Grid Reliability
The reliability of our electric grid is essential for economic stability, energy security and climate resilience. A dependable energy system not only supports the American economy and all businesses and households, but it also prevents financial losses caused by power disruptions. At Constellation, we advocate for market mechanisms that encourage the development and growth of highly reliable power generation infrastructure and compensate energy producers for their availability during peak demand times.
Energy security relies on a consistent power supply. Critical infrastructure, healthcare facilities, emergency services, financial networks and national security depend on uninterrupted electricity. Additionally, climate change poses increasing risks that demand a resilient energy system. Constellation recognizes these challenges and advocates for market structures that prioritize reliability even in the face of climate-related challenges.
To promote reliability improvements, Constellation supports market-based solutions and policy initiatives that provide for the quick and efficient development of reliable generation infrastructure, as well as financial incentives to ensure uninterrupted operation of energy infrastructure. Specifically, we encourage grid operators to implement market rules that will encourage investments in highly reliable power generation. This includes expediting interconnection of resilient generation, compensating producers based on their performance, and rewarding producers for operating under peak-stress conditions. These solutions promote grid resiliency, ensuring that our energy system can withstand extreme events and enhance the overall climate resilience of the communities we serve.
Federal, state and local governments are increasingly implementing policies that use carbon-free resources, and customers are also progressively seeking carbon-free supplies. As a part of this shift, many states and the federal government provide tax credits or other forms of support to carbon-free generators, and many states have imposed limitations on the siting and permitting of new or expanded fossil fuel resources. Therefore, market-based reliability rules should evolve to be consistent with carbon-free goals as much as possible.