Economic consequences of geomagnetic storms (a summary)

The effects of the March 13, 1989, geomagnetic storm, which revealed significant vulnerabilities of electric power systems to this natural widespread phenomenon, are described. This vulnerability appears to be increasing during the 1990s. The economic consequences to the nation of this vulnerability are significant, on the order of several billion dollars for each major outage. It is suggested that the US government can play an important role in reducing the vulnerability of electric power systems to solar storms by installing an early warning satellite and cooperating with industry in a comprehensive research program. The Department of Energy can fill gaps in the research and provide for continuity of research during periods of reduced solar activity when industrial research tends to wane.<>