
and solar, lowering costs and lowering carbon dioxide |
|
emissions. |
|
Chairwoman Johnson. The Texas Public Policy Foundation |
|
published a statement in February--on February the 16th which |
|
claimed that fossil fuel electric generation didn't fail. Is |
|
that true? |
|
Dr. Jenkins. That's not correct. We had over 30,000 |
|
megawatts of fossil generation capacity that was on forced |
|
outage during the crisis making up the bulk of the total |
|
electricity shortfall during the blackout, so natural gas power |
|
plants in particular were the largest absolute contributor to |
|
generation outages during the events. |
|
Chairwoman Johnson. Thank you. In the same statement, the |
|
Texas Public Policy Foundation claimed that blackouts never |
|
would have been an issue had our grid not been so deeply |
|
penetrated by renewable energy sources. Is that true? |
|
Dr. Jenkins. That's not correct. There was sufficient firm |
|
generation capacity installed that if it had operated as |
|
intended, it would have supplied adequate supplies for the |
|
system. The Texas system operator plans on as little as 1,700 |
|
megawatts of contribution from wind and solar power during |
|
extreme winter events such as that occurred in February, and so |
|
just a small fraction of what Texas was counting on to be there |
|
was wind and solar power. What Texans were counting on were |
|
natural gas and other firm power sources, and when those firm |
|
power sources fail, that's when widespread blackouts can occur. |
|
Chairwoman Johnson. Thank you very much. My time is |
|
expired. I'll now call on our Ranking Member Mr. Lucas for 5 |
|
minutes of questions. |
|
Mr. Lucas. Thank you, Madam Chair. My home district in |
|
Oklahoma was also impacted by last month's winter storms and |
|
great interruptions. And while data is still being collected, |
|
one thing is clear. No single energy source, be it coal, wind, |
|
or natural gas, carries all the blame. The fact is a diverse |
|
supply of affordable, reliable energy sources is essential to |
|
the success of our power delivery system. |
|
Ms. Garza, Mr. Torres, how will the adoption of new energy |
|
sources and hybrid energy systems affect how Congress and the |
|
Federal Government should be addressing grid security and |
|
resilience? And whichever one would care to go first. |
|
Ms. Garza. Well, you said my name first, so I guess I'll |
|
go first, Mr. Lucas. You--your comment was dead on. It--we all |
|
benefit from--I believe we all benefit from a wide variety of |
|
energy sources, and so with that we have to recognize common |
|
causes of failure across all of those sources. But just having |
|
more and different types of generation should prove to be more |
|
reliable rather than relying all on one. |
|
Mr. Lucas. Mr. Torres? |
|
Mr. Torres. Thank you for the question, Representative |
|
Lucas. What I see is that the evolution of renewables here, |
|
we're still at a state where we're not putting the same |
|
expectations on those renewables as we have on some of the |
|
legacy baseload types of generation or other fossil generation. |
|
For example, you know, I gave a testimony not long ago on black |
|
start, so putting those kinds of requirements so we can start |
|
to build that in to some of the new emerging technologies is |
|
really important. |
|
One of the other differences is, as renewables are coming |
|
into play a bigger part of our energy portfolio, they're not |
|
located as just centralized generation plants but also as |
|
distributed resources. So now we can generate power, you know, |
|
at--near the loads at homes and businesses, and that gives us |
|
different opportunities to use renewables for things like |
|
microgrids to provide some local resiliency for critical loads. |
|
So this is actually--the new technologies are giving us new |
|
opportunities and potential that we haven't had before with |
|
strictly centralized generation. |
|
Mr. Lucas. This Congress I plan to reintroduce my bill, |
|
the Securing American Leadership in Science and Technology Act, |
|
which calls for the doubling of funding in DOE's Office of |
|
Science. Ms. Garza, what research is needed for technologies |
|
like advanced sensors and controls to assist the grid in |
|
emergency response? |
|
Ms. Garza. So the--so some of the challenges we face in |
|
terms of the outages and how those curtailments are managed, |
|
they are managed in a very blocky manner if you will. And how |
|
that works is a device in a substation is open, cutting off |
|
electricity to hundreds if not a couple of thousands of |
|
customers. And those actions are required to be taken very |
|
quickly, and that's how, you know, over the centuries we |
|
realized how to do it. |
|
But technology exists to allow those very fast actions--I |
|
believe exist to allow those very fast actions to occur in a |
|
more granular level. We don't need to take out a whole feeder |
|
at once where along that feeder you could have some critical |
|
loads, there are some noncritical loads, there are some, you |
|
know, differing levels of reliability requirements for all of |
|
those customers. And by knowing that across your system, it |
|
seems like we could manage the reaction or the response in a |
|
much more granular and a much more targeted level than we're |
|
able to do now, and that in my mind requires software sensors, |
|
you know, all the whizbang stuff that needs to exist to allow |
|
that to occur. |
|
Mr. Lucas. Mr. Torres, in the time I have remaining how |
|
can fundamental research in areas like materials science and |
|
advanced computing support this work, this effort? |
|
Mr. Torres. I believe that there's opportunity to develop |
|
more inherently resilient materials that will comprise the grid |
|
of the future, so building your resilience into the system from |
|
the ground up, make it an inherent element in how we operate |
|
and how we design our systems. There is opportunities with |
|
things like artificial intelligence to help us better assess |
|
with forecasting information how to optimize operation of the |
|
grid. We can also utilize distributed computing to help us |
|
manage and operate the grid much differently than we do today |
|
where we operate in very, very centralized control |
|
architecture. |
|
Mr. Lucas. Thank you, Madam Chair. |
|
Chairwoman Johnson. Thank you very much. And I will ask |
|
the Clerk now to assist us in going to our Members for |
|
questions. |
|
Staff. Mr. Bera is next. |
|
Mr. Bera. Thank you, Madam Chairwoman and to the Ranking |
|
Member, for convening this hearing. Obviously, very timely and |
|
incredibly important. |
|
I also, you know, appreciate the Raking Member's comments, |
|
but, you know, if we take the politics out of this, it's not, |
|
you know, one type of electrical source versus another versus |
|
another. It's what can we do to create redundancy here and |
|
redundant sources. And if we could remove the politics, you |
|
know, we could let the science and entrepreneurial spirit of |
|
America address these issues. And, you know, far too often it's |
|
the politics that prevent us from recognizing that our climate |
|
is changing, that we're having more extreme events that are |
|
occurring similar to the winter snowstorm in Texas but also in |
|
my home State of California. We see increasing wind events that |
|
have led to, you know, wildfires, you know, they have now led |
|
to rolling blackouts when we see the wind starting to pick up. |
|
And, you know, that is unfortunately going to become more |
|
common, not less common. |
|
Part of the reason we have introduced in the last few |
|
Congresses the Grid Security Research and Development Act was |
|
we do have to make those investments in research in both the |
|
physical security of our electrical grid but also the cyber |
|
risk that our electrical grid faces. And, you know, I'm pleased |
|
that the Chairwoman and the Ranking Member, we passed it out of |
|
Committee and we passed it out of the House twice last year, |
|
did not quite get across the finish line, but we're going to |
|
reintroduce that act, which is bipartisan and, you know, get |
|
that through the Senate and get that to the President's desk. |
|
And we think that would be a big first step. |
|
You know, maybe a question for Dr. Tierney. You talked |
|
about the Academy and some of the recommendations that the |
|
Academy was making in terms of research but also security. |
|
Could you expand on some of those recommendations and, you |
|
know, if we were to prioritize where we ought to focus, you |
|
know, what your recommendations would be? |
|
Dr. Tierney. Thank you for that great question, |
|
Representative Bera. And speaking on behalf of myself, I think |
|
this--the bill that you plan to introduce is a very powerful |
|
tool to help with security and resilience in the face of |
|
cybersecurity events and other kinds of events as well. |
|
So the 2021 report called ``The Future of the Electric |
|
Grid'' included a number of recommendations regarding |
|
congressional authorization, appropriations, and DOE |
|
implementation of RD&D related to cybersecurity in particular. |
|
First, one of the things that we called for was--is the |
|
updating periodically of research and development roadmaps with |
|
regard to cyber. The world is changing very fast in this way, |
|
and it--at the moment, the research agenda is not keeping up |
|
with the changes that are in place. That would involve a number |
|
of things associated with capability to visualize what's going |
|
on in the grid, information detection and controls, sensor data |
|
in order to capture that kind of information, critical needs |
|
for a workforce in this area that is really up to snuff. There |
|
are very serious needs in terms of developing the expertise. |
|
I know you have limited time in here, so I'll stop there |
|
and follow up if you'd like. |
|
Mr. Bera. OK. Fantastic. You know, it occurs to me that, |
|
you know, one of the--you know, our energy rates in California |
|
obviously are higher than the rates in Texas, and, you know, |
|
while the Federal Government doesn't dictate what States |
|
charge, you know, our user rates are higher because, you know, |
|
we have tried to create that redundancy and so forth. And, you |
|
know, my impression is Texas rates are lower because they had |
|
chosen not to, you know, do some of the physical measures to |
|
protect against these extreme weather events. |
|
Again, I understand the independence of Texas and, you |
|
know, we can't go in there and tell them you've got to raise |
|
your rates and--what levers do we have, you know, again, |
|
wanting to protect the citizens of Texas from another extreme |
|
event like this? And, again, I don't know who best to answer |
|
that question, but, you know, what are things that we could do |
|
to compel Texans to do the right thing to protect their |
|
citizens? |
|
Dr. Tierney. Well, it is the case that Texas is |
|
independent from a--from Federal supervision under the Federal |
|
Power Act on rates, but for reliability purposes, Texas is |
|
under the supervision of the North American Electric |
|
Reliability Council, and that has implemented authority from |
|
Congress through the FERC to address reliability. So there is |
|
room there under current authority to put much stronger |
|
incentives at least for Texas to adopt different behaviors. |
|
Mr. Bera. Right. Just, again, knowing many Texans, my |
|
preference isn't to tell the Texans what to do. Congressman |
|
Sessions would get mad at me if I did that. But it's to work |
|
together as the United States of America to make sure we |
|
protect all our citizens. |
|
So with that I'll yield back, Madam Chairwoman. |
|
Staff. Mr. Posey is next. |
|
Chairwoman Johnson. Mr. Posey. |
|
Mr. Posey. Thank you. And I really appreciate |
|
Congresswoman Johnson for holding this hearing. |
|
My questions are for Mr. Torres. Grid security is American |
|
security. Do you agree with that statement? |
|
Mr. Torres. I do. |
|
Mr. Posey. Thank you. Any component plugged into the grid |
|
must be beyond reproach and ideally a source from trusted |
|
suppliers that are not affiliated with or controlled by or |
|
manufactured by an adversarial country like China. This |
|
approach will support our energy independence. On page 8 of |
|
your testimony you rightly mentioned that the new rise in |
|
cybersecurity vulnerabilities are real, especially as it |
|
relates to new energy technologies, and one trend that is a |
|
challenge for the system resilience according to you is the |
|
loss in control and knowledge of the technology supply chain. |
|
Could you explain to this Committee how the Department of |
|
Energy has a system reliance challenge involving the loss of |
|
control and knowledge of the technology supply chain? |
|
Mr. Torres. Sure. What I meant to say there--and I can |
|
elaborate on that--is the fact that the grid and the elements |
|
that we're putting in the grid are driven by the market, and we |
|
operate and we procure energy components in a global market. |
|
And even when we purchase equipment and systems today from a |
|
U.S. vendor, that doesn't necessarily imply that everything in |
|
that system or device comes--is all manufactured by that vendor |
|
because they typically buy subcomponents, other software |
|
elements from vendors that can be global. It could be centered |
|
in other countries. It could be chipsets, it could be firmware, |
|
it could be software and other pieces of hardware that comprise |
|
the system that we don't necessarily always have full control |
|
over. |
|
So understanding and providing some sort of guidance for |
|
how we can track what goes into those critical elements, |
|
especially when we're talking about things like black start |
|
and, you know, if the power grid entirely is blacked out, it |
|
could take days to weeks, maybe even longer to restart the--a |
|
large part of the grid. And so we have to be fully aware and |
|
confident in everything that's in the grid when we're |
|
restarting it. |
|
So those kinds of things I don't believe exist, especially |
|
for those kinds of procedures don't exist in the policies and |
|
directions of where we're going with some of the newer |
|
technologies. We don't have the same expectations for some of |
|
the new technologies yet. We've been managing nuclear power |
|
plants and coal plants and gas plants for a long time, and we |
|
know how to do that, but we don't necessarily understand it as |
|
technologies are evolving what we need to do for things that |
|
may be added to the grid in the future. |
|
Mr. Posey. Yes, I hope that we can all agree it would be |
|
stupid for us to have power grids full of Chinese chip |
|
components. On May 1 of 2020, former President Trump signed an |
|
Executive Order 13920 to prohibit the acquisition of |
|
installation of certain bulk power system electrical equipment |
|
sourced from foreign adversaries that pose a demonstrated undue |
|
risk. Are you familiar with the bulk power Executive Order that |
|
was signed and suspended by the current President until April |
|
20th with Executive Order 13990? |
|
Mr. Torres. Yes, I am. |
|
Mr. Posey. Do you know if the current Administration plans |
|
to reinstate the Executive order to ensure America's grid |
|
security? |
|
Mr. Torres. I do not know. |
|
Mr. Posey. If you find out, would you be kind enough to |
|
let us know? |
|
Mr. Torres. I will work with the Department of Energy to |
|
provide you all the information that I can. |
|
Mr. Posey. Thank you very much, Mr. Torres. Madam Chair, I |
|
yield back. |
|
Chairwoman Johnson. Thank you very much. |
|
Staff. Ms. Stevens is next. |
|
Ms. Stevens. Thank you so much. Usually those of us in the |
|
North--Northern States make the quips about how our friends in |
|
Southern States, you know, aren't used to cold weather. The |
|
reality is in this case there isn't a quip to make because the |
|
crisis and the event that took place in Texas and in Oklahoma |
|
was catastrophic. And the history books will remember that the |
|
Chairwoman of the Science, Space, and Technology Committee |
|
brought us together for this hearing to get an understanding of |
|
the research needs that must go in to making sure that we have |
|
a grid that works. Lives were lost, people were put into tons |
|
of pain, business was impacted, and in the United States of |
|
America this is just something we never want to see, in the |
|
middle of a pandemic, mind you. So I appreciate all the expert |
|
and--you know, expert witness testimony here today. |
|
I did mention that I come from Michigan, and much of our |
|
conversation as it pertains to the grid in my State is focusing |
|
on electric vehicles. And I did want to ask a couple of you-- |
|
and I think you all may be equipped to lean in on this--but how |
|
