DOE requests input regarding benefits of Defense Production Act on national security through greater grid reliability

The U.S. Department of Energy (DOE) launched a Request for Information (RFI) related to the Defense Production Act, seeking the best use of the authority to strengthen grid reliability and benefit national security.

President Joe Biden invoked the authority provided by the legislation in June to boost American production of the technologies needed for lowering energy costs, boosting domestic manufacturing, and building up a clean energy economy. While the DOE has already discussed with stakeholders the best way to proceed, it has now turned to the public for additional input as global supply chain disruptions have picked up pace due to the Russian invasion of Ukraine and the lingering impacts of the COVID-19 pandemic.

“The Defense Production Act provides us with a vital tool to make targeted investments in key technology areas that are essential to ensuring power grid reliability and achieving our clean energy future,” U.S. Secretary of Energy Jennifer Granholm said. “DOE is eager to continue hearing ideas from industry, labor, environmental, energy justice, and state, local, and Tribal stakeholders about how we can best use this powerful new authority to support the clean energy workforce and technologies needed to combat climate change.”

Specifically, DOE asked how it could best use the Defense Production Act to simultaneously confront technology supply chain challenges, build domestic manufacturing, invest in the American workforce, and improve energy equity, community access, and economic benefits. It noted that moves could take the form of purchases, purchase commitments, and financial assistance, such as for expanding domestic manufacturing capacity for transformers. Other technologies the act could cover include solar photovoltaics, insulation materials, electrolyzers, platinum group metals, and fuel cells for clean hydrogen.

Overreliance on foreign sources of grid components and fossil fuels has left the electricity sector vulnerable, according to the DOE. Circling back to the transformer example, the department noted that wait times for grid transformers from abroad can now take upwards of two years – at a time when climate-fueled disasters are picking up pace and threatening grid reliability at the same time.

Submissions for the RFI are welcome through Nov. 30, 2022.