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Shifting gear to tackle power grid scarcity

Power grids are fundamental to the energy transition. Due to their limited capacity, however, they are also proving to be a key barrier. Grid shortages are increasingly the new normal worldwide.

Improving the use of current grids requires rethinking the default connection regime. There should also be ways to amend the incentives that operators are offered to explore non-wire solutions. Grids have long development lead times, but prospective grid users make investment decisions relatively quickly. These differing outlooks create challenges that require close coordination to solve.

In this brief analysis, Zsuzsanna Pató provides examples of the ways various jurisdictions are easing, or planning to ease, grid congestion. Presented in an easily navigated, interactive online table, the regulatory options are grouped by aim: better use of existing grids, better allocation of existing grid capacities or the building of new grids. The table also indicates how quickly each tool can be implemented.

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