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All 6 regional grid operators to miss July deadline to

upgrade

equipment

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Delays could extend 1-2 years past deadline

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Grid operators cite complexity of project, lack of

software

vendors

By Tim McLaughlin

BOSTON, Jan 31 (Reuters) - U.S. grid operators are

asking regulators for more time to meet a federal order to

upgrade existing transmission lines with equipment that can

boost their capacity up to 40%, according to a Reuters review of

regulatory documents.

The delays represent a potentially years-long setback for

efforts to reinforce the nation's rickety power infrastructure,

at a time newly sworn-in President Donald Trump has declared a

national energy emergency over soaring U.S. electricity demand

from data centers.

The Federal Energy Regulatory Commission in late 2021 had

ordered all six major regional grid operators outside of Texas

to establish systems that regularly update the capacity ratings

on transmission lines, based on weather conditions, by a

deadline of July 2025.

High-voltage transmission lines currently rely mainly on

static settings that do not factor in real-time temperature

drops or cooling breezes that could boost their capacity,

meaning less power is often delivered than could be.

Meeting the FERC order requires technology that factors in

hourly power line temperatures.

All six regional grid operators, however, have indicated

they will not meet the July deadline, according to the Reuters

survey.

Some, including the Midcontinent Independent System Operator

(MISO), which oversees the wholesale electricity market in 15

states, cited a lack of available software vendors needed to

accomplish the work.

MISO told Reuters on Thursday it plans to file a deadline

extension with FERC in March, but has not determined how long of

an extension it would need.

California's CAISO, whose members are now embroiled in

probes and lawsuits relating to devastating wildfires in Los

Angeles, told FERC this week it may need until late 2027 to

fully implement the agency's order.

"Getting this done by the July 2025 time frame is too large

an effort for us and our participating transmission owners,"

Andrew Ulmer, a lawyer for CAISO, said last month during a

meeting with stakeholders, when explaining the rationale for a

deadline extension.

PJM, which operates in 13 states that include the southern

and eastern part of the country, told Reuters it plans to

discuss an extension to the FERC deadline during a meeting with

transmission owners next week.

The Southwest Power Pool, whose territory extends from North

Dakota to Louisiana, told stakeholders earlier this month it

would seek an extension for as late as December 2026.

In early 2024, FERC approved a deadline reprieve for New

York's grid operator that could extend into late 2028.

New England's grid operator, ISO New England, told Reuters

it plans to request a deadline extension in the fourth quarter,

but did not say how long it would need.

The delays are emblematic of decades of underinvestment in

the U.S. electric grid, said Julia Selker, executive director of

WATT Coalition, an advocacy group for more grid technology.

"You need utilities clamoring for this technology to get the

regional grid operators moving," Selker said.

Trump described the electric grid as "increasingly

unreliable" in a Jan. 20 National Energy Emergency declaration,

which is intended to help him fast-track permitting for new

energy infrastructure projects.

FERC told Reuters it is reviewing the president's executive

orders and whether they will factor into decisions on deadline

extensions.

The White House did not respond to a message seeking

comment.

Transmission line congestion cost U.S. electric customers an

estimated $11.5 billion in 2023, according to a report from Grid

Strategies, a power sector consulting firm.

It has been a major obstacle for new power generation

projects, which require transmission capacity to access markets.

Utilities that have already installed sensors based on the

FERC order have seen some benefits.

For example, during 2022's Winter Storm Elliott that knocked

out power for more than 1.5 million homes and businesses across

the U.S., PPL Corp's ( PPL ) power lines with advanced sensors

boosted their capacity beyond standard settings, which PJM said

was critical in avoiding rotating power outages.