There is a “misalignment” in grid interconnection and transmission planning processes that could harm competitive power markets, according to Judy Chang, a member of the Federal Energy Regulatory Commission. Amid surging electric demand forecasts, the interconnection logjam has led grid operators to propose short-term solutions, Chang said Thursday at a meeting held in Woodstock, Vermont, by WIRES, a transmission-focused trade group. The PJM Interconnection, the Midcontinent Independent System Operator and the Southwest Power Pool have proposed one-time processes that would create a fast-track interconnection review for planned generating projects that meet certain criteria. FERC approved PJM’s plan earlier this year over the opposition of some renewable energy companies that contend selected projects will be able to unfairly jump ahead of others that have been waiting in interconnection queues. “I don’t really love short-term fixes,” Chang said. “I really prefer to have better processes — fair and competitive processes — so that generators interconnecting know the rules of the game.” Chang said various issues are coming to a head at the same time, including disputes over interconnection cost allocation and the system’s ability to upgrade interconnection infrastructure and bring on new generation as fast as possible. Those issues could affect the future of competitive power markets, Chang said, noting that some states are considering withdrawing from regional transmission organizations. “I worry about how much states might want to compromise … the open access and competitive access to transmission and competitive markets by pulling back and finding internal solutions, or by complaining about competitive markets not meeting the challenge of the day,” she said. Getting generation online as quickly as possible is a key priority, according to Chang. “We should plan, design, permit — all faster,” Chang said. “So I am a big supporter of permitting reform on all infrastructure, but also

Five advocacy groups on Thursday sued the Bonneville Power Administration for deciding to join the Southwest Power Pool’s Markets+ day-ahead market. The BPA’s May 9 decision to join Markets+ instead of a day-ahead market for the West developed by the California Independent System Operator will lead to higher electric costs, inefficient operations between market seams and potentially the need to build more generating facilities, according to the lawsuit filed by NW Energy Coalition, the Idaho Conservation League, the Montana Environmental Information Center, the Oregon Citizens’ Utility Board and the Sierra Club. “Bonneville’s decision on markets will affect the transmission and generation of electric power across the West and is exactly the type of major federal action that should first consider the harms it could cause to our air quality, grid system reliability, [and] fish and wildlife,” Jaimini Parekh, a senior attorney for Earthjustice, said in a press release. Earthjustice represents the advocacy groups. The BPA’s decision violated the Pacific Northwest Electric Power Planning and Conservation Act, the National Environmental Policy Act and the Administrative Procedure Act, according to the groups. “BPA did not rationally explain how joining the smaller, non-contiguous Markets+ footprint will enable it to meet its duty to promote an adequate, efficient, economical, and reliable power supply for the region that also gives priority to clean, renewable resources,” the groups said in the lawsuit filed at the U.S. Court of Appeals for the Ninth Circuit. The groups also contend that BPA’s choice to join Markets+ will likely increase the risk of blackouts during periods of high or extreme electricity demand because of the “many and complex” seams that power must be transferred across in the market as compared to CAISO’s Extended Day-Ahead Market or a “no-action” alternative. BPA does not comment on active litigation, said Nick Quinata, a

Kent Chandler is a resident senior fellow in energy and environmental policy at the R Street Institute, Chris Villarreal is an associate fellow in energy and environmental policy at R Street and Michael Giberson is a senior fellow in energy policy at R Street. Electric bills are rising, and energy adequacy is at the top of policymakers’ agendas. The most recent North American Electric Reliability Corp. analysis indicates that much of the country is at an elevated risk this summer of experiencing insufficient operating reserves in above-normal conditions. Given the backlogs of generator interconnection requests and gas turbine orders, the delays inherent in current state and federal siting regimes, and the immediacy of load growth in certain parts of the country, it is clear we can’t build our way out of this situation in the near-term. However, enabling flexible customer demand can drive significant system-wide benefits, mitigating the cost or timing of expensive system upgrades. Now is the time for states to take action to empower consumers to play a greater role in their individual and collective energy future. It’s been 30 years since some states began restructuring their electricity laws, allowing customers to buy electricity from suppliers other than their incumbent utilities. However, even with significant leaps in technological innovation and expansion of wholesale markets, implementation of retail choice and customer empowerment within vertically-integrated states has lagged. To determine the state of play for customers to make their own electricity choices, we recently completed a review of consumer choice, retail competition and customer empowerment in all 50 states and the District of Columbia, culminating in a report grading the states on their level of customer empowerment. As you might imagine, the grades vary, from Texas receiving an A- to Alabama receiving the effort’s lone F. Regardless of the grade