equipped is our grid for the arrival of electric vehicles in |
|
the sense that they are right now comprising one percent of |
|
cars on the road with projection to go much higher than that? |
|
And even if we--you know, I think much higher than we are, we |
|
have to look at grid capacity. So I'd just--I'd be--you know, |
|
Beth, I see you're nodding your head. If you want to jump in, |
|
that would be great. |
|
Ms. Garza. So I think--thank you for the question. It's a |
|
great question. It's certainly one that's being discussed and |
|
deliberated in, you know, the energy policy world. There |
|
certainly are--there certainly is spare capacity currently in |
|
the distribution system to allow, you know, me or my neighbor |
|
to go get an electric vehicle and plug it in and we're--and |
|
that'll be fine. The questions then are, you know, once that |
|
becomes--you know, moves from 1 percent to 50 percent of the |
|
market, where are the stress points? Where do those exist? And |
|
I have every confidence that we can expand the grid and adjust |
|
the grid to manage that. |
|
I think also required is the interaction between, you |
|
know, advance control aspects because, for example, you know, |
|
do you really want to be charging electric vehicles if there's |
|
a person next door that doesn't have electricity to their house |
|
because there's not enough supply, right? We have to be able to |
|
price and value the different uses of electricity, and we need |
|
the systems and software and techniques to be able to balance |
|
that. |
|
Ms. Stevens. Yes, thank you. And let's also just talk--you |
|
know I've got a minute and a half left. Let's just also talk |
|
about--and I'm sure my other colleagues are going to get into |
|
this--but the designing of a cleaner grid. So in a recent New |
|
York Times article, you know, they're obviously reflecting on |
|
1/3 of America's greenhouse gas emissions are accounted for by |
|
transportation. You know, each year the electric cars and |
|
trucks are widely seen as a crucial part of the solution to |
|
climate change. It would also help if the electric grid that |
|
fueled these vehicles got a lot cleaner. Who has some thoughts |
|
about that and some of the ways in which we could make our |
|
electric grid cleaner? |
|
Dr. Jenkins. Representative Stevens, I could answer that |
|
question. Thank you. |
|
Ms. Stevens. Yes, thank you. |
|
Dr. Jenkins. Yes, over the next 10 years it would be |
|
possible if we continue to accelerate the pace of deployment of |
|
wind and solar, which I think we can do as these industries |
|
scale up, to increase the contribution of wind and solar from |
|
about 10 percent of our electricity today to as much as half by |
|
2030. That would significantly help--that would help |
|
significantly reduce carbon dioxide emissions from the |
|
electricity sector, which is the No. 2 total source of |
|
emissions today, about 1/4 of our greenhouse gas emissions, by |
|
reducing the use of coal-fired and natural gas generation even |
|
if we keep the natural gas capacity around as a firm generation |
|
source. |
|
And so we can reduce emissions probably on the order of 70 |
|
to 80 percent over the next decade in the electricity sector by |
|
scaling up technologies that are affordable and ready to go |
|
today. And we can use that same decade to proactively invest in |
|
the clean firm generation technologies that will ultimately |
|
need to replace or retrofit our existing natural gas fleet. If |
|
we do that, the power sector can help decarbonize |
|
transportation as well, as you noted, through electric |
|
vehicles, as well as heating through heat pumps. |
|
Ms. Stevens. Great, thank you so much. I yield back. |
|
Staff. Ms. Bice is next. |
|
Ms. Bice. Thank you, Madam Chair. Thank you to all the |
|
witnesses this morning. |
|
This first question quickly is directed at Ms. Garza. You |
|
mentioned earlier that forecasting is based on a 10-year |
|
lookback. Can you expand on that? Because that seems really |
|
unbelievable to me. |
|
Ms. Garza. So the weather conditions, using--so I'll be |
|
upfront and say as a utility industry--and I consider myself |
|
part of that--we're not the most creative folks, and so all we |
|
know to do is to--is what we have experienced. And when ERCOT |
|
looks at their--looked at their seasonal forecast, even their |
|
extreme weather forecast or the demand resulting from extreme |
|
weather for this winter, all they had in their records was the |
|
extreme winter we had in 2011. And that's--that--we--that was a |
|
bad--we had rolling outages then. That was a bad situation. |
|
That was the most extreme we'd seen, and so that was the basis |
|
of an extreme forecast. And, as it turned out, we suffered |
|
something worse than that, so we were not fully versed or fully |
|
aware of what the potential could be. And so understanding that |
|
potential is what I'm--was what I was trying to get at. |
|
Ms. Bice. Thank you for clarifying that point. Mr. |
|
Jenkins, this question is for you. Would you be surprised to |
|
know that there has not been a nuclear reactor started online |
|
in over 30 years? |
|
Dr. Jenkins. No, I would not be surprised. Actually, there |
|
was one reactor that had been restarted the TVA (Tennessee |
|
Valley Authority) brought online, but yes, it's been a long |
|
time since we started construction or finished a project on |
|
time. |
|
Ms. Bice. So how do you think that the adoption of the |
|
newest technology, which is the small cell nuclear reactors, |
|
could actually play into the electric grid and actually address |
|
some of the concerns with availability of electricity on a |
|
large scale? |
|
Dr. Jenkins. Yes, so new small modular reactors could be a |
|
more affordable source of clean firm generation capacity, along |
|
with advanced geothermal energy, hydrogen combustion turbines |
|
or fuel cells, and carbon capture and sequestration on natural |
|
gas or coal or biomass-fired power plants. So all of those |
|
options, which this Committee has supported in the past on a |
|
bipartisan basis, can be developed proactively over the next |
|
decade, can be introduced into the market, made cheaper over |
|
time, and can ultimately help contribute to a more resilient |
|
and cleaner electricity system. |
|
Ms. Bice. I think that my point here is we've talked a lot |
|
about wind and solar but nobody has bothered to talk about |
|
nuclear. And although it's a very touchy subject, I understand |
|
that the dynamics of that, I think it's something we should be |
|
mindful of because nuclear sort of addresses some of the |
|
environmental issues that we see---- |
|
Dr. Jenkins. Yes. |
|
Ms. Bice [continuing]. With, let's say, natural gas and |
|
coal. But the newest technology, which is just now coming |
|
around with these small nuclear reactors, actually provides an |
|
opportunity for us to increase capacity pretty greatly |
|
actually---- |
|
Dr. Jenkins. Yes. |
|
Ms. Bice [continuing]. With less of an impact overall to |
|
anyone. |
|
Dr. Jenkins. Yes, and if I could just emphasize also there |
|
are research needs that could help extend the life of our |
|
existing nuclear fleet, which is our largest source of carbon- |
|
free generation and a key foundation to build on going forward. |
|
Ms. Bice. And I'm for your deal in investing more in |
|
research. I'm sure this Committee on a bipartisan basis would |
|
also agree with that. |
|
My last question, we talked a lot about the challenges |
|
with Texas and the impact of the natural gas shutdown. This |
|
question is for anyone. Do you believe that the winterization |
|
of the natural gas delivery and production could have prevented |
|
the large-scale failure that we saw? I think it was a 30 |
|
percent reduction in delivery capacity. |
|
Dr. Tierney. I think this is a very important issue, and |
|
I'm really glad you brought it up. The incentives need to work |
|
to make sure that the generators are arranging for gas in a |
|
winterized way so that the gas supply can be helpful in |
|
critical periods like Texas just experienced. The National |
|
Academies report calls for a--an effort to make the gas |
|
industry processing production delivery system more reliable |
|
and visible, along the lines of what we already have on the |
|
electric side, so there is a lot of work could be done there. |
|
Dr. Rai. I think something I can add there is in terms of |
|
the visibility I think there is a lot of scope in terms of how |
|
the production happens and how it is impacted. It is--we are |
|
still finding out exactly what the impact was upon production |
|
losses because of winterization. The general answer is yes, it |
|
would have helped, but there's a lot of, you know, information |
|
needs and visibility needs there as well. |
|
Dr. Jenkins. Yes, we---- |
|
Ms. Bice. Yes, I'll just close--I'm sorry, go ahead. |
|
Dr. Jenkins. I was going to say and it goes both |
|
directions, so they were losses of power to compressor stations |
|
that are needed to keep pressure up in the gas pipelines as |
|
well, and so the inter-linkages of these two systems is |
|
critical and needs to be explored and strengthened. |
|
Ms. Bice. And I'll just wrap up my closing by saying that |
|
I think that we've learned a little bit about making sure that |
|
infrastructure across the United States, whether it be in Texas |
|
or in California, that we're keeping up with maintenance on |
|
that infrastructure to prevent things like huge power outages |
|
or wildfires from occurring because of the lack of |
|
infrastructure upkeep. I yield back, Madam Chair. |
|
Staff. Ms. Wild is next. |
|
Ms. Wild. Thank you very much. Thank you, Madam Chair, for |
|
convening this hearing. |
|
My district is one of the districts in Pennsylvania. |
|
Pennsylvania has long been an energy leader in our country. And |
|
one of the things that I really wanted to get into is |
|
Pennsylvania is connected to a multistate grid, PJM |
|
Interconnection, which moves electricity from New Jersey down |
|
to South Carolina--excuse me, North Carolina, and as far west |
|
as Illinois covering all or some of 15 States and the District |
|
of Columbia. |
|
Drs. Rai and Jenkins, I wanted to ask you, how can |
|
multistate and regional grids reduce the risk our grid faces |
|
from severe weather and other threats relative to single state |
|
grids? And I'll just go ahead and ask the rest of the question. |
|
You can cover it as you will. What benefits would multistate |
|
grids offer for reliability and resilience as we transition |
|
toward renewable energies like solar and wind? |
|
Dr. Rai. Thank you so much---- |
|
Dr. Jenkins. I---- |
|
Dr. Rai. Thank you so much for that question, Ms. Wild. |
|
The answers are--there's a lot of questions in there. The last |
|
major studies about the value of interconnecting ERCOT |
|
[inaudible] to the other two grids were done a couple decades |
|
ago or over that. There have been other studies, smaller |
|
studies but really not a very big, significant. Times have |
|
changed a lot. Technologies have changed a lot. All three grids |
|
have experienced increased penetration of renewables. And as |
|
Dr. Jenkins mentioned, that is a trend that is going to only |
|
grow. There is a very strong and immediate need to take a much |
|
more careful leap. |
|
It is just like, you know, how our source of natural gas |
|
helped us in hard times. We reach out for water, for food, for |
|
support. These interconnections were just the same way. If |
|
you're impacted differently, there is a lot of support and |
|
supplies that can act--that can be accessed through these |
|
interconnections. And it actually did happen even during this |
|
crisis for parts of the interconnection bringing in some power |
|
from the Eastern into the midcontinent region as well. |
|
Ms. Wild. Dr. Jenkins, did you want to add something to |
|
that? |
|
Dr. Jenkins. Yes. No, I second everything that Professor |
|
Rai just said. Just one thing to add is that I know that Texas |
|
has deliberately stayed out of the Eastern interconnection or |
|
Western interconnection in order to maintain its independent, |
|
State-run electricity markets. That could continue to be |
|
maintained while expanding direct-current inter-ties with the |
|
rest of the Eastern or Western interconnect. There are some |
|
existing transfer capacities between the two--between the |
|
Eastern interconnect and Texas and between Mexico and Texas. |
|
Those could be extended or expanded particularly into the West, |
|
and to the Western interconnect as well without synchronizing |
|
the ERCOT grid with the rest of the system. And so there's not |
|
really, you know, a tension there between greater--a greater |
|
ability to import and export power and the independence of the |
|
ERCOT market. And I think that's an area that Texas should |
|
consider how much of that investment is worthwhile going |
|
forward. |
|
Ms. Wild. OK. Well, thank you. That's very illuminating. I |
|
also wanted to focus on storage a little bit, which is one of |
|
the issues that energy sector executives in my district talk |
|
about all the time in connection with clean energy transition, |
|
the need for scalable, efficient, and affordable energy storage |
|
so that our grid will stay reliable. How would that kind of |
|
energy storage capacity have lessened the impact of the extreme |
|
weather in Texas? |
|
And my follow-up is what research questions should the |
|
scientific community and DOE investigate to ensure that energy |
|
storage capacity is resilient? |
|
Dr. Jenkins. So I would say that the bulk of the energy |
|
storage capacity we are adding to the grid today are lithium- |
|
ion batteries, the same kind of battery storage in electric |
|
vehicles. Those are very affordable and getting cheaper every |
|
year and provide a lot of flexibility on short timescales over |
|
the course of a few hours. |
|
Unfortunately, in this crisis if Texas had more battery |
|
storage capacity, it would've helped at the beginning of the |
|
crisis, but those batteries would have run out of power on |
|
Monday and, you know, not provided much more beyond that. |
|
So in terms of research needs, you know, there are other |
|
reliability and resiliency threats the shorter-duration |
|
batteries can help with other than these sustained outages and |
|
also longer-duration energy storage technologies that could |
|
provide sustained output for days or even weeks could |
|
potentially play a larger role in these sorts of events. |
|
But ultimately, you know, long events like this require |
|
firm generation capacity that can sustain its output without an |
|
energy limitation that storage has. |
|
Ms. Wild. Thank you. And, Dr. Rai, did you want to add |
|
anything to that in my last 15 seconds? |
|
Dr. Rai. Just very quickly that there is a very important |
|
need to also look at large-scale demand-side engagement and how |
|
that can be engaged even for longer durations because that's a |
|
very tough nut to crack with storage for a long time. |
|
Ms. Wild. Thank you so much. With that, I yield back, |
|
Madam Chair. |
|
Staff. Mr. Feenstra is next. We can't hear you, Mr. |
|
Feenstra. It looks like you have a headset connected. |
|
Staff. Mr. Feenstra, next to where you can mute and |
|
unmute, there's a little triangle or you can click on that and |
|
check and see what audio devices you are using. Still cannot |
|
hear you. No, sir, still cannot hear you. |
|
Mr. Feenstra. Can you hear me now? |
|
Staff. We can hear you. |
|
Mr. Feenstra. Sorry about that. I just wanted to say thank |
|
you, Madam Chair and Ranking Member Lucas. Before I start, I |
|
just wanted to thank each of the witnesses for their testimony |
|
and sharing their extensive research and educated opinions with |
|
us. |
|
You know, the weather this February in Iowa, you know, we |
|
saw a lot of the drastic things. Our temperatures dropped below |
|
28 below 0. We had 24 inches of snow. Part of my district, yes, |
|
we saw rolling blackouts and it was a pretty big deal. It's |
|
important that we all do what we can to protect and modernize |
|
the grid that we have to ensure the resiliency and protect from |
|
these large-scale rolling blackouts. |
|
So the question is for Dr. Jenkins. You highlighted the |
|
importance of clean electricity to an affordable transition to |
|
a net zero emissions economy in your testimony. My district in |
|
Iowa is one of the top wind energy areas in the country. New |
|
wind and solar generation is in our region but is tremendously |
|
bottlenecked by the transmission constraints. Mason City, a |
|
town in my district, will be the home to one of the two power |
|
converter stations for an organization called the SOO Green |
|
HVDC (high-voltage direct current) Link transmission line. This |
|
line will power renewable energy from Iowa into northern |
|
Illinois with--being connected with a PJM power market. |
