The National Association of Regulatory Utility Commissioners (NARUC) has recently passed an influential resolution urging for greater adoption and funding for grid-enhancing technologies (GETs) and high-performance conductors (HPCs). This significant move underscores the critical need for innovation in power grid management to meet the ever-increasing electricity demand while ensuring energy remains affordable and reliable. With the adoption of these advanced technologies, NARUC envisions a more robust and efficient power grid system that can effectively support rising energy demands and foster long-term consumer benefits. NARUC’s resolution, therefore, calls on Congress to allocate more resources toward programs that facilitate the deployment of these advanced technologies.
The Need for Advanced Transmission Technologies
NARUC’s resolution highlights the necessity of adopting Advanced Transmission Technologies (ATTs) as a default solution to improve grid capacity and performance cost-effectively. These technologies include dynamic line ratings (DLR), advanced power flow control (APFC), topology optimization (TO), and high-performance conductors. Each of these technologies is designed to enhance the grid’s efficiency and manage new electric demands at a lower cost compared to traditional upgrades. Advancements like DLR can determine the actual, real-time capacity of power lines, maximizing the use of existing infrastructure and reducing the need for unnecessary expansions.
Advanced Power Flow Control (APFC) allows operators to redirect electricity flow to lines with available capacity, thereby improving overall grid efficiency. Topology Optimization (TO) identifies optimal grid configurations to reroute energy flow around congested areas, increasing resiliency. High-performance conductors (HPCs), such as composite core conductors and superconductors, play a crucial role in improving transmission efficiency and capacity. These technologies collectively address the challenges posed by rising electricity demand and ensure a more reliable and efficient power grid.
Industry Trends and Observations
NARUC’s resolution is grounded in several key observations and trends within the electric industry. According to the North American Electric Reliability Corporation (NERC)’s 2023 Long-Term Reliability Assessment, the growth rates of forecasted peak demand and energy requirements have significantly increased since the 2022 assessment. The report predicts a 9.19% rise in peak electricity demand over the next decade, signaling an urgent need for grid enhancements. Furthermore, data from market monitors reveal a substantial rise in transmission congestion costs across the seven organized markets in the U.S., more than doubling since 2016, exacerbating concerns about grid efficiency and reliability.
The Lawrence Berkeley National Laboratory points out that over 2,000 gigawatts (GW) of generation and storage projects are currently waiting to be linked to the grid. This backlog has resulted in extended queue times, increasing from below two years in 2008 to over five years by 2022, underscoring the pressing need for grid enhancements. The U.S. Department of Energy (DOE)’s National Transmission Needs study further emphasizes this urgency, forecasting that regional transmission capacity must expand by 20-128%, and interregional capacity by 25-412% by 2035 to meet future demand effectively. These trends indicate a critical demand for immediate and concerted efforts to enhance and optimize the power grid infrastructure.
Benefits of Grid-Enhancing Technologies
NARUC references DOE’s 2024 Innovative Grid Technology Liftoff Report, which highlights that these advanced transmission technologies are not only commercially available but have been used internationally for several years. The report suggests that these technologies could yield multiple benefits for consumers, such as increased utilization of both new and existing transmission lines by 16% or more, a 50% reduction in congestion, and potential production cost savings of over $5 billion annually. Additionally, reconductoring with high-performance conductors could double the capacity of existing lines at approximately half the cost of constructing new ones, presenting a cost-effective solution to current grid challenges.
These technologies also contribute significantly to improving grid reliability and efficiency by minimizing transmission losses and enabling better integration of renewable energy sources. Increased funding and wider adoption of GETs and HPCs could lead to enhanced customer satisfaction, reduced energy costs, and improved grid resilience. These advancements in grid technology thus offer a promising pathway to achieving a more reliable and robust power grid, capable of meeting the growing energy demands while reducing costs and enhancing efficiency.
Federal Funding and Success Stories
The resolution calls attention to the successes already achieved through federal funding, specifically through the Grid Resilience and Innovation Partnerships Programs (GRIP). The first two rounds of GRIP funding, which focus on GETs and HPCs, have already benefited 29 states. This progress indicates the effectiveness of federal investment in advancing grid-enhancing technologies. The anticipation is that the third round of funding will open in 2025, with possibilities for even more Congressional support to enhance programs like the Smart Grid Investment Grants to sustain ongoing progress. These funding initiatives play an integral role in driving forward the deployment of advanced grid technologies.
In late 2023, the White House unveiled the GRIP program’s first funding round—an investment of $3.46 billion for 58 projects across 44 states aimed at reinforcing electric grid resilience, bolstering reliability, investing in microgrids, and facilitating the integration of renewable energy sources. This initiative forms part of a larger $10.5 billion investment funded by the Bipartisan Infrastructure Law to improve grid flexibility and resilience across the U.S. Additional funding rounds followed with another $2.2 billion announced in August 2024 for further project selections, and nearly $2 billion allocated in October 2024 for 38 additional GRIP projects. These funding rounds and investments underline the importance and impact of federal support in enhancing the nation’s power grid.
Strategic Approach for Future Energy Needs
The National Association of Regulatory Utility Commissioners (NARUC) has recently adopted an impactful resolution advocating for increased adoption and funding of grid-enhancing technologies (GETs) and high-performance conductors (HPCs). This critical initiative highlights the urgent necessity for innovations in power grid management, which are essential to address the rising demand for electricity while maintaining energy affordability and reliability. NARUC envisions that by embracing these cutting-edge technologies, the power grid system will become more robust and efficient, better equipped to handle future energy needs and provide long-term benefits for consumers. The resolution, therefore, calls on Congress to allocate additional resources toward programs that support the implementation of these advanced technologies, recognizing that an efficient, modernized grid is key to sustainable energy solutions and economic growth. By doing so, they aim to ensure the power infrastructure can meet the challenges of the future and continue to serve the public effectively.
