| Resource Type | Policy Brief |
| Author / Source | Claire Wayner (RMI) |
| Publication Date | November 2024 |
| Location | United States |
| Initiative Type | Policy, Program |
| Project Complexity | Intermediate |
| Recommended For | Board, Staff |
Estimated reading time: 15 minutes
Why This Matters for Rural Electric Co-ops
FERC Order 1920 introduces major reforms to how regional transmission planning is conducted in the United States. For rural electric cooperatives, the rule could shape long-term transmission investments, regional planning requirements, and cost allocation approaches that ultimately affect wholesale power costs. Understanding the rule helps co-op leaders anticipate regulatory shifts that may influence reliability, transmission access, and future grid investment.
Key Takeaways
| › | Order 1920 requires transmission planners to conduct long-term regional planning over at least a 20-year horizon. |
| › | Planning must evaluate multiple scenarios reflecting electrification, policy changes, and resource retirements. |
| › | Transmission planners must quantify multiple reliability and economic benefits when evaluating projects. |
| › | States and stakeholders will play a larger role in determining cost allocation approaches for new transmission projects. |
Implementation Considerations
- Regulatory or Governance Considerations: Co-ops should monitor regional planning processes and participate, where possible, because transmission costs may flow through wholesale power rates.
Estimated reading time: 15 minutes
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