|
So this is my question. How do we create transmission |
|
lines like this that create redundancy and increase clean |
|
energy availability and transport this energy to densely |
|
populated regions like the East Coast and Chicago and things |
|
like that? We're trying to do this in Iowa, but again, we have |
|
a tremendous bottlenecked that is going on with our |
|
transmission. |
|
Dr. Jenkins. Yes, as you know in Iowa and across much of |
|
the country we have an incredible American resource in the form |
|
of wind power, as well as solar energy potential across much of |
|
the country, but to use that effectively, we have to be able to |
|
bring that energy from where it's generated to where we consume |
|
it. It's much the same as with our natural gas and oil |
|
resources in the country or our coal resources where we have to |
|
build the natural gas pipelines and the rail lines to bring, |
|
you know, natural gas and coal to where we need it. |
|
And so a modern transmission system that is built to |
|
export wind and solar power from where it's cheapest to our |
|
cities is a critical piece of an affordable and more resilient |
|
electricity system that will benefit economically those |
|
exporting regions. |
|
And there are research needs as well that could help us |
|
improve the cost of direct-current transmission lines, the |
|
converter stations and other components of those systems, as |
|
well as identify cheaper ways to underground lines, which could |
|
help reduce public opposition to expansion. |
|
So it's a--maybe I'll defer to Ms. Tierney for more on the |
|
regulatory side of things, but there are significant research |
|
questions there for us to think about as well. |
|
Mr. Feenstra. And that's a great point. I mean, this line |
|
is an underground line running adjacent to the railroad |
|
system---- |
|
Dr. Jenkins. Yes. |
|
Mr. Feenstra [continuing]. So it's a perfect line, secure |
|
and everything like that. I'm going to ask any one of you. I |
|
mean, what incentives would you look at it to try to create |
|
private-sector dollars to create these transmission lines? |
|
Dr. Tierney. Could I start by saying that in most |
|
instances it's not financial incentives that are the problem |
|
with bottlenecking the lines. It is really related to ensuring |
|
that there is public participation in the process and ensuring |
|
that there are regional issues that are taken into |
|
consideration in the siting of new transmission lines. |
|
The National Academies report has requested that Congress |
|
enact and declare a new national transmission policy that not |
|
just is about resiliency and reliability but it's also about |
|
opening up regions of the country with very high-quality wind |
|
resources, for example, and that that is something that should |
|
be taken into consideration when States and the Federal |
|
Government are acting to approve lines. |
|
The SOO line is pretty amazing in terms of how it was |
|
developed and sited, and I think it's a great example of the |
|
kinds that we should see in the future. |
|
Dr. Rai. Mr. Feenstra, if I could add quickly, one of the |
|
great examples of infrastructure investments in Texas has been |
|
bringing much of the wind that is generated in the western side |
|
of Texas into the load centers much to the south and the east, |
|
and that was done over a period of about a decade with over $7 |
|
billion of investment. And that required as--just as, you know, |
|
Sue mentioned, a lot of public participation, as well as a very |
|
long and detailed regulatory process to get into that. But it |
|
was done and it has played a tremendous role in diversification |
|
of the energy system here in Texas and will be important in the |
|
future as well. |
|
Mr. Feenstra. Yes, thank you for both of your comments on |
|
that. I absolutely agree. I think the other big issue is a |
|
regulatory issue with SOO Energy and these organizations that |
|
are trying to do transmission lines. They're really struggling. |
|
It takes years to get regulatory approvals on these things, and |
|
if we could turn down that timeline, that would be fantastic. |
|
Thank you, and I yield back. |
|
Staff. Mr. Bowman is next. |
|
Mr. Bowman. Thank you, Madam Chair and Ranking Member |
|
Lucas, and thank you to our witnesses. |
|
Dr. Rai, you emphasized a need for better communication |
|
and coordination in events like what happened in Texas and the |
|
need to organize a voluntary reduction of demand. When it comes |
|
to threats to the grid and energy shortages, do you have |
|
additional thoughts on how we can design emergency preparedness |
|
efforts so that they are truly community-driven and equitable? |
|
Are there any precedents for how this can work well that you |
|
have in mind while crafting your testimony? |
|
Dr. Rai. That's a great question, Mr. Bowman. I would like |
|
to just remind as--I was, you know, with my family during the |
|
crisis, and it was in utter chaos after a couple days in the |
|
household. Literally--and there was very little coordinated |
|
information that was coming to us. We were banking on neighbors |
|
and, you know, other friends for any little bit of information |
|
other than high-level system information. |
|
When--in times of--there is a lot of precedents. For |
|
example, in times of major hurricanes, there is a lot of great |
|
work that has happened in this country over the last several |
|
decades. There is a lot of great infrastructure and significant |
|
investment that goes on into weather forecasting and emergency |
|
system preparation. When ahead of time information is shared, |
|
then people pair up, people get ready and leave, get to safety. |
|
It does tie back to security concerns and in particular |
|
that is an added complexity in the electricity system. If an |
|
event like this further gets complicated, as was mentioned by |
|
Dr. Torres, that in events like this further in the restart |
|
process, in the black start process you have additional |
|
cybersecurity-related threats, that can really complicate |
|
matters a lot. So, you know, I would say when multiple events |
|
can really get out of control, really focusing on those events |
|
and crafting solutions that take those matters into |
|
consideration. |
|
Dr. Jenkins. Could I just add to that briefly---- |
|
Dr. Tierney. Well, on the equity question---- |
|
Dr. Jenkins. Sorry, go ahead, Sue. |
|
Mr. Bowman. Please. |
|
Dr. Tierney. Well, on the equity question there are things |
|
that utilities are doing around the country in vulnerable areas |
|
where there are disadvantaged populations. There are |
|
prepositioning of community heating or cooling centers where |
|
there's--that that will remain connected to the grid as a |
|
critical service area. There are prepositioning of crews to |
|
help with addressing restoration of service. And those are all |
|
part of a resilient grid, you know, planning and getting it |
|
ready for when you need it, and that's really important for |
|
folks who just really need electricity for heating and cooling. |
|
Dr. Jenkins. Yes, I was just going to echo that, that it's |
|
not just the resilience of the system but also our preparedness |
|
to respond when accidents and crises do strike that leads to |
|
the human cost of these crises, and so anticipating these kinds |
|
of extreme weather events and better preparing for them, |
|
particularly with a focus on the most vulnerable populations, |
|
can make a huge difference in the--you know, the economic and |
|
physical human toll of these kinds of events. |
|
Dr. Rai. Mr. Bowman, very quickly, one other point---- |
|
Mr. Bowman. Yes. |
|
Dr. Rai [continuing]. Of the story is how much local |
|
community and local leaders got together and really got the |
|
State and our communities through this. It was one of the |
|
biggest, most powerful untold stories, but the truth is that in |
|
events like this, which might actually get more frequent, we |
|
cannot let it down to the households and the communities to |
|
always fend for themselves. There is need for Federal and State |
|
action at a very high level. |
|
Mr. Bowman. OK. Thank you all very much for those answers. |
|
I yield back my time. |
|
Staff. Mr. Obernolte is next. |
|
Mr. Obernolte. Well thank you very much to our panelists. |
|
This has been a fascinating discussion. My first question is |
|
for Dr. Jenkins. You said something in your testimony that I |
|
found very interesting. You attributed a lot of these failures |
|
to a failure to require contingency plans, and you said some |
|
interesting things about risk when you draw an analogy with |
|
insurance policies. So I wanted to ask you about that risk, |
|
because, in my home State of California, one of the risks to |
|
power generation is earthquakes, and what you quickly find is |
|
there is no way to completely insulate power generation from |
|
that risk. You know, you have to accept that a certain severity |
|
of earthquake is the one that you're planning for, and that, |
|
you know, that anything beyond that is going to affect your |
|
resiliency. And so I'm wondering, you know, how do we parse |
|
this risk? I mean, at what point do we say that we want our |
|
grid to be 99.99 percent resilient, but not .999 percent |
|
resilient because it would be too expensive? How do we do the |
|
math on that? |
|
Dr. Jenkins. Yeah, I do think it's a challenging equation, |
|
and the threats that each region faces are going to be |
|
different, and that's one of the things I tried to emphasize in |
|
the testimony. So for Texas it might be these extreme cold |
|
events, but elsewhere it's wildfires, or earthquakes. So I'd |
|
say there's two things. One is to think about the relatively |
|
cost-effective measures that can be taken to push back that |
|
failure mode, so that it's a little bit stronger earthquake |
|
before things go down, or a little bit colder temperatures |
|
before the system fails, and there are a number of these |
|
measures that are quite affordable. You know, winterization of |
|
wind turbines, for example, heat tracing of critical sensors |
|
and feed pipes, for example, as resilience to cold, that |
|
could've been taken in Texas, indeed were pointed at in |
|
previous reports, and in many cases were just not taken or not |
|
maintained. |
|
And so there are some--first some affordable things that |
|
can be done to push back the breaking point. And then the |
|
second thing, which I think we're emphasizing in the response |
|
to Congressman Bowman's question, is that we also need to think |
|
about how we respond, and I think in earthquakes that's, you |
|
know, something California is well prepared for, right? The-- |
|
you do know that earthquakes are a risk, and there are |
|
emergency and contingency plans in place. And I think what |
|
climate change means is that we have to check our blind spots |
|
on those kinds of, you know, weather-related risks because, you |
|
know, if the 2011 storm in Texas was used as the high water |
|
mark for, you know, for the threat, and the reality was that |
|
that was inadequate to plan for the severity of, you know, what |
|
could've been possible. |
|
So that's where future climate research that could |
|
better--help us better understand how those extreme threats are |
|
evolving, and what steps could be taken to better prepare for |
|
them would be very helpful, because the past---- |
|
Mr. Obernolte. Sure. |
|
Dr. Jenkins [continuing]. As I said, is not a good guide |
|
for the future anymore. |
|
Mr. Obernolte. Right. Well, I think your point is that |
|
there were steps that could and should have been taken in Texas |
|
that were reasonably cost-effective, but I think everyone needs |
|
to realize that a 100 percent resilient grid is statistically |
|
impossible, and at---- |
|
Dr. Jenkins. Exactly, yeah. |
|
Mr. Obernolte [continuing]. Some point you're going to get |
|
to a level where the additional cost is not worth the reduction |
|
in risk. So---- |
|
Dr. Jenkins. Yeah. And---- |
|
Mr. Obernolte [continuing]. There's always going to be a |
|
point at which, you know, the grid could statistically fail. |
|
Dr. Jenkins. That's right, and that's why I'm--in the |
|
response side of things too, because it's a question of cost |
|
and the, you know, the risk your mitigating, and if you can use |
|
operational strategies and responses to these crises when |
|
they--when systems do fail to minimize the cost, then that also |
|
means you're less vulnerable as well, so it's both sides of the |
|
equation that we have to pay attention to. |
|
Mr. Obernolte. Right. Thank---- |
|
Dr. Rai. Mr.--if I may add a couple points here? I would |
|
just want to remind that there were three major things that |
|
could have been done that did not really require a massive, you |
|
know, long-term investment or rethinking. I mean, I had already |
|
pointed out--you know. Winterization does also include engaging |
|
with demand, as well as, you know, very simple things, as, you |
|
know, what really is your critical load, right? Keeping track |
|
would have been very simple. |
|
Something I think is very important to keep in mind, as I |
|
mentioned in my testimony, the scale of the damages, right? You |
|
know, we cannot just look at, you know, what was, you know, |
|
what was the value of the loss to--there are damages to water |
|
infrastructure, there are economic damages, there are |
|
governments, you know, local governments failing, and when you |
|
bring those things in, early estimates are putting that over |
|
$100 billion, and my back of the envelope calculations say even |
|
if you were to require winterization of the entire gas and |
|
power infrastructure, it is not going to be of the same state. |
|
It's going to be an order of magnitude lower, right? So, you |
|
know, you need to keep both sides of the equation in mind to |
|
really find out what the balance is. |
|
Mr. Obernolte. Sure, yeah. I think we all can agree on |
|
that. And, Dr. Rai, while I've got you here, let me ask a last |
|
question. You said something in your testimony I thought was |
|
very interesting, which was that one of the biggest failures, |
|
in your opinion, was a lack of voluntary demand reduction. And |
|
I just wanted to ask, you know, how we would go about affecting |
|
voluntary demand reduction, because the traditional way is to |
|
do it through market pricing, which happened in some parts of |
|
Texas. And I think in retrospect we look at that and realize |
|
that it was too quick, people didn't realize the high price |
|
that they were paying for power, and that probably that's not a |
|
good way of going about it in the future. So how should we go |
|
about it? |
|
Dr. Rai. That's a great question. Voluntary reduction |
|
doesn't mean it should be free, you know, it--just that, you |
|
know, it was not--you can't enforce it, but when there are |
|
disruptions of this scale--and just as you mentioned, you |
|
cannot completely 100 percent proof things, so we should be |
|
expecting disruptions like this here and elsewhere. In those |
|
types of situation, really engaging in messaging, and engaging |
|
that demand becomes very important. And I have offered--I don't |
|
pretend to have all the solutions, but that's so important, |
|
such a big possible part of the question, that it needs to be |
|
studied further. |
|
Mr. Obernolte. Yeah. Well, in other parts of the country |
|
we have voluntary reduction programs where, in return for a |
|
lower electric rate, large industrial consumers agree to, on |
|
demand, reduce their consumption, right? But I don't think that |
|
that is on a scale that would be big enough to solve the |
|
problem in Texas. So, it's something that certainly bears |
|
further discussion, because I don't see how we get from where |
|
we are to where we want to be. |
|
Dr. Tierney. And much more social science research. |
|
Ms. Garza [continuing]. In on that. I'm sorry, Sue. If I |
|
could chime in on that, you know, ERCOT is a summer-focused |
|
electric system, and we do have significant demand programs |
|
reacting and responsive to the--in the summertime. And one of |
|
the limitations was the, you know, the limitations of those |
|
programs and those services, their availability in the winter, |
|
so---- |
|
Mr. Obernolte. Well, great. Well, I see we're out of time, |
|
but thank you very much for your testimony. It's been a |
|
fascinating discussion. I yield back. |
|
Staff. Mr. Casten is next. |
|
Mr. Casten. Thank you, Madam Chair, and it's so nice to |
|
see so many old friends on this panel from my prior life in the |
|
energy world. Want to start with a couple questions for Dr. |
|
Jenkins, a couple short ones, and one sort of medium one. First |
|
one, El Paso had about the same weather. Did they have any |
|
outages in this recent period? |
|
Dr. Jenkins. I don't believe there were any rolling |
