US Allocates $1.5 Billion for Four Power Grid Projects – Reuters

By Timothy Gardner

WASHINGTON – Four electricity transmission projects across the U.S. southwest, southeast, and New England will receive $1.5 billion in public funding aimed at enhancing the grid’s resilience and facilitating access to clean energy, according to government officials on Thursday.

The funding, part of the second phase of the Transmission Facilitation Program, is derived from a bipartisan infrastructure law enacted in 2021. It is expected to support the construction of nearly 1,000 miles of new transmission lines in states including Louisiana, Maine, Mississippi, New Mexico, Oklahoma, and Texas.

David Turk, the deputy U.S. energy secretary, stated that this initiative is designed to kickstart large transmission projects that might not otherwise proceed. The Department of Energy has estimated that these investments will create approximately 9,000 jobs.

The first phase of the program, announced a year prior, focuses on grid projects in western and northeastern states.

Turk also mentioned that the department plans to purchase electricity capacity on these lines, subsequently reselling it as new customers emerge.

The specific projects receiving funding include:

• The Aroostook Renewable Project, which will enable access to wind power generated in Maine for New England.
• The Cimarron Link, a 400-mile high-voltage direct current line originating from Texas, designed to transmit power from wind and solar sources to growing regions in eastern Oklahoma.
• The Southern Spirit project, which will create a 320-mile line that connects the Electric Reliability Council of Texas grid to southeastern power markets for the first time, enhancing reliability during extreme weather events, such as the severe storm Uri that affected Texas in 2022.
• The Southline project, which aims to establish a transmission line to transport electricity generated from wind power in western New Mexico across the desert Southwest.

The Department of Energy’s National Transmission Planning Study has indicated that the U.S. will need to significantly increase its transmission capacity—potentially doubling or tripling it within the next three decades—to accommodate growing demand and ensure reliability. The study further suggests that extensive transmission expansion and interregional planning could yield hundreds of billions of dollars in savings.