The regional entity that oversees much of the Midwestern electrical grid – the Central Continent Independent System Administrator (MISO) — approved a series of major new transmission system upgrades that will deliver billions of dollars in benefits to the region and enhance the ability of states and utilities to pursue the clean energy transition.
To see here for the excellent post from my colleague Sam Gomberg explaining the background and details on what is known as “Tranche 1” of MISO’s long distance transmission planning method. This much-needed set of 18 projects will improve electricity reliability, address overloaded wiresand help unlock more cheap wind and solar power to replace expensive, polluting fossil fuel plants in Michigan and many other Midwestern states (including Illinois and Minnesota).
The 18 projects approved by MISO in Tranche 1 address reliability needs in the Upper Midwest and help ensure utilities can move from older, more expensive coal-fired power plants to cleaner, affordable wind and solar power. Source: MISO.
What’s in it for Michigan?
Several of the Tranche 1 projects will help improve west-to-east power flows, including abundant wind power from Iowa and northern Missouri to Illinois, northern Indiana and Michigan. The projects will also allow Michigan to transfer more electricity to other areas as it is available and needed. This is important because our electricity grid is interconnected across the region and because we can better distribute power between states reduces the risk temporary power cuts, while cheaper means can reach customers where they are.
As part of the development of the Tranche 1 proposals, MISO has analyzed both the costs and benefits of the project portfolio. Overall, MISO estimates that the 18 projects represent nearly $10.5 billion in investment in new transmission systems, the cost of which will be spread across Zones 1-7 shown in the map below.
However, the benefits are significant outweigh the costs — according to MISO forecasts, Tranche 1 will provide taxpayers in the region between $37 and $96 billion in total benefits by improving reliability, addressing congestion on transmission lines, enabling more cheaper wind and solar power to consumers and reduce heat retention CO2 emissions by reducing the use of expensive coal and gas-fired power stations.
Within MISO, there are multiple “zones” used to analyze transmission cost allocation, two of which cover Michigan – Zone 7 is the Lower Peninsula and Zone 2 is the Upper Peninsula and parts of Wisconsin. Source: MISO.
Here’s how the cost-effectiveness breaks down for Zone 7 (Michigan’s Lower Peninsula) and Zone 2 (Upper Peninsula and parts of Wisconsin):
In addition, the sustainable interest organization Clean Grid Alliance estimates that MISO’s Tranche 1 projects will enable more than 8,300 megawatts of new solar and wind development in Michigan’s Zone 7 — enough to power more than 1.7 million homes and create more than 34,000 jobs. For Zone 2, Clean Grid Alliance is calculating 3,600 megawatts of sustainable development that could power 775,000 homes and create 14,000 jobs.
Transmission Upgrades Support Michigan’s Clean Energy and Climate Goals
Michigan’s MI Healthy climate plan Urges that 60 percent of the state’s electricity needs come from renewable sources, and that utilities phase out all coal-fired power plants by 2030. Under Consumers Energy’s recently approved long-term resource planThe utility’s remaining coal-fired plants will be retired by 2025 as part of the company’s goal to achieve “net zero” carbon emissions by 2040. DTE aims to reduce carbon pollution by 50 percent by 2028, and is preparing its own updated resource plan, expected in October. Both utilities are planning a significant increase in solar power in the coming years to complement existing wind facilities in Michigan.
As Michigan moves into its clean energy future, transmission upgrades like those in MISO’s Tranche 1 are important not only to ease the transition, but also to keep our power grid stable and reliable while save taxpayers money.
What’s next?
MISO’s Tranche 1 projects will then proceed to state processes for further evaluation and assessment of site and permits. While 90 percent of Tranche 1 projects can be located along or adjacent to existing transmission lines, it is critical that Michigan and other states conduct an inclusive and accessible process to hear from communities that may be affected by the projects.
The Tranche 1 projects demonstrate the benefits to Michigan and Midwestern taxpayers of investing in our power grid. But for MISO, the long-term transmission planning process is just getting started – the grid operator needs to move forward faster with additional phases needed to build the modern transmission infrastructure that states and utilities need to meet their clean energy goals. Let’s celebrate today’s smart investments and continue to build a healthier, safer and more affordable electricity future.
Originally published by Union of Concerned Scientists, the Comparison.
Through James GignacSenior Midwest Energy Analyst for the Union of Concerned Scientists’ Climate & Energy Program.
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