|
blackouts, but I could be wrong about that. |
|
Mr. Casten. Is there a simple reason for that? |
|
Dr. Jenkins. Well, I'm not sure it's a purely simple |
|
reason, but they are connected to the rest of the Western |
|
Interconnect, and so they could draw power from much further |
|
away, and conditions were not quite so cold. |
|
Mr. Casten. So they're outside of ERCOT? |
|
Dr. Jenkins. Yeah. They also, I think, took more |
|
proactive steps to weatherize their system, and I understand |
|
it. |
|
Mr. Casten. So, to that point, I'd like to ask unanimous |
|
consent to introduce a document for the record. It's entitled |
|
``Outages And Curtailments During The Southwest Cold Event Of |
|
February 1 Through 5, 2011'' from FERC and NERC. Dr. Jenkins, |
|
are you familiar with this report? |
|
Dr. Jenkins. Yes, I am. |
|
Mr. Casten. It strikes me that some of their |
|
recommendations talking about what should have happened in |
|
1989, and weren't done in 2011 and is it safe to characterize |
|
this report as saying that the events that recently happened in |
|
Texas were not only foreseeable, but were actually foreseen? |
|
Dr. Jenkins. Yes, I think that's correct. You could almost |
|
do a find and replace for the dates in the 2011 study and |
|
replace 1989 with 2011, and 2011 with 2021, and it would still |
|
read, you know, very similar to the reports that I'm sure will |
|
be released after this event. It's kind of eerie. |
|
Mr. Casten. Well, I raise that because I really want to |
|
impress on my colleagues to please read this report, because |
|
there is an understandable political bias for everybody to say |
|
we couldn't have seen this coming, and we did, and we need to |
|
make sure that we incorporate those recommendations. |
|
Somewhat meatier question for you, and I do want to get |
|
one question for Dr. Tierney, so I apologize--brief here, the |
|
North American Reliability Council imposes all sorts of |
|
requirements on load serving entities on the electric grid that |
|
have--requirements for backup generation, and redundant |
|
transmission, and one in--1 day in 10 years outage |
|
requirements, you know, all those details. Is there an |
|
equivalent standard for natural gas infrastructure? |
|
Dr. Jenkins. Not that I'm aware of, but I'd defer to the |
|
other panelists if they know more. |
|
Mr. Casten. Well---- |
|
Dr. Tierney. No, there is no such reliability organization |
|
or standard for the gas industry. |
|
Mr. Casten. So as we get to grids that are more gas |
|
dependent, should we be thinking about something like a |
|
standard like that for the gas industry? Because it strikes me |
|
that that's the weak point in our system. And, Dr. Tierney, I |
|
have a follow-up question for you, but since you jumped in, go |
|
ahead. |
|
Dr. Tierney. Yeah. I want to make sure to highlight the |
|
recommendation of the 2021 National Academies study on the |
|
future of the grid, where we call for Congress to do exactly |
|
that. So it's a very important thing, given this |
|
interdependency between the two energy systems. |
|
Mr. Casten. So I want to pivot there, and, Dr. Tierney, |
|
I'm glad you jumped in, because, as a fellow former New |
|
Englander, the--I've always thought of ERCOT as being the New |
|
England ISO with less interconnect and more electric heating, |
|
as far as the dynamics that affect it. And, you know, I mention |
|
that because we have these issues where, when systems get |
|
tight, gas is preferentially dispatched for heating, as it was, |
|
except that in New England there isn't this huge surge of |
|
electric heating load that comes on. |
|
And as we think about how to do what we must do to get to |
|
a zero carbon future, we've got a national policy that broadly |
|
talks about let's get to zero carbon in the electric sector as |
|
soon as we can, and then let's ``electrify everything.'' And |
|
Texas is in many ways sort of a microcosm, if not all the way |
|
down that path, but the beginning of it, because loads that are |
|
done--that are served with other fuels in the rest of the grid |
|
are significantly served with electricity in Texas, and we've |
|
got that constraint on the system. |
|
As we talk about an infrastructure while going forward, |
|
the--given as the, you know, if my math is right, you know, |
|
roughly--a little less than 40 percent of the total energy |
|
used--this country for electricity, almost 50 percent is for |
|
heating, in the industrial--commercial industrial sector. If we |
|
are going to electrify everything, and we are going to shift to |
|
a zero carbon electric grid, the implication is that we are |
|
massively increasing our generation fleet, we are massively |
|
relocating the generation fleet, and we're massively relocating |
|
where the load is, and we'd better be talking about |
|
transmission. |
|
So what should we be thinking about--this--set aside who |
|
pays. What is the quantum of money we need to be thinking |
|
about, round to the nearest $10 billion if you need to, to |
|
invest in a transmission system that is actually going to |
|
enable us to connect clean generation to an electrified load? |
|
Dr. Tierney. I don't have my number at my fingertips, but |
|
I would be happy to provide you with information after the |
|
hearing, if that would be helpful. I completely agree with you |
|
that transmission plays an absolutely critical role here. We |
|
know from many NREL studies, where Dr. Torres is located, that |
|
bigger regions interconnected, and transmission-enabling those |
|
bigger regions to perform, is really important. Where you are |
|
living today, there are these various interconnections across |
|
different regional transmission organizations. Those need to be |
|
bulked up, and certainly New England is interested in enhancing |
|
its transmission capability to a variety of diverse areas where |
|
there are high quality--in a stimulus package there can be |
|
things that Congress would adopt as part of financial |
|
incentives to get shovels, or, let's see, electrical wires put |
|
in place on the system. |
|
Dr. Jenkins. If I could add to that, Representative |
|
Casten, the Net Zero America study that I helped publish at |
|
Princeton, which looked at this transition over the next decade |
|
toward a net zero emissions economy, estimated on the order of |
|
$350 billion in incremental investment in transmission over the |
|
next decade alone. That'd be about a 60 percent increase in |
|
transmission capacity over the next 10 years. This is a huge |
|
undertaking, a huge opportunity for investment and job creation |
|
as part of an infrastructure package. |
|
Mr. Casten. All right. I'd love to follow up with all of |
|
you. I'm out of time, but I do just want to leave this to |
|
comment here that the scale of what we are talking about in |
|
transmission in our infrastructure plan is a tiny, tiny, tiny |
|
fraction of that, and we don't start to grapple with the |
|
numbers you're talking about, we're going to be wrong-footed. |
|
So let's continue the conversation. Thank you, and I yield |
|
back. |
|
Mr. Torres. Mr. Casten, if I could just throw something in |
|
there? There's a set of electrification future studies that |
|
we've been conducting with the Department of Energy that really |
|
helped you--helps us understand how the loads will grow across |
|
the different sectors, and that would be very useful in the |
|
planning. Thank you. |
|
Mr. Casten. Thank you. |
|
Staff. Mr. Garcia is next. |
|
Mr. Garcia. Yeah, thank you very much. Thank you, Madam |
|
Chairwoman, and Ranking Member Lucas, for pulling this |
|
together, and thanks to the witnesses. This is an absolutely |
|
critical discussion, and what we saw in Texas last month was a |
|
tragedy. It was heartbreaking, and, in my opinion, was |
|
something that we, as Americans, should have been able to |
|
prevent. |
|
I represent a district in Southern California that these |
|
types of scenarios are not foreign to us, unfortunately. It's |
|
not necessarily the extreme cold, but in our case it's the |
|
extreme heat, and it's the winds, that have led to, in my |
|
district, close to 30 power outages in the last--call it 10 |
|
months. We don't live in Venezuela. We live in the United |
|
States of America, yet our utilities behave, and the public |
|
utility companies responsible for power generation in our |
|
State, behave as if it is Venezuela. These problems are a |
|
product of challenges provided by Mother Nature, but it is |
|
mankind, and the folks responsible for our utility companies, |
|
and those who represent us in government, who are responsible |
|
for the failure. We have failed to overcome the challenges that |
|
Mother Nature has provided, and I resonate with the comments by |
|
my colleague, Mr. Casten, that this is a repeated lesson |
|
learned over the last several decades. |
|
In my district we lose power when the winds get above 30 |
|
miles per hour. That's not a scenario that one would call a |
|
force majeure. That's not an anomaly, especially not in |
|
Southern California. That happens on a very frequent basis. |
|
We've lost lives, we've risked thousands of lives, we've been |
|
surrounded by flames while we have no power, and we've been |
|
effectively not only losing our power, but also our water, |
|
because many of my constituents are on wells that are |
|
electrically driven. |
|
So my question to the panel, and I think we can start with |
|
Mr. Torres, is how do we ensure that we're not playing whack-a- |
|
mole here across all 50 States and our territories? How do we |
|
ensure that what we saw in Texas doesn't happen in other |
|
States? Maybe not for the same reasons, maybe for different |
|
reasons, and that these lessons learned that you are collecting |
|
as a result of the incidents in February in Texas are being |
|
disseminated? And it may not be for cold weather, but this grid |
|
hardening and the lessons learned, what venues, what media |
|
forum, summits, and/or discussions are you having to make sure |
|
that the lessons learned from Texas, California, and other |
|
States are being applied to the rest of the United States so |
|
that we're not playing whack-a-mole here indefinitely? |
|
Mr. Torres. All right, thank you, Mr. Garcia. I can't |
|
speak to all the things that are going on. I can talk to some |
|
of the things that we've been doing within--in realm of the |
|
Department of the Energy through the GMI activities and grid |
|
modernization--those are strong collaborations across the |
|
industry with the utilities, with the vendors, the various |
|
stakeholders. And I fully agree with you that we really have a |
|
patchwork of perspectives and policies across the different |
|
elements of the grid, and there needs to be more communication, |
|
discussion, as to what are the roles, responsibilities, and the |
|
implications of those differences? Because we're all trying to |
|
achieve a common good here. We all want our lights to stay on. |
|
We want to avoid major events like this, and so we need to |
|
understand what should each part be for every member? What can |
|
we be doing? And what are the changes that we're--that the |
|
different participants are implying? How could that affect the |
|
overall resilience of the grid? And can there be opportunities |
|
for shared costs, shared investments? Those kinds of |
|
discussions I totally agree need to continue so that we can |
|
avoid and mitigate some of these kinds of disasters. |
|
Mr. Garcia. Thank you, sir, and I would just submit to |
|
this body, and all of us at the Federal level, that our |
|
investments in research into the grid hardening and expansion |
|
efforts should include not only the conduits of power between |
|
cities and generation plants, but also conduits between |
|
entities and bureaucrats who are responsible for making sure |
|
lessons learned are proliferated as well. |
|
I personally believe that we need to hold the public |
|
utility companies accountable for this. This is negligence. |
|
This is loss of life. This was foreseeable in many cases, and |
|
we as Americans deserve better than this. I thank, again, the |
|
Chairwoman for opening the aperture on this a little bit |
|
further, and I just want to reinforce to my colleagues that |
|
this is not a problem unique to Texas. We will lose more |
|
Americans in other States as we start seeing some of these |
|
incidents expand across the Nation. I yield back. |
|
Staff. Mr. Foster is next. |
|
Mr. Foster. Well, thank you, and first, to my colleagues |
|
from Texas and to some of our witnesses, I feel your pain, as I |
|
too had a daughter and son-in-law trapped in Austin, and living |
|
off their automobile battery for days. And I'd like to mention |
|
their No. 1 recommendation, which is that everyone in Texas be |
|
given at least a rudimentary understanding on how to drive a |
|
car on roads after a snow or ice storm. OK, not the subject of |
|
our hearing, but an important point. |
|
Now, Mr. Torres and Mr. Jenkins, you mentioned a number of |
|
threats to grid reliability, including weather, EMP, wildfires, |
|
and others. Many of these can be ameliorated by undergrounding |
|
the utilities, an approach which carries multiple secondary |
|
benefits like eliminating eyesores, improving real estate |
|
property values, you know, preventing wildfires, and so on. So |
|
what are the promising directions of Federal R&D into lowering |
|
the cost of undergrounding utilities? You know, I'm thinking |
|
of, like, swarms of robots that toil away underground to bury |
|
utilities, both in urban and rural areas, or just simply lower |
|
cost conductor/insulator power conversion strategies for high |
|
voltage DC lines, and so on. |
|
You know, are there specific programs that have been |
|
defined for--that could absorb increase Federal funding for |
|
this research, you know, given that industry is pretty |
|
conservative in what it's willing to invest in? You know, what |
|
would an underground power transmission moon shot look like? So |
|
any one of you want to take a stab at that? |
|
Mr. Torres. I can't say that I'm an expert on underground |
|
DC systems. One of the biggest challenges is the access in the |
|
siting to that. There definitely can be further investments to |
|
advance the various technologies, to improve on that, to |
|
improve on the conductor materials, and so on. There also can |
|
be done things at a local level. You know, the--underground |
|
lines can, you know, appear at the transmission and |
|
distribution level as well. There are places where flooding |
|
could be an issue. So you really need to understand where this |
|
kind of technology makes sense as well, and if it will actually |
|
resolve the issue, and weigh out the costs overall. |
|
But I believe in looking at a portfolio of options, |
|
including DC lines, including undergrounding, including |
|
microgrids. So I think we're at a point in the evolution of |
|
technology, and research, and information here that we have |
|
many more possibilities, so I would just caution that we not |
|
select just one particular pathway. |
|
Dr. Jenkins. Yeah, maybe just one thing to add for the |
|
Committee is to understand that direct current lines are a |
|
little bit like the--getting on the highway, where you can only |
|
get on and off at certain on and off ramps, and those are the |
|
DC--you know, AC to DC converter stations, that we need to hook |
|
up these lines to our synchronized AC grid. And there are |
|
significant opportunities for innovation in cost reductions in |
|
those converter stations which could allow us to make better |
|
use of HVDC lines embedded within our broader AC transmission |
|
system, so I think that is an area for research that could be, |
|
you know, increased funding could go a long way. |
|
Mr. Foster. Yeah. Well, if there had been specific plans |
|
made for, you know, a program that could absorb significant-- |
|
larger funding, and, you know, cost production research, |
|
basically, because it seems like a big part of that technology |
|
has really not changed in the 1960's. And I think, you know, if |
|
you look for example, at the cost production in microwaves, you |
|
know, we bought a microwave oven, which is, you know, a |
|
magnetron in a metal box with a timer, and that's, you know, a |
|
drop from $250 of 1960 dollars to about $42 today, you know, |
|
not through revolutionary technology, but simply step by step |
|
cost reduction, and I think that that's really an area where we |
|
could benefit from investment. |
|
And if in a moment I can have an estimate of my time left |
|
from the staff, I would--it would be useful. |
|
Staff. 1 minute, Mr. Foster. |
|
Mr. Foster. OK. So many of the really destructive |
|
scenarios to the grid, you know, whether they're cyber attacks |
|
or accidental, have to do with messing around with |
|
