Former President and CEO of Mitsubishi Hitachi Power Systems Americas, Inc. (MHPSA), Dave Walsh, expressed concerns about the ability of electrical grid operators to meet the demand for electricity under the Biden administration’s Environmental Protection Agency (EPA) regulations. The EPA recently released four rules aimed at reducing pollution from fossil fuel-fired power plants, which could strain the electricity supply.
According to Walsh, grid coordinators in various regions across the United States, including PJM, MISO, CAISO, and ERCOT, are warning of a shortage in electricity generation capacity. States like California are already importing a significant portion of their electricity supply and may face further challenges due to the regulations.
The shift towards renewable energy sources, such as solar and wind, is contributing to the closure of nuclear and coal power plants, leading to a potential shortfall in baseload constant duty electricity. Walsh emphasized the intermittent nature of renewable energy sources, which could result in a reduction in overall energy production.
As a result, Walsh predicted an increase in electricity costs and the risk of brownouts, blackouts, and service disruptions across various states. He pointed to previous instances in California where fossil fuels had to be used to meet electricity demands during heatwaves when renewable sources were insufficient.
The potential over-adoption of renewables could lead to significantly higher electric costs and reliability issues in the future. Walsh cautioned that if the Biden administration’s renewable energy goals are fully implemented, consumers could see a significant increase in energy costs and more frequent service disruptions.
The concerns raised by Walsh highlight the challenges that the electrical grid may face in meeting demand under stricter environmental regulations and a shift towards renewable energy sources.