XCF Global Inc. announced Thursday an investment plan of nearly $1 billion over the next three years to build sustainable aviation fuel (SAF) production facilities, with most of its in-the-pipeline projects in the United States. The package includes $350 million already invested in New Rise Reno in Nevada, which has a nameplate capacity of 38 million gallons a year. It started production early this year. The announcement follows XCF Global Capital Inc. and Focus Impact BH3 Acquisition Co.’s completion of their merger, creating what they said is the first publicly traded pure-play SAF producer in the U.S. Under its U.S. expansion plan, XCF has acquired three sites “ready for development”, it said in an online statement Thursday. The projects are planned to each have a nameplate capacity of 40 million gallons per annum. XCF expects to put them into operation by 2028. Expected to be completed 2027, New Rise Reno 2 will rise next to the existing plant, “enabling economies of scale and leveraging shared utilities and logistics infrastructure”, XCF said. Another project in Ft. Myers, Florida, will be built on a site with access to port infrastructure. It is expected to be completed 2028. The third, also targeted for start-up 2028, will rise in Wilson, North Carolina, eyeing East Coast markets. “These new sites are expected to replicate New Rise Reno’s modular, patent-pending site design and bundled technology stack, allowing for rapid deployment, flexible production, and capital-efficient scaling”, XCF said. “Each facility is expected to have the ability to produce multiple renewable fuel products, including SAF and renewable diesel, supporting a multi-product revenue strategy that maximizes plant utilization and financial performance”. XCF is also pursuing other “high-potential” markets, the statement said. Last month it announced a non-binding memorandum of understanding with Continual Renewable Ventures for an Australian SAF and

ADNOC Gas PLC will supply Germany’s state-owned SEFE Securing Energy for Europe GmbH 700,000 metric tons a year of liquefied natural gas (LNG) for three years starting 2025, the companies said Thursday. Abu Dhabi National Oil Co.’s gas processing and sales arm will source the LNG from the Das Island liquefaction facility, which has a capacity of six million metric tons per annum (MMtpa). The contract is valued about $400 million. “Das Island’s LNG plant has shipped over 3,500 LNG cargoes worldwide since starting operations in 1977, strengthening ADNOC Gas’ long-term relationships with key global energy partners”, a joint statement said. SEFE chief commercial officer Frederic Barnaud commented, “This new medium-term LNG contract builds on the long-term supply agreement with ADNOC that we signed last year, thereby adding another flexible source of LNG to our portfolio – to the benefit of both Europe’s security of supply and our global market trading activities”. In November 2024, ADNOC and SEFE announced an agreement under which ADNOC will deliver one MMtpa of LNG from the Ruwais LNG project to SEFE for 15 years. Targeted to start production 2028, the 9.6-MMtpa facility on the Persian Gulf coast would more than double ADNOC’s LNG output. ADNOC announced a positive final investment decision June 2024. SEFE-Venture Global Deal Separately on Wednesday SEFE and Venture Global Inc. said they had finalized an agreement to increase SEFE’s offtake from the CP2 LNG project in Cameron Parish, Louisiana, to three MMtpa. The deal adds 750,000 metric tons a year to their 2023 agreement. “Venture Global is expected to become Germany’s largest LNG supplier, with a combined 5 MTPA [million metric tons per annum] of 20-year offtake agreements signed with SEFE and EnBW”, the Arlington, Virginia-based developer said in a statement online. “In addition to its existing long-term agreements, Venture Global

Aker Solutions ASA has bagged a contract from its compatriot Equinor ASA to prepare the topside of Troll C to receive and process production from the Fram Sor subsea tie-in project. The company said in a media release the deal is valued between NOK 0.5 billion ($49.6 million) and NOK 1.5 billion ($148.9 million). Fram Sor is planned as a subsea connection to Troll C, leveraging the platform’s current processing capacity. Situated 20 kilometers (12.4 miles) north of Troll C, the tie-in involves modifications to Troll C’s topside. The scope covers engineering, procurement, construction, installation, and commissioning, along with services for the new subsea templates, Aker Solutions said. The company added that it had previously carried out the front-end engineering and design for the project, led by its office in Bergen. Project management, detailed engineering, procurement, and shop engineering will be managed by Aker Solutions’ Bergen and Mumbai offices. Fabrication is planned at the company’s yard in Egersund. The project will begin immediately, with production set to start at the end of 2029. The contract will be recorded in the Life Cycle segment as order intake for the third quarter of 2025. Equinor and its partners committed over NOK 21 billion ($2.1 billion) to the Fram Sor subsea development. According to Equinor, Fram Sor is a combined development of several discoveries, which will export oil and gas via Troll C. The recoverable volumes are estimated at 116 million barrels of oil equivalent, with 75 percent being oil and 25 percent gas. The plan for development and operation, already submitted to Energy Minister Terje Aasland, includes a first for the Norwegian Continental Shelf, according to Equinor. That is, Fram Sor will use all-electric Christmas trees that eliminate the need for hydraulic fluid supplied from the platform and improve the monitoring capabilities