Congestion Costs Skyrocket in Regional Market

Increased Transmission Load Leads to Price Spikes

Report Highlights Need for Optimization and Future Planning

Grid Strategies LLC, a leading consulting firm in the energy sector, has released a report detailing the significant increase in transmission congestion costs across the Regional from 2016 to 2018. The report attributes the surge in costs to increased load and insufficient transmission infrastructure.

The report also presents promising results from an optimization method proposed by the firm, which has demonstrated effectiveness in reducing congestion costs. Furthermore, the study highlights the doubling of internal market congestion costs from 2020 to 2021, underscoring the urgency of addressing this issue.

Grid Strategies LLC estimates that the United States experienced a record-breaking year for transmission congestion in 2021, highlighting the need for comprehensive planning and investment in transmission networks to ensure reliable and cost-effective energy delivery.