synchronizing the phase or frequency of the AC generation and |
|
distribution systems. You know, in contrast, DC transport |
|
systems, you know, can be protected by relatively simple |
|
systems, you know, like diode clamps, over-voltage protection, |
|
so on, that don't rely on software that can be corrupted, and |
|
can be much more easily made immune to natural and artificial |
|
electromagnetic pulse events and so on. Has this been looked |
|
at, really, the benefits in terms of disaster resilience, of |
|
high voltage--or DC systems generally compared to AC systems? |
|
Dr. Tierney. Could I answer very briefly by saying that |
|
there has been a lot of research on the technical and |
|
regulatory issues associated with HDVC--DC lines. But I think |
|
your question and comments really calls out for asking DOE to |
|
do a moon shot type road map for that kind of research that |
|
would really take things over the hump. As one thinks about the |
|
expansion of the system that is going to be required, and the |
|
natural resistance that people have to the visual effects of |
|
new power lines, I think it is a really important area of |
|
work---- |
|
Mr. Foster. Thank you, my---- |
|
Dr. Tierney [continuing]. From a scientific basis. |
|
Mr. Foster. Thank you. And so I will--happy to collaborate |
|
with any of my colleagues on brainstorming what that would look |
|
like. And my time is up, and I yield back. |
|
Staff. Mr. Babin is next. |
|
Mr. Babin. Yes, sir, thank you so very much. Really |
|
appreciate you witnesses being here to talk about something |
|
that is so important. |
|
When Winter Storm Uri swept across and through Texas, |
|
thousands of my constituents, and millions across the State, |
|
found themselves in life and death circumstances, without heat, |
|
without water, and access to essential goods, in the coldest |
|
storm in modern Texas history. We must address the failures and |
|
subsequently support policies that make sure that this |
|
catastrophe never happens again. I'd also like to thank Mr. |
|
Foster for his suggestion, because many Texans do not know how |
|
to drive in these conditions, thankfully, because they're so |
|
very rare in the State of Texas. |
|
But our energy sources must be predictable, dependable, |
|
and affordable. Unfortunately, the national trend of increasing |
|
regulatory policies and green energy subsidies has led to |
|
States, in this case Texas, incorporating more unreliable power |
|
into the grid while decreasing reliance on proven and |
|
dependable base load energy resources. We must recognize the |
|
limits of energy sources such as wind and solar. If Texas had |
|
been on the grid that was 100 percent renewable, as many |
|
continue to advocate for, this weather scenario would have been |
|
much worse. Thankfully natural gas, which is a vital |
|
contributor to our Texas grid, would carry the lion's share of |
|
the load of this energy emergency. |
|
And so, Madam Chair, I ask unanimous consent to submit for |
|
the record a one-page fact sheet from the American Exploration |
|
and Production Council, which details the role of natural gas |
|
during this February's winter event. |
|
Chairwoman Johnson. Without objection. |
|
Mr. Babin. Thank you. So what is the solution? I firmly |
|
believe that market-based solutions would better ensure |
|
increased grid resiliency. As Pat Woods, previous FERC |
|
Chairman, said recently, I can assure you the competitive model |
|
is the better way to bring price, service, and technological |
|
innovation benefits to the customers. |
|
And so let me also briefly mention that many continue to |
|
say the source of the blackouts was Texas's insistence on being |
|
part of an independent grid, thus depriving it of ample power |
|
from local States and ``wise'' regulation from the Federal |
|
Government. But joining the Federal grid is not the solution, |
|
and would have far-reaching consequences, which would include |
|
greater market volatility, and much higher prices. |
|
My question to Mr. Garza, if the oil fields have attempted |
|
to become more green friendly, they have electrified. Should |
|
there be more research and development into microgrids or non- |
|
grid electricity? Part of the reason gas couldn't get out of |
|
the ground during this storm was because the devices to get it |
|
out of the ground simply ran out of electricity. Do you believe |
|
that forcing these different types of energy sources to all |
|
become electric is the right direction to be heading in? |
|
Ms. Garza. Well, sir, thank you for your--thank you for |
|
that question. Yes, there certainly were situations where gas |
|
production and transportation facilities where--which are |
|
dependent on electricity found their electricity cutoff. And I |
|
would attribute that to a failure of communication, or a |
|
failure of understanding by the local distribution utility that |
|
they indeed had a critical gas production facility connected to |
|
their system. An example that came out during the recent |
|
legislative hearings here in Texas is that one of the utilities |
|
had about 30 gas facilities on their critical load list before |
|
the event, and during the event they identified 130 more. So |
|
clearly there's a failure of identification, and, given the |
|
interdependence of electricity and gas, the codependence of |
|
electricity and gas, we need to figure out a way to improve |
|
that communication and coordination. |
|
Mr. Babin. Thank you, ma'am. And then do you also believe |
|
that the current trajectory of research and development funding |
|
is doing enough to ensure that we achieve better grid |
|
resiliency? |
|
Ms. Garza. Well, I, you know, I always think there's more |
|
to do and more to learn. Clearly we, you know, we failed that |
|
test here in Texas, and so we need to learn from those lessons, |
|
and we need to figure out how those lessons can be broadly |
|
applied to the rest of the country. And, to me, it seems we do |
|
that through appropriate research and dissemination. |
|
Dr. Tierney. Mr. Babin? |
|
Mr. Babin. All right, thank you very much, and I think-- |
|
yes, ma'am? |
|
Dr. Tierney. I just wanted to say, clearly the National |
|
Academies committees on resilience of the grid and the future |
|
of the electric system believe that there needs to be at least |
|
a doubling, if not a tripling, of parts of the research chain, |
|
so I encourage that to your attention. |
|
Mr. Babin. OK. Thank you very much, and I see that I'm out |
|
of time, so I will yield back. Thank you, Madam Chair. |
|
Staff. Mr. Kildee is next. |
|
Mr. Kildee. Thank you. Well, first of all, thanks for |
|
holding this hearing. It's obviously an important hearing. I |
|
would like to address--and this is something that my colleague |
|
from Michigan, Ms. Stevens, raised, and it has to do with the |
|
effect of the development of electrication--electrification of |
|
transportation of the--of our entire fleet of vehicles over |
|
many decades will have on grid resilience, or what factors we |
|
need to consider when it comes to that inevitable development. |
|
And so I wonder if, Mr. Torres, if you wouldn't mind perhaps |
|
reiterating, because I missed part of the answer that you |
|
gave--or that was given when Ms. Stevens raised this issue, if |
|
you would mind just giving us some of the thoughts that we need |
|
to consider regarding grid resilience in the era of obvious |
|
development and movement toward electrification of vehicles? |
|
And then I do have an interesting question as to whether |
|
or not there's another side to that coin, especially when it |
|
comes to heavy duty vehicles, when we think about the fact |
|
that, in a case like this, perhaps on a smaller scale, we would |
|
have present on the ground, in communities, large--essentially |
|
batteries on wheels. Fully charged vehicles, school buses, for |
|
example, that might be of some utility in providing temporary |
|
relief in the case of, you know, of a blackout of some type. So |
|
if you could just touch on those two areas, I'd appreciate it. |
|
Mr. Torres. Yes, thank you, Mr. Kildee. So what we're |
|
seeing in some of the studies I mentioned, early |
|
electrification future studies is--there's a high potential for |
|
transportation to be a significant new load on the grid, and we |
|
see that there would probably need to be some changes on--at |
|
the distribution level, when--where we charge, but even |
|
charging management systems so not everybody would come home |
|
and charge at exactly the same time. Maybe people are charging |
|
at night, but you can do it at a different time. So all those |
|
kinds of things are definitely achievable with some more |
|
research. |
|
With regards to things like vehicles providing support, |
|
you know, it's--there's a potential with fleets, with bus |
|
fleets, that are maybe only driving certain times, say school |
|
buses, but then they sit there most of the day. During that |
|
time they could potentially offer some energy to the grid to |
|
help support it during time of need. Other, you know, light |
|
duty vehicles, we'd need to understand in the future, when you |
|
have dynamic generation locations, where are these vehicles, |
|
and can they plug in to some, you know, some portal where they |
|
could offer some support to the grid? Those kinds of things |
|
would still need to be looked at, business models and so on. |
|
But given the fact that, you know, transportation is on a |
|
path to at least some level of increased electrification, I |
|
think it offers opportunity for us to look at how it can be |
|
used to add grid resilience, what are the implications if we |
|
don't take into account the growth for light duty and heavy |
|
duty vehicles? Light duty vehicles at 150 kilowatt level |
|
charging, you know, heavy duty up to a megawatt scale charging, |
|
could have large impacts on the grid. At the same time, if we |
|
do it wisely, could also potentially add some support. |
|
Dr. Rai. Mr. Kildee, if I may add a couple points? The |
|
increasing trend in electrification for transportation |
|
highlights one additional interdependence. We already talked |
|
about how gas, electricity, and then food and water are |
|
connected. We are seeing another, transportation sector, |
|
getting--so the interdependencies are going to get more |
|
complicated. So that's point one. Second, your observation is |
|
absolutely right on. The University of Texas have had |
|
demonstration project that have showed that using buses and |
|
similar--what you mentioned, storage--you could actually |
|
support fire stations and similar infrastructure for certain |
|
durations of time, right? You know, not for very long. And the |
|
third piece is your comment around large vehicles. That brings |
|
an additional element, which is hydrogen. Especially it's very |
|
important for Texas, there's a lot of scope there, but it also |
|
adds to that diversification of, you know, energy sources, and |
|
supply during a, you know, critical time. So, you know, that's |
|
a really very promising avenue as well. |
|
Mr. Kildee. Well, thank you. I appreciate those comments. |
|
Only 2 percent right now of American vehicles are electric |
|
vehicles, but we know where the market is going, and we |
|
actually have this moment in time to prepare for that future, |
|
to begin to set the stage for not only greater resilience, but |
|
less dependency, and a cleaner environment, so this is a timely |
|
hearing. I thank the Chairwoman for raising it, and I |
|
particularly thank the panelists for really good testimony. So |
|
thank you, and I yield back. |
|
Staff. Mr. LaTurner is next. |
|
Mr. LaTurner. Thank you, Madam Chair, and Ranking Member |
|
Lucas, for holding this hearing, and I want to thank the |
|
panelists for being with us. Like many of its neighbors, the |
|
State of Kansas was hit hard by the winter storm in February. |
|
Subjected to sub-zero temperatures, many were without power and |
|
heat for days. Power and fuel sources that we rely on every day |
|
failed, and we weren't prepared. We cannot allow this to happen |
|
again. It is my hope that this hearing will shed light on |
|
future opportunities to strengthen and fortify our power grid |
|
against threats both physical and cyber, and examine how we can |
|
leverage our country's research and development capabilities to |
|
make those opportunities a reality. |
|
I'd like Mr. Torres and Ms. Garza to address this |
|
question. It's a two-part question. How interconnected are the |
|
various regional grids? And, while you consider that, the |
|
connectivity of the grids, what is the probability that an |
|
outage or a cyber event in one part of the country can have a |
|
cascading effect on the whole system? |
|
Mr. Torres. OK, I'll go ahead and go first. Thank you, Mr. |
|
LaTurner. So there are only, you know, a small set of DC ties |
|
interconnecting the eastern and western interconnect, and then |
|
there's also a tie between--I believe there's a Texas and an |
|
eastern interconnect. Not a lot of power flows between those |
|
systems at this point. They don't really depend on power flows |
|
going across. So, at this point, not a lot of dependency, from |
|
that perspective. |
|
The--with regards to some of the cybersecurity potential |
|
issues here, the potential consequences would depend on the |
|
type of event, where the entry was, what system was |
|
compromised. The grid is really made up of a whole bunch of |
|
small grids, there's a lot of different utilities, so, you |
|
know, we're always as--you know, we're as strong as our weakest |
|
link, so having some consistency on the expectations in |
|
policies, and even technologies and approaches, is really good. |
|
I'd say as a whole we're doing a pretty good job at the bulk |
|
grid level. NERC has jurisdiction over the larger utilities. |
|
You know, they're providing power over the bulk grid, the high |
|
voltage level. |
|
Once you get down to the distribution level, you know, |
|
they are doing the best they can as well. They are, you know, |
|
developing standards and so on, but they don't necessarily have |
|
the same level of resources. So finding ways to levelize and |
|
provide--given that, you know, potentially a connection |
|
anywhere can be a connection everywhere if cybersecurity is not |
|
managed appropriately. |
|
There was a--I guess the first power grid outage caused by |
|
a cyber attack in 2015 in Ukraine. Could that happen here? |
|
Don't know. We've been, you know, in my career I've been |
|
looking at this since the 1990's, and the grid has evolved |
|
considerably since. I will say that I don't believe that's |
|
we're paying attention--enough attention to what the threats |
|
are ahead, because we don't know how quickly the cyber threat |
|
is evolving. It's evolving very, very quickly, so we need to |
|
really move toward more inherently resilient systems, knowing |
|
that we don't always know where that next attack is coming |
|
from, or even what it might be, but the system would be |
|
resilient, be able to isolate and detect something's wrong, and |
|
be able to reconstruct, and get the system back up and running |
|
as soon as possible. |
|
Mr. LaTurner. I appreciate that. And, Ms. Garza, if you |
|
don't mind? |
|
Ms. Garza. Yeah, sure. From an interconnected standpoint, |
|
we've talked about Texas's limited direct current |
|
interconnections with the Eastern Interconnect, and a few with |
|
Mexico as well. The thing of these different grids is that they |
|
are operated synchronously, that is they're moving together, |
|
and the DC connection allows that separateness, allows those |
|
synchronous operations to be separated. |
|
If--so in this situation, if we had some more connections |
|
to the Eastern Interconnect, I'm not sure that that would've |
|
been very helpful because all of the regions around us to the |
|
north and to the east were suffering their own issues, as you |
|
just alluded to in Kansas, and all the way down into Louisiana. |
|
The cold weather descended across the center of the country. So |
|
incrementally I'm not sure there would've been much opportunity |
|
for improvement. If you were talking about sort of national |
|
bulk high capacity, the HVDC lines, you know, broadly across |
|
the country, yes, that might have been valuable. I'm not sure |
|
you could justify that expense just on a winter resilience need |
|
in Texas, or more locally, but there are other benefits of that |
|
kind of interconnection as well. |
|
Mr. LaTurner. Thank you both very much. I yield back. |
|
Staff. Mr. Beyer is next. |
|
Mr. Beyer. Thank you very much. I'd like to start with Dr. |
|
Jenkins, and--with a sort of foundational existential question, |
|
Dr. Jenkins. Now, you're a MIT Ph.D., which I very much |
|
respect, so here's the question. We have this feedback loop. We |
|
burn fossil fuels, which are amazingly efficient, lots of BTUs |
