Reality check: It takes around five years, on average, for generation and transmission projects to move through review. “The current permitting system is broken,” Xan Fishman, vice president of energy at the Bipartisan Policy Center, told Energy Central over email.
But the grid quickly needs new gigawatts (and transmission lines) to meet a tsunami of demand. To cut through all that red tape ASAP, Congress is racing to broker a deal by August recess.
But first, why does the permitting process take so long? It’s “fractured across federal, state, and local authorities, and it attracts litigation that can last a long time with uncertain outcomes,” Tom Sharp, director of permitting intelligence at analytics firm Arbo, told us via email.
That litigation often stems from federal rules like the National Environmental Policy Act (NEPA) and the Clean Water Act, which were intended to safeguard US ecosystems and communities. These court battles can add years to the process and even kill some projects.
So, what’s the progress on permitting reform? In recent years, the House has introduced a flurry of bills. Roll the tape:
You’ve got the SPEED Act, which aims to streamline NEPA and cut down litigation.
There’s also the PERMIT Act, which has similar goals for the Clean Water Act.
Both are sitting in the Senate but aren’t likely to pass, Sharp and Fishman agreed.
What’s more likely: A deal that wraps up these goals (along with accelerating the transmission buildout) into one hefty package. Senate committees are in negotiations right now, Fishman said. This potential deal would likely also tackle President Trump’s crusade against renewable projects, he added.
These talks have run into some speed bumps, but the stakes are high to wrap things up by next month’s Congressional recess: “If we don’t get this done, energy costs are going to rise and chances of blackouts will increase,” Fishman said.