Advancing GETs Act of 2024 Advancing Grid-Enhancing Technologies Act of 2024
By encouraging investment in grid-enhancing technologies, SB3918 is expected to improve the overall performance and reliability of the transmission grid across the United States. The legislation specifically mandates that a percentage of savings realized from these enhancements—ranging from 10% to 25%—be shared with the developers. Additionally, this initiative could invigorate the energy market by providing financial incentives for innovation and efficiency improvements, which may contribute to reduced energy costs for consumers.
The Advancing Grid-Enhancing Technologies Act of 2024, also known as SB3918, aims to establish a shared savings incentive under the Federal Energy Regulatory Commission (FERC) to promote investments in grid-enhancing technologies. These technologies are defined as hardware or software that enhances the capacity, efficiency, reliability, resilience, or safety of transmission facilities. The bill directs FERC to determine the percentage of tangible savings attributable to such investments, which could be returned to developers of these technologies over a period of three years.
One notable point of contention regarding SB3918 could center around the effectiveness of the shared savings incentive model. While proponents argue that it supports technological advancement and infrastructure improvements, critics may raise concerns about the potential for insufficient oversight, misallocation of funds, or disparities in how different entities might benefit from this program. Furthermore, there may be debates surrounding the benchmarks for determining the 'savings' and effectiveness of the technologies involved, which could impact the equitable distribution of financial incentives.
The bill also mandates the creation of an application guide for utilities and developers to assist in the implementation of grid-enhancing technologies, as well as the establishment of a clearinghouse for previously completed projects. This provision is intended to facilitate the sharing of best practices and lessons learned in the deployment of these technologies, ultimately aiming to bolster the infrastructures underpinning the energy system.