|
concentrated--which leads to climate change and global warming, |
|
which leads to extreme events, and then we adapt to this by |
|
burning more fossil fuel. Does this make any sense, and is this |
|
not the equivalent of smashing your hand with a hammer, |
|
noticing that it hurts and is bleeding, so keep hammering |
|
harder? |
|
Dr. Jenkins. Well, it's a little bit--and the challenge is |
|
a little bit, to use a different metaphor, like trying to build |
|
the airplane while flying it, right? So we have to keep our |
|
critical infrastructures and our economy going as we transition |
|
as quickly and affordably as possible to a cleaner energy |
|
system that breaks that link. And so we can't do that |
|
overnight, but we can move much faster than we have |
|
historically, and that means both greater reliance on variable |
|
renewable resources, as well as cleaner firm technologies that |
|
can supplant fossil fuels, or could even allow us to continue |
|
to use fossil fuels with carbon capture and sequestration. |
|
Mr. Beyer. So, Dr. Jenkins, let me continue on this theme. |
|
And I know you're not a regulator, you're a scientist, but |
|
Governor Abbott said in a statement yesterday that he'd asked |
|
for and accepted the head of the PUC's, the Public Utility |
|
Commission's, resignation, and this was after the Texas Monthly |
|
reported that he had told out of state investors, think Wall |
|
Street, on a telephone call that he would work to ``throw the |
|
weight of the Commission behind stopping calls to reverse |
|
billions of dollars in overcharges for wholesale electricity |
|
during the storms.'' It turns out that ERCOT had forgotten to |
|
roll back its prices from the sky-high levels as the power came |
|
back on. And--independent agency originally thought it was only |
|
a $16 billion overcharge. They've dialed it back to $6 billion |
|
in overcharges. So, Dr. Jenkins, here's the thought, was ERCOT |
|
actually designed to protect ratepayers? |
|
Dr. Jenkins. Well, this is--there's a separate question, I |
|
think, is whether the Utility Commission of Texas was, you |
|
know, seeing its primary responsibility as to the people of |
|
Texas or to the investors in the power system. ERCOT runs the |
|
electricity market, but it's regulated by the Utility |
|
Commission of Texas, which now has no members, even to figure |
|
out how to, you know, navigate after this crisis. So I think it |
|
is a shame to see the sort of, you know, vacancy at the |
|
Commission now, at a time when we need regulators to be acting |
|
on behalf of the public. |
|
Mr. Beyer. Although it is encouraging to see a bipartisan |
|
effort to make sure that the ratepayers are protected now, |
|
after the fact. |
|
Dr. Jenkins. Yeah. |
|
Mr. Beyer. Dr. Jenkins, would Texas benefit from a |
|
capacity market, you know, the so-called forward markets, where |
|
we would pay for building capacity, not just for selling |
|
electricity? |
|
Dr. Jenkins. I think that's an important and open |
|
question. I think, you know, we have to be a little bit careful |
|
about thinking about different financial incentives alone as |
|
sufficient to ensure weatherization measures. You have to |
|
remember that a lot of the generators that went out during this |
|
crisis were hedged, so they were actually obligated to pay back |
|
the power that they couldn't generate at the market rate of |
|
$9,000 a megawatt hour. So they had an enormous incentive to be |
|
available, and suffered millions in dollars in losses when they |
|
weren't. So I'm not convinced that a capacity market, which |
|
would provide different incentives for, you know, for providing |
|
firm capacity, would've fundamentally changed those incentives. |
|
The financial incentives were pretty strong. |
|
What I think this was was a failure of regulation, |
|
honestly, to require certain measures that were cost-effective, |
|
and could provide broad public benefits by avoiding these sorts |
|
of crises for the, you know, the catastrophic impacts on the |
|
public writ large that are much larger than the impacts that |
|
any individual power plant would face. So we have a public good |
|
here to reliability, and I think that ultimately requires |
|
regulation to ensure--the benefit of a capacity market is that |
|
it gives you one more point of regulation, where participation |
|
in that capacity market, and getting payments, you know, long- |
|
term payments for capacity could be contingent on compliance |
|
with certain regulations regarding weatherization, and we've |
|
seen those kinds of steps taken in other markets, like New |
|
England, where they require either firm gas contracts, or dual |
|
fuel capacity for, you know, gas plants that can switch over to |
|
oil. So that--it would be another point of regulation, but I |
|
don't think changing the financial incentives alone would be |
|
sufficient. |
|
Mr. Beyer. Would capacity markets have any role in |
|
encouraging the diversification of the energy sources? |
|
Dr. Jenkins. Not necessarily. Capacity markets don't |
|
necessarily lead to greater diversity. In fact, they primarily |
|
benefit natural gas power generators in their current design. |
|
We have to think carefully about how we design these long run |
|
incentives. They're ostensibly technology neutral, but as Jacob |
|
Mays, and Dick O'Neil at FERC, and others have shown, the |
|
specific single contract that they offer is well-aligned with |
|
the risk profile of gas generators, and other generators face |
|
different risks, and so we need more long-term products to |
|
address the different risk profiles that they each face in |
|
order to ensure more diversity. |
|
Mr. Beyer. Great. Thank you very much. I yield back. |
|
Staff. Ms. Kim is next. |
|
Ms. Kim. Thank you. Thank you, Ranking Member, and |
|
Chairwoman Johnson, for holding this hearing today. You know, |
|
unfortunately, my home State of California heavily relies on |
|
imported power from other States to help field electricity |
|
demand. According to the Wall Street Journal article from |
|
August 2020, California's grid operator must find 10,000 to |
|
15,000 megawatts replacement power during a period where |
|
generation of solar and wind power falls off. The combination |
|
of wildfires, and increased demand due to the COVID-19 |
|
pandemic, and rising temperatures were a perfect storm, causing |
|
power outages in California last summer. And, regrettably, |
|
our--as our State looks to purchase more energy from other |
|
States and abroad, California plans to shut down the Diablo |
|
Canyon power plant at a time when we need a good mix of energy |
|
sources. |
|
So I would like to pose the question to all witnesses-- |
|
grid scale storage will be a key technology driver for security |
|
and resiliency as new energy sources are incorporated into the |
|
U.S. power grid. So I would like to hear from each of you your |
|
perspectives, are there areas of this research that are better |
|
off left to the private industry? |
|
Dr. Jenkins. If I could begin, maybe? I think that the |
|
history of American innovation around particularly energy |
|
technologies is one of active public and private partnership. |
|
So the innovation often occurs from private sector businesses, |
|
but they're critically supported throughout the entire |
|
evolution of that technology by investment on behalf of the |
|
public in R&D, in demonstration, in early market opportunities |
|
in the forms of procurement, or tax credits, or standards that |
|
drive technology. And all of those together help provide the |
|
innovative opportunity for the private sector to develop these |
|
new technologies. So it's really partnership, and it's one that |
|
America excels at, and it's got us cheap wind and solar power, |
|
electric vehicle batteries, LEDs (light-emitting diodes), |
|
hydraulic fracturing, you know, for--and horizontal drilling, |
|
all kinds of technologies that are more than paying off the, |
|
you know, the investment that the public has made in those |
|
technologies. |
|
Ms. Kim. Great. Anyone want to chime in too? |
|
Dr. Tierney. Yes, please. Representative Kim, I'm--I was |
|
raised near you, in Redlands, California, and went to school at |
|
the Claremont Colleges, so it's--I know your district well. And |
|
one of the things that complements what Professor Jenkins just |
|
said, with regard to the important role that the Federal |
|
Government plays in supporting basic science and applied |
|
science on storage, among other things, is the kinds of things |
|
that have been done in Southern California to have really a |
|
demand pull associated with storage technologies, and moving |
|
those into the markets. So those two things in conjunction with |
|
each other are really part of the innovation cycle that can |
|
pull resources into the market and lower costs over time. So I |
|
think there's a lot to learn from California's experience on |
|
this. |
|
Ms. Kim. Thank you. I would like to thank Dr. Jenkins and |
|
Dr. Tierney for your responses. Let me get onto the second |
|
question. How does transitioning to the smart grid, or adding |
|
Internet of Things capabilities to industry or control systems |
|
influence security and resiliency in the energy sector? How |
|
should we think about incorporating new technologies, like |
|
artificial intelligence, or the Internet of Things, in |
|
developing more efficient battery storage units? |
|
Dr. Tierney. We really need to set better standards for |
|
assuring grid security protocols related to cyber and other |
|
issues, because all of those Internet of Things could have the |
|
opportunity to create intrusions into the grid's performance. |
|
So there's regulatory in the form of standard-setting that are |
|
uniform around the country, but there's really a tremendous |
|
amount of R&D that would be subject to your Committee's |
|
jurisdiction associated with simulation tools that provide |
|
different angles on how there are the interactions between |
|
Internet of Things devices and local grid operations. There's a |
|
long list of things that I've included in my testimony that |
|
would address the kinds of things that you're talking about. |
|
Dr. Rai. If I might add, Ms. Kim, very quickly, there is a |
|
flip side to it. As we talked about, smart devices, smart |
|
devices, smart meters, could have really helped a lot in terms |
|
of very smartly cycling non-critical load, which actually was |
|
frozen, and so there were, you know, large parts of the |
|
population without power for several days, as well as in terms |
|
of predictive capability. You mentioned artificial |
|
intelligence. There is a lot of that could be brought to really |
|
get a look ahead. And the final point I want to make is, you |
|
know, we do want to separate this event from what can be |
|
managed through even grid scale storage. You know, this was an |
|
event that lasted for 3 days, and, you know, 7 days in many |
|
parts. That's, you know, there are very few types of single |
|
storage scaled, including, you know, very large--storage that |
|
can be brought, but, you know, you can't cite that everywhere, |
|
so there are other types of solutions. You know, the scale of |
|
this problem is, you know, a little bit on the higher side of |
|
the spectrum. |
|
Mr. Torres. And---- |
|
Ms. Kim. Thank you. |
|
Mr. Torres. --Representative Kim, if I could add something |
|
really quickly, maybe to bridge between your two questions? |
|
It---- |
|
Ms. Kim. Um-hum. |
|
Mr. Torres [continuing]. Really highlights the importance |
|
of government research and government involvement. The industry |
|
alone will not have the understanding of the evolving threat, |
|
and the national security implications of the work that they're |
|
doing. They also tend to focus on more near term research, and |
|
so, tying back to the universities, tying to the applied and |
|
basic research at the National Laboratories, with the national |
|
security in mind, I think is a key as we move forward. Thank |
|
you. |
|
Ms. Kim. Thank you. I know my time is up, so I want to |
|
thank all the witnesses for your thoughtful responses. Thank |
|
you. I yield back. |
|
Staff. Mrs. Fletcher is next. |
|
Mrs. Fletcher. Thank you, and thank you to Chairwoman |
|
Johnson and Ranking Member Lucas for holding this hearing |
|
today. It is incredibly important for those of us in Texas, and |
|
for the entire country, to understand what happened, and to |
|
craft legislation on this Committee to invest in and encourage |
|
research and development in grid technology, and reliable |
|
generation technology. I very much appreciate the witnesses |
|
sharing their expertise and time with us today, and in written |
|
testimony, which has been so helpful. |
|
As one of the Members of this Committee who lived through |
|
the Texas winter storm without power for several days, without |
|
water for several more, with a boil water notice for many days |
|
after that in my district in Houston, I want to underscore the |
|
seriousness of these cascading failures in both the physical |
|
market and the financial market. Today's hearing is important |
|
in making sure that we don't fail to respond in Congress. So |
|
many issues have been raised throughout this hearing, and there |
|
simply is not time for me to ask all the questions I have in |
|
these 5 minutes, so I will submit several questions to the |
|
witnesses for the record, and I look forward to your responses. |
|
Like Dr. Rai, I was--the temperatures in my own home were |
|
in the 40's, and I think even the 30's, during the event before |
|
I found my thermometer, but I was lucky. I had a fireplace, and |
|
I had warm clothes. Not very far from my house an 11-year-old |
|
boy, who had been overjoyed at seeing his first snow on Monday, |
|
froze to death in his own bed overnight. And he was not the |
|
only Texan who froze to death in this storm. Others died from |
|
carbon monoxide poisoning trying to keep warm. My constituents |
|
who are doctors told me they had never seen anything like the |
|
number of people they treated for carbon monoxide poisoning |
|
during this time. |
|
What we saw in Texas during the winter storm was a |
|
catastrophic failure of our electric grid, a catastrophic |
|
failure that didn't have to happen. There were ample warnings |
|
from both FERC and NERC about how the Texas grid was vulnerable |
|
to winter resilience issues that had been documented in detail |
|
after the 2011 winter storms. But years of inaction by our |
|
State legislature, our Governor, and his appointees at the |
|
Public Utility Commission left our State with a grid that |
|
focused on market profit at the expense of a resilient grid. |
|
While affordable energy should be a key priority of our grid |
|
system, Texans saw firsthand the catastrophe that occurs when a |
|
grid is unable to function and provide life-saving power when |
|
people need it the most. |
|
My colleague, Mr. Bera, recognizing that Texans have a |
|
well-known independent streak, mentioned that Texans perhaps |
|
choose to pay less than people in California for their energy. |
|
But in recent Wall Street Journal analysis has found that for |
|
two decades Texas customers have paid more for electricity than |
|
residents of States served by traditional utilities, $28 |
|
billion more since 2004. |
|
Ms. Garza, given your years of experience at ERCOT, I'm |
|
interested in hearing your perspective on Texas's failure to |
|
plan for peak demand in the winter. And I won't be able to get |
|
to all of my questions, but I do want to focus on this because |
|
we haven't talked about it in this hearing. It's my |
|
understanding that when ERCOT planned for peak demand that |
|
would require distributors to shed load, it was done under the |
|
assumption that such an event would occur in the summer, when |
|
demand is typically highest. When ERCOT ordered distributors to |
|
shed load during the storm, the regional allocation for where |
|
loads had to be shed was geographically centered around areas |
|
where the summer demand would be the highest, particularly in |
|
Houston and in South Texas, despite the fact that the north in |
|
this case was experiencing higher demand. Is it your understand |
|
that this is the case? |
|
Ms. Garza. Yes, it is. |
|
Mrs. Fletcher. And do you agree with me that ERCOT should |
|
revisit this planning so that it's able to respond better to |
|
winter demand events? |
|
Ms. Garza. Yes, and I think that it's on the list of |
|
things to work on. The only thing I would caution you there is |
|
that, as you get further south in the State, you--there's more |
|
electric heat, and electric heat uses lots of electricity--the |
|
inefficient electric heat that generally exists the further |
|
south you go. And so--but factoring that in, and understanding |
|
a more seasonal distribution of load across the State to more |
