House committee rejects task force to study virtual power and grid-enhancing technologies after heated debate

House Concurrent Resolution 40, proposing creation of a Louisiana Grid Efficiency Task Force to examine virtual power plants and grid-enhancing technologies, failed in the House Natural Resources Committee on May 21 after extended debate among legislators, regulators, utilities and industry groups.

Representative Zuerang, the resolution’s sponsor, told the committee the task force would “get ahead of the game” and study opportunities to optimize the grid as demand grows over coming decades. “This is an opportunity to create a task force to start looking at that, given the fact that energy demand is anticipated increase,” Zuerang said, adding the panel would gather information and not supplant regulatory authority.

Multiple amendments broadened the task force’s membership to include additional legislators, members or designees from the Public Service Commission and Senate Commerce committee, an appointee from the Governor’s Office of Homeland Security and Energy Preparedness (GOSEP) with electric-grid security expertise, and representatives from natural gas and nuclear energy industries. The sponsor said the task force would not perform confidential, proprietary geographic analyses already conducted by state labs and agencies.

Opponents said the resolution rested on incomplete or misleading studies and risked duplicating or undercutting work by the Louisiana Public Service Commission. Jody Monteliero of Entergy urged caution, saying some cited studies understated grid investment in the Delta region; Entergy highlighted multi-billion-dollar transmission and distribution investments it has made and asked that public comments be accurate. “When we have conversations publicly, those conversations need to be, I mean they can be speculative but they need to be accurate,” Monteliero said.

Brandon Fry, identified as executive secretary of the Louisiana Public Service Commission, told the committee he had not yet spoken with commissioners and cautioned that the PSC could handle similar work within its rule-making and docket processes; he added, however, that timing mattered if the resolution was to advance.

Energy office and renewable-energy representatives said the task force would be technology-agnostic and provide a forum to collect diverse perspectives. Dustin Davidson, deputy secretary of the Department of Energy and Natural Resources, said energy demand is already a nationwide concern and that the department is coordinating with PSC and federal groups on planning and grant opportunities.

After members debated and amendments were adopted, Representative McCormick and others voiced opposition on grounds including possible grid reliability impacts and insufficient clarity about objectives. The committee’s roll call read 11 opposed and 2 in favor, and the chairman announced HCR 40 failed. Several members said the discussion raised issues the legislature will have to address going forward.