Utilities and agencies must come together to build a more reliable, weather-resistant grid

Let’s start with two unfortunate facts. A whopping 70 percent of the U.S. power grid is more than 25 years old and approaching the end of its planned lifecycle, according to the Energy Department. If this aging infrastructure isn’t updated in a timely manner, it could spell disastrous consequences for the hundreds of millions who rely on continuous power from the grid.

Second, according to the 2022 IPCC Assessment Report, the frequency and intensity of extreme weather events are actively increasing as a result of anthropogenic climate change. In the wake of recent devastating hurricanes, including Helene and Milton, millions lost access to power for days or even weeks.

In today’s electricity-driven landscape, modernizing the grid must be a key priority to ensure the U.S. is resilient in the face of rising threats. Fortunately, there is a lot of work being done to incentivize this initiative, and it’s up to us to capitalize on it and secure our energy future.

Modernization while powering clean energy

Simply put, most of the U.S. power grid was designed decades before renewable energy, electric vehicles and other trending technologies came to the forefront. In addition to being old in years, much of the grid is outdated and unable to keep up with the demands of our time.

According to Environment America, the electricity demand from U.S. data centers could more than double by 2035, equivalent to adding the energy needs of another California to our grid. At the same time, experts are concerned that a rapid surge in demand could be devastating for emissions, climate targets, and the transition to clean energy, especially since renewable energy is intermittent and dependent on external weather factors.

So how can we scale up the grid’s energy capacity in a way that aligns with our commitment to supporting a clean energy future? The answer (at least, in part) is with battery energy storage systems (BESS).

Rather than providing additional electricity generation, BESS offers a safe, reliable way for utilities to store energy from any source, whether existing plants, renewables, or surplus power generated during low-demand periods, and release it when demand is high. This capability helps smooth out fluctuations in energy supply and demand, ensuring that capacity is always ready to meet peak needs.

One of the biggest benefits of BESS is that utilities can keep their grid stable and resilient without having to rely on additional fossil fuel generation, supporting cleaner and more efficient energy use. For example, in Michigan, DTE Energy replaced an aging coal plant with an 880MWh BESS that will provide reliable, emission-free power to over 2 million customers in the region. By leveraging the old coal plant’s grid connection, this battery will combine the reliability of a coal plant with the climate benefits of renewable energy.

Federal incentives drive regional and local innovation

At the federal level, modernizing the energy grid has become a clear priority. In May, the Biden administration announced an initiative with 21 states to make faster fixes and improvements to the grid, designed to reduce power outages and increase transmission capacity. Following Hurricanes Helene and Milton, the administration announced $612 million in recovery aid for areas hit by the storms, which will be applied to six Southeast U.S. projects that will strengthen the region’s electric grid.

This funding is critically needed, is relevant across the political spectrum and a great start towards building a more resilient grid, but it’s only the beginning. In the coming years, there needs to be open collaboration and dialogue between government agencies and utility companies on how to prioritize upgrades that look to the future and bring jobs and investments to communities.

So, how can utilities seek and obtain much-needed funding and support?

Initiatives like the Grid Innovation Program provide funding for projects that reduce the impact of natural disasters on the electric grid and improve the reliability of the grid, respectively. Utilities can submit project proposals to these programs for consideration, which can provide a boost to getting projects off the ground.

But the onus of this problem is on the government, as well, due the fact that generation and transmission require networks that span regions encompassing multiple states. Federal agencies should continue proactively prioritizing investments in projects that harden the grid holistically, which will be critical to managing future extreme weather seasons. This is an issue that affects us all – energy professionals, government employees, and everyday citizens who rely on consistent access to power – and it will take every last one of us to solve it.

As the heavy majority of the U.S. energy grid approaches the end of its lifecycle, the time is now for a public-private task force to develop a comprehensive strategy to harden the grid and enable technologies that maximize the benefit of targeted investment in the most vulnerable areas. Federal and state governments collaborating with utilities, developers and technology companies can enable utility-funded projects that break the traditional mold of regulated energy delivery to drive the next era of energy consumption. BESS can be the key foundation of this transformation, as it is generation agnostic and capable of enabling improved reliability for minimal investment compared to major transmission upgrades. Natural disasters aren’t going anywhere, and energy demand is skyrocketing – making this one of the pressing issues of our time.

Brian Kane is the chief projects officer at Powin. He is responsible for the end-to-end process from establishing project requirements to delivering the product to the field for commissioning, and operating the system to end of term. Prior to joining Powin, Kane served as a key leader at Bloom Energy for more than a decade, culminating in his most recent position as head of enterprise sales engineering.

The views and opinions expressed in this article are the author’s own, and do not necessarily reflect those held by pv magazine.

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