|
fairly assign those curtailment responsibilities would be an |
|
appropriate step, and one that I think is underway. |
|
Mrs. Fletcher. Well, thank you, Ms. Garza. With my last |
|
few seconds I just want to mention, and ask this question, in |
|
your written testimony, and in your opening comments today, you |
|
mentioned that in setting standards we should have benefits |
|
that exceed costs, and noted the infrequency of cold weather in |
|
Texas is part of that analysis. With the deaths of at least 70 |
|
Texans, the illnesses of many more, with tens of billions of |
|
dollars in damages to people's homes and businesses across the |
|
State, my question is whose costs are you referring to in your |
|
analysis? And, unfortunately, I'm out of time, so I'll take |
|
your response in--written response, but I really appreciate all |
|
of you being here today, and, Madam Chairwoman, I yield back. |
|
Staff. Mr. Gonzalez is next. |
|
Mr. Gonzalez. Thank you, Chairwoman Johnson and Ranking |
|
Member Lucas, for holding this timely hearing today, and our |
|
distinguished witnesses for joining us. One thing I like about |
|
the Science Committee is we actually talk about facts, unlike |
|
the narratives that I see coming out on social media. In one |
|
case, when I flipped on my social media, which I'm one not to |
|
do, folks on the right saw it as the Texas blackouts, which |
|
were tragic, as justification for criticisms of wind turbines, |
|
and renewable energy generally. On the left, those opposed to |
|
federalism--free market ideas criticized Texas's deregulated |
|
energy market because some companies to prioritize cost over |
|
safety. |
|
Of course, the answer is both charges are true, partially. |
|
Power generation companies in Texas took a market risk and |
|
chose not to harden their facilities. I think we highlighted |
|
that today. And given the high variance of wind and solar, |
|
relying on renewables as a primary source of energy increases |
|
costs to consumers, can export jobs, and weakens energy |
|
independence. What we need is a system that works both ways. |
|
Renewable energy serves a purpose when it correctly supplements |
|
higher density energy sources. As cheaper, more effective |
|
technologies come online, they absolutely should be deployed. |
|
And, given the threat of uncontrollable weather events, Texas's |
|
power generators and utilities should be encouraged to |
|
winterize their facilities, and toughen the grid against |
|
extreme stress. |
|
We should also reconsider our approach to nuclear energy, |
|
which is a big priority of mine on this Committee, and across |
|
this Congress. While nat gas, coal, and renewable energy |
|
capacity plummeted during the blackouts, nuclear remained |
|
relatively reliable, operating at 74 percent of total capacity. |
|
I want to start with that fact specifically, and Dr. Jenkins. |
|
What is it about nuclear that allowed it to do better |
|
relatively? I know it too suffered, but relative to the other |
|
energy sources, is there something inherent to the technology, |
|
or is it coincidental? Just kind of walk me through what it is |
|
about nuclear that allowed it to be a little bit more resilient |
|
through the Texas cyclone. |
|
Dr. Jenkins. I mean, the main benefit that nuclear enjoys |
|
over natural gas in particular is it doesn't need fuel delivery |
|
during these kinds of events, and so it's one less |
|
vulnerability to supply disruptions on the fuel side of things. |
|
You know, the--these--because of the focus on safety and |
|
reliability in the nuclear power fleet as well, there are |
|
considerable efforts and investments made in maintaining the |
|
highest degree of reliability for those plants, and so they |
|
also tend to perform better during these sorts of extreme |
|
events as well because they are, you know, they're |
|
considerably, and justifiably, focused on maintaining the |
|
highest reliability. |
|
I think what the performance of the nuclear fleet also |
|
shows is that the diversity of resources helps decorrelate the |
|
failures, right? If you have 10 power plants that all have a 10 |
|
percent chance of failure, but those aren't at all related to |
|
each other, the odds of them all failing at once are, like, 10 |
|
to the negative ninth, you know, percent. It's, you know, |
|
infinitesimally small. But if they're all linked up to the same |
|
natural gas system, and that system goes down, or they're all |
|
in the same part of the transmission grid, and that |
|
transmission grid fails, then, their outages are correlated, |
|
and so I think we have to think carefully about how we |
|
diversity the risk exposure. And nuclear has its own risks, |
|
but, you know, there are different--they're different than |
|
those for other power sources, and that improves the resilience |
|
of our system through diversity. |
|
Mr. Gonzalez. Thank you. And, in your opinion, what do you |
|
think the appropriate role for nuclear is when it comes to |
|
generation, and our goals around reducing our carbon footprint? |
|
Dr. Jenkins. Well, I think there's two things to note. The |
|
first is that our existing nuclear power fleet is by far the |
|
cheapest source of clean firm generation capacity that we could |
|
have. Any new source of carbon-free firm generation is going to |
|
be more expensive, with rare exceptions, than maintaining our |
|
existing nuclear fleet as long as it is safe to operate. So |
|
that's the foundation upon which we can build toward a lower |
|
carbon and cleaner energy system. And then, in the future, |
|
newer nuclear power plants are one of several types of clean |
|
firm generation technologies. At the moment none are licensed |
|
for sale, right? We need to see---- |
|
Mr. Gonzalez. Yeah. |
|
Dr. Jenkins [continuing]. The NRC (Nuclear Regulatory |
|
Commission) process through for the new scale reactors, for the |
|
GE-Hitachi BWR-X, for the others that are moving their way |
|
through the process, and when they come to market, we'll be |
|
able to see if they can compete with other clean firm |
|
generation technologies, like advanced geothermal, or Allam |
|
cycle power plants, or natural gas power plants with carbon |
|
capture, biomass gasification, hydrogen turbines. There's a |
|
whole range of options, and all of those are in a more nascent |
|
state today than other technologies, and so I think the race is |
|
on, and the efforts that this Committee has made in the Energy |
|
Act, and other legislation, to support the development of those |
|
technologies will help propel them forward. |
|
Mr. Gonzalez. So fair to say, in your estimation, nuclear |
|
should play an important role in our energy generation future |
|
in the United States? |
|
Dr. Jenkins. Yeah. I think it already plays an important |
|
role today, and it can sustain that role into the future as |
|
well, especially if the new technologies can be affordably |
|
built, and on time, with little risk, which has been the |
|
challenge so far for the nuclear fleet. |
|
Mr. Gonzalez. Thank you. I hope everyone was listening. I |
|
yield back. |
|
Staff. Mr. Perlmutter is next. |
|
Mr. Perlmutter. Thank you very much to our Chairwoman and |
|
to the Ranking Member for this panel. You guys are great, |
|
it's--and you've got a lot of stamina to answer all these |
|
questions for this long. I've got a couple, one for the panel |
|
generally. And one of the reasons that I've lasted this long is |
|
that there's a Coloradan on the panel, and so I want to start |
|
with him. |
|
Mr. Torres, you know, you've talked about microgrids a |
|
lot. Explain to me, and to us, you know, how a microgrid, you |
|
know, has helped with the California wildfires, how it could |
|
help with the wildfires that we face in Colorado from time to |
|
time. Let's start with that question. And then I have a general |
|
question to the whole panel. You can think about it. We're |
|
going to do an infrastructure bill, a big one, that's going to |
|
be loads of bridges, and waterworks, and broadband, but there's |
|
going to be an emphasis on the electrical grid. If all of you |
|
could think of a couple things you'd like to see us do, either |
|
regionally or nationally, to upgrade the grid? So--but I'd like |
|
to start with you, Mr. Torres. |
|
Mr. Torres. Thank you, Representative Perlmutter. So first |
|
maybe understand--we should get on the same page about what I'm |
|
referring to as a microgrid. A microgrid is a smaller grid tied |
|
to the bigger grid that can disconnect and reconnect as needed. |
|
And why would you want to do that? And there are some really |
|
good examples with regards to even the recent wildfires in |
|
California. Borrego Springs is a microgrid demonstration. We've |
|
been working with them for quite a while. They have a lot of |
|
issues with transmission line, and the lack of reliability at |
|
times for them. So they needed ways to make sure that we |
|
could--they could keep the local power up and running. With |
|
some local sources, you can use a variety of generation |
|
sources. Renewable solar, different types of gen sets, energy |
|
storage, and so on. |
|
We're seeing the trend for those kinds of organizations |
|
that have a high necessity for very, very reliable power. For |
|
example, military installations have been working this space |
|
for a long time, and there was a big demonstration I was |
|
involved in about 10 years ago called the Spiders demonstration |
|
with--between the military and the Department of Energy. There |
|
are also other, you know, resources--or, I'm sorry, other loads |
|
that really need high reliability power. For example, data |
|
centers. They need to increase the amount of reliability |
|
because some of the computer systems are very, very sensitive |
|
to power. |
|
So I believe in the future we're going to see a lot more |
|
owners and operators of various loads that will want to make |
|
sure that, if there's a loss of a transmission line, or loss of |
|
centralized generation, that they can still operate through. So |
|
I foresee--microgrids would be an important element of the |
|
future evolving grid. |
|
Mr. Perlmutter. Thank you. So, Dr. Tierney, let's go to |
|
you, and---- |
|
Dr. Tierney. Well, thank you, because---- |
|
Mr. Perlmutter. Yes. |
|
Dr. Tierney [continuing]. I live in Colorado, so you have |
|
a second Coloradan on this panel. |
|
Mr. Perlmutter. Well, let's go to you, and if you want to |
|
talk about microgrids, or how you think, as a general |
|
principle, we can upgrade the system. |
|
Dr. Tierney. Yeah, OK. |
|
Mr. Perlmutter. Give me a couple examples. |
|
Dr. Tierney. Well, and I'm going to talk about it in the |
|
context of a clean infrastructure recovery package, if that's |
|
OK. So I---- |
|
Mr. Perlmutter. Sure. |
|
Dr. Tierney [continuing]. Think there could be elements |
|
associated with infusing more dollars into building energy |
|
efficiency. So boring that sounds, but what a difference that |
|
would make if buildings were buttoned up so that houses that |
|
were facing either extreme cold or hot events were much more |
|
able to withstand those kinds of outside temperatures. |
|
Especially doing that in low income areas, and bundling those |
|
two things together, would be very important. |
|
Second, there is a green bank that is now included--I |
|
think it's in the Clean Futures Act. It's the accelerator, |
|
Clean Energy Accelerator. It would be a multi-multi-billion |
|
dollar infusion of support for local investments that deal both |
|
with lowering greenhouse gas emissions with various types of |
|
projects, as well as equity considerations. Another, third, |
|
issue is tree planting in urban areas, where there are real hot |
|
spots. And tree planting in Colorado would not be a bad idea as |
|
well, just to restock the forests. Transmission investment, |
|
we've already talked about, and then finally, in your |
|
jurisdictional authority area, all of these investments in R&D |
|
for grid resiliency at various stages in the process, and to |
|
harden the grid, and deal with cyber security, they're ripe for |
|
inclusion in this package. How's that? |
|
Mr. Perlmutter. Thank you very much, and I want to thank |
|
the entire panel. I can't get to all of you, but I want to |
|
especially thank the Coloradans. |
|
Staff. Mr. Baird is next. |
|
Mr. Baird. Thank you. Madam Chair, and Ranking Member |
|
Lucas, I really appreciate your cooperation in bringing this |
|
kind of timely Science Committee meetings, and then to have the |
|
talent and capabilities of our witnesses, is very much |
|
appreciated. I always learn something. |
|
We're interested in research, research and development, |
|
and it's a recurring trend, I think, in the industry, per se, |
|
across the country about the need for government, and academia, |
|
as well as private industry, to work together so that we can |
|
continue to be successful and be a leader around the world |
|
using American technology. So the National Labs, I've been |
|
impressed with those, and the things that they do, and I think |
|
it's important that we focus on the kinds of research that you |
|
think are necessary. So I'm going to start with Mr. Rai. |
|
Dr. Rai, what do you think is the difference between |
|
academia research and private industry research? Are there |
|
priorities? Can you help prioritize where you think we need to |
|
go focusing on that research? |
|
Dr. Rai. Thank you for that question, Mr. Baird. One of |
|
the key things that academic research is--that it is long |
|
range, and more basic--as we heard earlier in this hearing, |
|
that typically the private industry also does a lot of |
|
research, but that's really much harder--year to, you know, 5 |
|
years, and rarely it is, you know, out--10 years out. But a lot |
|
of the question that you're talking about, not of the research |
|
that can be done, really is--benefit in the long run. We heard |
|
about many computing technologies, about hydraulic fracturing, |
|
about storage technologies, wind and solar, these took a long |
|
view, lot of investment over multiple decades, and then |
|
supported demand for policy as--and so, you know, there's |
|
really this sequencing--there's a lot of interaction, but still |
|
there's a sequencing in terms of both the nature of the |
|
problem, which are more fundamental, as well as the time |
|
horizon that the academic research really depreciates itself, |
|
but it has a very fundamental place, in terms of generating |
|
that diversity of powerful ideas that can then really play out |
|
in the--over time. |
|
Mr. Baird. Thank you. Would you agree with the idea that |
|
private industry can't really justify just basic research, |
|
whereas academia, we invest in that basic research, and we |
|
still get a return at some point down the road? It may not look |
|
like important research at the moment, but down the road |
|
private industry kind of picks that up. Is that--have I got an |
|
appropriate analysis of that situation or not? |
|
Dr. Rai. Absolutely, sir. It has played out again and |
|
again in very big ways--in very radical big ways that change |
|
the world forever in multiple sentences. So, yes, sir. |
|
Dr. Jenkins. Congressman, if I could just add to that, the |
|
partnership between universities and National Laboratories also |
|
extends beyond the basic research. There's applied research |
|
programs carried out in partnership with industry that continue |
|
to provide critical incremental innovations that move these |
|
technologies along and make American technological companies-- |
|
technology companies, you know, maintain their competitive edge |
|
as well. So it extends into that translational and applied |
|
research realm also. |
|
Dr. Tierney. And especially because some of this grid |
|
resiliency R&D is really a public good, and no private company |
|
can really monetize its investment in R&D for such a broad- |
|
based thing. We really do need R&D in this area federally |
|
funded. |
|
Mr. Torres. Yeah, if I could add something as well, I |
|
think that partnership across academia, where they could focus |
|
on longer term research, basic research, higher risk, where |
|
industry cannot. They need to have a return, something that's a |
|
little bit more certain, with lower risk, and the laboratories |
|
kind of cover that spectrum. One of the roles that we have here |
|
at NREL is providing that bridge, taking, you know, the basic |
|
and applied research, and working with industry, going from, |
|
hey, can we prove this in a laboratory, but can this--to the |
|
next level, can we actually deploy it? How would it deploy, and |
|
can we minimize the risk before it gets deployed in full scale? |
|
Mr. Baird. Thank you. Ms. Garza, you got any comment? |
|
Ms. Garza. So my--no. Short answer is no. |
|
Dr. Jenkins. Could I just maybe add that I just strongly |
|
