Page 15 - NBIZ Magazine April 2021

U.S. will continue to grow, citing the
combination of increased exposure Predicted damage, 2080 to 2099
(more humans and infrastructure at Percent of county G.D.P. per year
risk), greater vulnerability (the
amount of damage caused by hazards),
and the higher frequency and magni-
tude of extreme events, caused by
climate change, that lead to billion-dol-
lar disasters. Figure 2: Estimating economic damage from
climate change in the United States
Texas and other Gulf states have
a lot to lose from climate change, as
shown in Figure 2. Texas counties in
the state are likely to experience a GDP
decrease of up to 15% due to extreme
weather and natural disasters. 4

Grid Resilience and Increasing
Power Outages
The electric power sector is vast
and complex and exposed to many
climate risks. Extreme weather events
are the most disruptive to power
systems, particularly extreme heat,
flooding, drought, and hurricanes. Figure 1
Texas’s electric power system is at risk
because other than standard reliability
regulation, there is no expectation or
requirement that utilities or the grid
operators forecast, assess, and prepare
for the impacts of extreme weather risk
on energy supply, demand, or system
operation. Climate change will sig-
nificantly affect electricity supply and
demand as well as system operation.
Without proper assessment, disclo-
sure, and mitigation of risk, the power
system will see greater disruptions
resulting in significant impacts on the
state economy and communities.
Power outages are becoming
increasingly common in the U.S. An
analysis by Climate Central shows a
67% increase in weather-related outag-
5
es since 2000. According to the U.S.
Department of Energy, over the last
20 years, Texas has had more power
outages affecting 50,000 or more cus-
tomers than any other state (see Figure
6
3). In 2020, approximately two million
Texas electric customers lost power
for sustained periods due to extreme
weather events. Most recently, Winter
Storm Uri resulted in an outage for
over 4.8 million people for almost an
entire week. Texas power supply and
demand will continue to be harmed
by extreme weather events, increased
power costs, and reduced reliability.

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