Nearly $90 billion was invested in transmission and distribution infrastructure in 2023, but only $6 billion of that was allocated towards advanced grid solutions, according to a report by the Department of Energy. This highlights the need for greater investment and implementation of innovative technologies to enhance grid performance and meet the escalating demand for power in the coming years.
The DOE has issued a plea to the electricity industry, urging them to leverage existing commercial technology to help manage the chaotic shift towards clean energy and increased power demand from data centers. The report titled “Pathways to Commercial Liftoff: Innovative Grid Deployment” outlines the benefits of advanced technologies that can increase transmission line capacity, replace aging power cables with more efficient wires, and provide grid operators with greater visibility and control over power flows.
According to the report, deployment of these technologies could potentially increase grid capacity by 20 to 100 gigawatts during peak periods. This increase in grid capacity is critical as data centers require more power, especially with President Joe Biden’s industrial and climate policies driving a significant expansion in power demand into the 2030s. The growing adoption of electric vehicles and factories for microchips, batteries, and clean energy sources connecting to the grid will further exacerbate this trend.
The deployment of advanced technologies such as smart grids, energy storage systems, and distributed generation resources could help improve grid performance while reducing costs for consumers. These technologies can also enhance resilience against cyber-attacks and natural disasters by providing real-time monitoring capabilities that allow operators to quickly respond to changes in power flows or other anomalies. Overall, investing in these innovative solutions is crucial for ensuring a reliable and sustainable future for our energy systems