encourage the Committee to work with your colleagues to ensure |
|
appropriations that fulfill the kinds of authorizations |
|
included in the Energy Act? You've made enormous, you know, |
|
focus on the kinds of innovative priorities that we have, and |
|
we're talking about here, but unless the budget comes through, |
|
it's not going to be something that the labs, and universities, |
|
and private sector can tackle. |
|
Mr. Baird. Well, thank all of you for being here, and I |
|
see I'm out of time, so the Chair will probably cut me off |
|
right quick. Thank you. |
|
Staff. Ms. Ross is recognized next. |
|
Ms. Ross. Thank you so much, and thank you, Madam |
|
Chairwoman, for having this important hearing, and in such a |
|
timely way. I--I'm from North Carolina, and we are no stranger |
|
to odd weather, hurricanes. Today tornadoes are predicted in my |
|
district, and having a resilient energy grid, and a modern |
|
energy grid, is so, so important to not just delivering the |
|
energy every day, but dealing with these severe weather |
|
incidents. |
|
My first question is to Ms. Garza. In your testimony you |
|
speak about the need for better long-term forecasting of |
|
potential conditions. And, as I said, North Carolina's no |
|
stranger to severe weather, including severe winter weather. As |
|
a matter of fact, we--in our integrated resource planning, |
|
winter peaking has replaced summer peaking because of severe |
|
winter weather. I don't know if you knew that about North |
|
Carolina, but it was a surprise to a lot of people. We have |
|
tropical storms, hurricanes, flooding, and--so this can happen |
|
year-round. Could you please elaborate on how improved |
|
forecasting could help utility companies, State and local |
|
authorities, and consumers prepare for extreme weather events, |
|
like the one that happened in Texas, and happens frequently in |
|
North Carolina? |
|
Ms. Garza. Sure. You know, as I've mentioned, the, you |
|
know, the typical pattern has been to just look back at, well, |
|
how bad has the weather been, and let's assume that that's as |
|
bad as it's--it will be, and with additional population, |
|
additional uses, what will my demand for electricity be? And |
|
clearly that was insufficient here in Texas. One of the reasons |
|
for that look back would be for States like yours, in North |
|
Carolina, that are regulated, and they have to justify those |
|
expenses. It's easy to justify, well, I'm going to build for |
|
this, because we know it's happened. And unless there's |
|
additional input that says, well, the risk is larger than what |
|
you've actually occurred, I could see where it would be |
|
difficult for utilities that are reliant on rate-based |
|
recovery, or, you know, regulated rates of return, to justify |
|
additional expenditures. So that's another reason, another |
|
justification, for outside help, you know, input into the |
|
electric utility to make sure that they're adequately planning |
|
for the long term, whether it's heat, or cold, or storms, or |
|
whatever. |
|
Dr. Jenkins. Yeah, and Congressman, this is---- |
|
Dr. Tierney [continuing]. I add to that, please? Because |
|
forecasting, and R&D in support of much finer forecasting, has |
|
this long-term component for demand, and it should take into |
|
consideration changes in the climate for sure. But there are |
|
short term operational forecasting issues where integration |
|
between wind forecasts and local effects, heat forecasts in |
|
certain areas, demand forecasts on a couple of days ahead. |
|
Those--and the forecast of outage probabilities of facilities |
|
under different kinds of climate events. Those kinds of |
|
things--that's a really important R&D--for resilience. |
|
Ms. Ross. Thank you---- |
|
Dr. Jenkins. And as I---- |
|
Ms. Ross [continuing]. Very, very much. Yes? |
|
Dr. Jenkins. Sorry---- |
|
Ms. Ross. Somebody else want to jump in? |
|
Dr. Jenkins. Yeah. Sorry to interrupt. As I emphasize in |
|
my testimony as well, I do think that additional climate |
|
science investment that focuses on this question of how these |
|
extreme weather events and threats are changing, you know, the |
|
probability distribution is moving, and it's those tail events |
|
that are the big threats to our system, and so those just get a |
|
little bit more likely. That has huge implications for how we |
|
plan and prepare our systems, and we need the forward-looking |
|
science to be able to help guide us as the climate changes over |
|
the next several decades. |
|
Ms. Ross. Thank you, Dr. Jenkins. My next question is for |
|
you. We--North Carolina's currently No. 2 in solar in the |
|
country, and--so we're interested in clean firm energy. I've |
|
represented solar companies, and actually connecting to the |
|
grid sometimes is the thing that keeps them from being able to |
|
realize their projects. You argue that we don't need every |
|
source of electricity to be reliable all the time, we just need |
|
the overall system to be reliable. In our last 23 seconds, |
|
could you just discuss further how we might be able to do that |
|
with an improved grid? |
|
Dr. Jenkins. Well, I think the critical need is for |
|
technologies that can replace, ultimately, our natural gas |
|
fleet, and our retiring coal, and eventually nuclear power |
|
plants that can provide a similar role as those power plants |
|
play today, but without the carbon dioxide emissions and air |
|
pollution associated with fossil generation today. So that |
|
could be advanced nuclear, natural gas plants with carbon |
|
capture and storage, advanced geothermal technologies. That |
|
could be potentially be very low cost, very long duration |
|
energy storage, although those typically are only a partial |
|
complement or substitute, and potentially hydrogen production, |
|
which could come from renewable sources, could come from |
|
biomass, and it could come from natural gas with carbon |
|
capture, all of which would provide a zero carbon fuel that |
|
could be used in converted natural gas power plants in the |
|
longer run. |
|
So all of those are options, and I think, again, as I |
|
mentioned earlier, the race is on between them to see which |
|
will be developed and scalable, and I think we need a diversity |
|
of those technologies because what works in North Carolina may |
|
not be what works in Texas, or in Minnesota, or in New England. |
|
And so we need a mix of resources that can play that role, the |
|
right, you know, role in each parts of the country. |
|
Ms. Ross. Thank you, Madam Chair, and I yield back. |
|
Staff. Ms. Bonamici is next. |
|
Ms. Bonamici. --Member Lucas, and thank you to our |
|
witnesses for joining us today. I regret I couldn't be in the |
|
entire hearing, but I care a lot about this very important |
|
topic. And we know that as we transition to a 100 percent clean |
|
energy economy our electric grid will be a central feature of a |
|
comprehensive climate strategy. Our grid needs to be clean, |
|
reliable, and, importantly, resilient to climate threats. |
|
According to a recent report from the University of |
|
California Berkeley an infrastructure build out needed to |
|
achieve a 90 percent carbon would support approximately 550,000 |
|
jobs each year, and avoid at least $1.2 trillion in cumulative |
|
health and environmental challenges. Last--I joined my |
|
colleagues on the Select Committee on the Climate Crisis in |
|
releasing a bold, comprehensive, science-based climate action |
|
plan reaching net zero emissions no later than mid-century, and |
|
net negative thereafter. Our plan includes many recommendations |
|
on grid resilience, including Congressman Bera's bill, which I |
|
know we're focusing on today. |
|
According to a report from the Government Accountability |
|
Office, GAO, released just last week, the climate crisis could |
|
affect every aspect of the grid, from generation, transmission, |
|
and distribution to demand for electricity, and cost billions |
|
of dollars annually. GAO specifically found that the Department |
|
of Energy does not have a strategy, goals, objectives, or |
|
performance measures to guide its efforts to enhance the |
|
resilience of the grid--climate crisis. And this is of |
|
particular concern to Oregonians in my State because of our |
|
raging wildfire season and other reasons as well. |
|
So, Dr. Tierney, how can the DOE best work with Federal |
|
science agencies to better understand, predict, and respond to |
|
grid threats from the climate---- |
|
Dr. Tierney. There are dozens of things that the |
|
Department of Energy should be doing, and I think there is a |
|
groundswell of support for becoming more aggressive on |
|
resiliency issues. There was a wonderful program called the |
|
Grid Modernization Program that was authorized for 5 years, I |
|
think, Juan? Is that right? And continuing and depending that |
|
kind of work, supported--supporting work at the labs, will be |
|
extremely important on these issues. |
|
But also, as you say, standard setting for performance is |
|
badly needed. It's a tough area, when you think about those |
|
different levels of the system, generation, transmission, |
|
distribution, and demand, but hard work needs to be done there. |
|
Thank you for the question. |
|
Ms. Bonamici. Thank you. And following up on |
|
Representative Ross's question, Dr. Jenkins, I appreciated the |
|
reference in your testimony to not needing every source of |
|
electricity be--to be reliable all the time, and instead |
|
focusing on the system, that requires a mix of electricity |
|
resources, all playing the right role on the electricity team-- |
|
isn't--important that we think about equitable access to-- |
|
affordable clean energy so you can discuss the opportunities to |
|
make our transition to a 100 percent clean energy reliable and |
|
resistant grid equitable for vulnerable communities who have |
|
been on the front lines of the climate crisis? |
|
Dr. Jenkins. Well, I think that the--first I should add, |
|
Representative Bonamici, I was born and raised in your |
|
district, so it's a pleasure---- |
|
Ms. Bonamici. I'm honored. |
|
Dr. Jenkins [continuing]. To talk with you. I think that |
|
there are huge benefits--potential benefits to a transition to |
|
a cleaner energy system for all communities, including those |
|
that are currently suffering the most from air pollution from |
|
our current fossil energy mix. You referenced a Berkeley Labs |
|
study on the 90 percent reductions in--or 90 percent clean by |
|
2035 power system. I'd refer you to the Net Zero America study |
|
that we worked out of Princeton as well, which estimates very |
|
similar benefits for--in terms of reduced air pollution, |
|
particularly from the phaseout of our coal fired power plants, |
|
which Oregon is scheduled to retire its last coal fired power |
|
plant later this--in a couple years, and this could result in-- |
|
that, and electrification of vehicles, which are the major |
|
source of urban air pollution, could substantially reduce |
|
exposure to air pollution, and save significant lives and costs |
|
for households and communities. |
|
The other thing we have to think carefully about is where |
|
we want to direct investment in the new industries that are |
|
growing to deploy, you know, clean energy, and to manufacture |
|
the products there, and to ensure that those are distributed |
|
across our country in ways that communities in transition |
|
benefit from. And Oregon knows very keenly the challenges of a |
|
large-scale transition. I grew up in the aftermath of the |
|
timber wars, and the, you know, the impacts that the phase-out |
|
of the timber industry had across Oregon communities, and I |
|
think we need to make sure that we're proactively investing in |
|
economic development and diversification in communities that |
|
are currently relying on fossil generation or fossil fuel |
|
production as part of this. |
|
Ms. Bonamici. Thank you, Dr. Jenkins. I'm working on a |
|
national transition legislation, so we really do absolutely |
|
need to focus on those front-line communities. I also want to |
|
mention too, because you're an Oregonian, that we're doing some |
|
really exciting work on marine energy---- |
|
Dr. Jenkins. Um-hum. |
|
Ms. Bonamici [continuing]. Off the coast because, unlike |
|
the sun and the wind, the waves are constant, so there's a |
|
tremendous amount of potential to capture the power of the |
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waves, tides, currents. So---- |
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Dr. Jenkins. Yeah, as--along with floating offshore wind |
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turbines, which could open up a huge--I mean, the West Coast |
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has the windiest, you know, highest wind potential in the |
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country, if we could cost-effectively tap into it. |
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Ms. Bonamici. Well I'm, of course, working in |
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collaboration with all our coastal partners. There's-- |
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tremendous amount of potential. Thank you very much, Madam |
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Chair. I yield back. |
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Staff. Chairwoman Johnson, all the Members present have |
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been recognized already, so I think we're ready to close out |
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the hearing. |
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Chairwoman Johnson. Thank you very much to all of our |
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tremendous witnesses. We are delighted that you had the time to |
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spend with us, and I'll thank all of our Members for |
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participating. Before we bring the hearing to a close, I would |
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just simply like to say to our witnesses to stay close. We |
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might have some questions that you might receive, and we |
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really, really, really appreciate your input. |
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The record will remain open for at least 2 weeks for |
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additional statements from the Members, or to submit questions |
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for our witnesses. And--so now I'll--whatever questions that |
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our Committee Members might ask witnesses. Our witnesses now |
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are excused, and our hearing is adjourned. |
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[Whereupon, at 12:57 p.m., the Committee was adjourned.] |
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Appendix I |
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Answers to Post-Hearing Questions |
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Responses by Dr. Jesse Jenkins |
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[GRAPHICS NOT AVAILABLE IN TIFF FORMAT] |
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Responses by Dr. Sue Tierney |
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[GRAPHICS NOT AVAILABLE IN TIFF FORMAT] |
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Appendix II |
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Additional Material for the Record |
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Executive summary of a report submitted by Representative Casten |
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[GRAPHICS NOT AVAILABLE IN TIFF FORMAT] |
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[For full report see: https://www.ferc.gov/sites/default/files/ |
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2020-04/08-16-11- |
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report.pdf] |
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Documents submitted by Representative Posey |
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[GRAPHICS NOT AVAILABLE IN TIFF FORMAT] |
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Article submitted by Representative Posey |
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[GRAPHICS NOT AVAILABLE IN TIFF FORMAT] |
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Report submitted by Representative Babin |
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[GRAPHICS NOT AVAILABLE IN TIFF FORMAT] |
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[all] |
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