Annual Assessment Reveals High-Risk Areas
The North American Electric Reliability Corporation (NERC) has released its annual long-term reliability assessment of the United States electrical grid, revealing large portions of the US and Canada as high- or elevated-risk areas for energy reliability. This includes Texas, where the cryptocurrency mining industry is looking to expand.
Rapid Development and Demand Increase
According to the report, both development and demand in the energy industry are rising faster than ever before, causing challenges for operator management. New projects are being planned at a rate that puts pressure on energy and transmission system adequacy.
Environmental Policies Complicate the Situation
The report also highlights the complications posed by the Environmental Protection Agency's policies aimed at reducing carbon emissions. The National Rural Electric Cooperative Association (NRECA) commented on the report, stating that the nation's energy future is at risk without a major shift in state and federal energy policy.
NRECA CEO Jim Matheson said, "Absent a major shift in state and federal energy policy, this is the reality we will face for years to come." He added that nine states experienced rolling blackouts in December 2022.
Challenges for Energy Providers
The report acknowledges that crypto mining plays a unique role in the energy mix. It has the flexibility to adjust its operations and can move or shut down in response to energy price fluctuations. This poses a challenge for energy providers in their planning and development efforts.
Texas Crypto Mining Industry Seeking Expansion
The Electric Reliability Council of Texas (ERCOT), the grid operator for Texas, has approved planning studies for grid connections that would add 9 gigawatts (GW) of power. Additionally, there are requests for an additional 41 GW. To put this into perspective, one gigawatt can power almost 700,000 households for a year.
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https://trendinginthenews.com/crypto-currency/sec-chair-gary-gensler-hints-at-rethinking-approach-to-bitcoin-etfs
