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State Efforts to Modernize the Electric Grid: What Will It Take to Prepare?

Home News/ResourcesResourcesState Efforts to Modernize the Electric Grid: What Will It Take to Prepare?

State Efforts to Modernize the Electric Grid: What Will It Take to Prepare?

January 17, 2020 Resources, White Papers

“60% of U.S. distribution lines have surpassed their 50-year life expectancy and it is estimated that $1.5 trillion to $2 trillion will be spent by 2030 to modernize the grid just to maintain reliability.“1 

This is just one of many compelling statistics cited in, “Modernizing the Electric Grid: State Role and Policy Option,” –a must-read for lawmakers involved in tackling this complex challenge in the near future. This newly-released report assists state lawmakers in understanding the changing energy system and explores a variety of options available to utilities, state governments and energy planners to enable grid modernization.

The report offers numerous case studies that provide insight into the benefits, costs and challenges, and highlights policies that enable innovative solutions to compete and flourish on a level playing field.

The report explores five key areas including:
• Components of the modern grid.
• Securing a modern grid.
• Policy and regulatory approaches for a modern energy system.
• Utility regulatory options.
• Federal action on grid modernization.

At a time when lawmakers and utilities are faced with challenges from an evolving electric sector, states are driving grid modernization through a variety of methods. Many of these approaches include changes to the way that utilities are regulated and how rates are designed. “As state lawmakers, we create the legal framework that directly impacts the move to a modern energy grid,” said Senator David Koehler (D-Ill.), co-chair of the NCSL Task Force for Energy Supply.

Read NCSL’s Task Force on Energy Supply report on grid modernization online. For more information on this report, please contact Glen Andersen at glen.andersen@ncsl.org.

Download the Modernize the Electric Grid Report

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