Permitting Reform: A Strategic Imperative for U.S. National Security and Global Competitiveness

This story originally was published by Real Clear Wire

By Michelle Howard, Paul Segal
Real Clear Wire

Permitting reform has swiftly risen to the forefront in Washington as a pressing national security priority. The United States is grappling with the dual challenges of escalating energy demand and mounting global competition, particularly from China. Despite the critical role of our nation’s energy infrastructure, the U.S. is ensnared in a permitting process that can prolong vital projects by several years—or even decades. SAFE’s Center for Grid Security underscores that overhauling the procedures for approving and constructing energy infrastructure is not just a matter of efficiency—it is a matter of national urgency in the face of escalating global power competition.

Most Department of Defense (DoD) installations rely on the civilian power grid, but the growing strain on our power system is increasingly impacting installations and essential military operations, intensifying the consequences for our national defense. Military installations depend on the grid for command centers, communication networks, and intelligence gathering to maintain operational readiness. The Energy Permitting Reform Act of 2024 (EPRA), currently under consideration in the Senate, would significantly expedite critical upgrades, ultimately ensuring that installations are equipped to handle potential disruptions.

The transition to a GOP-controlled Congress in January will likely challenge the passage of EPRA as Republicans may well decide to wait, with a blank slate in the new Congress. However, given the urgency of the situation, policymakers should move now to begin the essential work of building the grid our military and economy deserve. As SAFE CEO Robbie Diamond has articulated, “America must be prepared for a surge in power demand as the incoming administration accelerates our reindustrialization. Delaying these needed reforms, even by a few months, will hold us back—let’s pass EPRA now to lay the foundation for growth and implement further reforms as needed.” This pragmatic strategy balances the urgency of reform with a phased approach, ensuring progress while laying the groundwork for broader changes.

The vulnerabilities within the power grid extend beyond national security and have significant implications for economic competitiveness. High-tech and defense-critical industries, such as artificial intelligence (AI) and semiconductor manufacturing, rely on abundant and affordable energy from a secure and resilient grid. Without reform, there is a real risk of losing these vital industries to competitors with more dependable infrastructure. EPRA aims to streamline permitting processes for projects that enhance grid resilience, positioning the U.S. as a leader in technological advancement and promoting the on-shoring of defense-critical supply chains.

Furthermore, the current system incurs hidden costs for the DoD, which is compelled to allocate resources to backup power solutions, such as diesel generators or microgrids, in case of grid failures—resources that could otherwise be directed toward frontline defense efforts. While microgrids have the potential to provide cost savings to the DoD compared to the continued use of diesel generators, they still represent a cost burden on the defense budget.

Severe weather events further underscore the vulnerabilities inherent in the power grid. Protracted outages can disrupt mission-critical operations at military installations and adversely affect the economy, leading to billions of dollars in lost productivity. The National Guard has increasingly been engaged in addressing these grid-related emergencies, stretching its resources and impeding its focus on critical missions such as disaster response and homeland defense. EPRA would prioritize projects designed to establish a more resilient and interconnected grid, thereby mitigating risks and bolstering security for both military and civilian infrastructure.

In comparison to our near-peer competitors, China’s energy policy is characterized by a strong emphasis on national interests and swift action. China views robust energy infrastructure as a critical necessity that demands immediate attention and implementation.  So should we!

For the incoming administration, prioritizing permitting reform for both transmission and domestic critical mineral development is essential for safeguarding America’s future. Energy infrastructure reform transcends reducing bureaucratic delays; it is an essential component in reinforcing national security, enhancing economic resilience, and maintaining global leadership. In an era characterized by Great Power Competition, ensuring a secure and resilient grid is fundamental to preserving the U.S.’ status as a global leader.

Admiral Michelle Howard, 38th Vice Chief of Naval Operations; Commander, US Naval Forces Europe, US Naval Forces Africa, and Allied Joint Force Command Naples (Ret.), and Paul Segal, CEO of LS Power, are the co-chairs of the SAFE Center for Grid Security

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