Transmission + Action + Rate Design

News from MIT's front door for climate policymakers

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Energy is dominating the news cycles right now. From insights out of CERA Week—where our team and MIT colleagues presented—to rising oil and gas prices due to the conflict in the Middle East to the future of renewables, we’re leaning in with key evidence and insights, helping shape global climate policy discussions. Also, read on to learn more about our exciting new partnership with the Coalition of Finance Ministers for Climate Action.

-Bethany Patten, Executive Director, MIT Climate Policy Center

Relevant for: Federal, state, and local policymakers; congressional staff; state utilities; and regional grid operators

Policy question: Why is expanding interregional transmission important, and what’s blocking it?

Key evidence: MIT’s BIG WIRES research and FERC’s February 2026 report confirm that stronger interregional transmission improves reliability, lowers costs, and supports decarbonization—simultaneously. MIT research finds that better interregional connections to the Electric Reliability Council of Texas (ERCOT) could have significantly prevented blackouts Texans experienced during Winter Storm Uri. Expanded transmission also unlocks access to the cheapest available generation and delivers it to where demand actually is, lowering costs for consumers.

Policy implications: Permitting reform (like the SPEED act), which would accelerate transmission projects, is necessary, but must be complemented by more efficient planning and community engagement to avoid stalled projects like the Grain Belt Express.

Policy actions

1. Embed early stakeholder management into permitting reform to avoid project opposition from involved communities and resulting delays

2. Pursue interregional transmission mandates involving region-specific increase requirements while having a baseline minimum increase across regions

3. Plan proactively for cost allocation among affected generators who are no longer competitive at lower electricity prices

What to watch next: Senate action on the SPEED Act, FERC action on interregional planning, rising grid stress from data center demand and extreme weather

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With contributions from Juan Senga & Janina Shivdasani, edited by Tracey Palmer

By joining the Coalition of Finance Ministers for Climate Action, the CPC will contribute research, tools, and insights to help global finance ministries integrate risk and opportunity into economic decisions that lead to climate investment and action.

En-ROADS makes the consequences of policy decisions visible to leaders, a systemic investing guide informs investors, + a policy brief with CPC contributions outlines scalable, sustainable building tech for developing economies.

Clean energy resources are not the reason electricity bills are rising. The problem is how they’re paid for. CPC Faculty Director Christopher Knittel + Fischer Argosino co-authored this op-ed and public comments, ahead of the Mass. Dept. of Public Utilities docket 25-200 as they consider rate design regulations.

Our latest research—with UMass Lowell, ESB Business School, and Climate Interactive—shows that En-ROADS can increase global leaders’ climate knowledge, influence their real-world decision-making, and motivate them to act.

ABC News: Professor Christopher Knittel explains why the ramifications of the war in the Persian Gulf are going to be long-lived and could lead to a global recession.

Boston Globe: Professor Catherine Wolfram discusses oil economics, the energy fallout from the war in Iran, and why action on climate policy is critical.

MIT Sloan: Noise is irritating to people who live near flight paths—but it also devalues their homes. Research co-authored by Professor Christopher Knittel backs this claim, suggests flight routes should account for environmental and economic impacts on neighborhoods.

The New York Times: War in the Middle East reminds us of oil’s persistent influence on geopolitics and the global economy. Professor Catherine Wolfram notes that, unlike oil, solar and wind power can’t be weaponized.