Energy Department will spend $2 billion to squeeze more electricity from aging power grid
The grants will rebuild or modernize more than 1,500 miles of transmission lines and could lower electricity costs for about 100 million Americans, officials said.
- On Thursday, the Energy Department announced it will spend nearly $2 billion to upgrade the nation's aging power grid across 26 states, funding 31 projects designed to avert blackouts.
- The announcement addresses warnings that artificial intelligence's voracious power demand threatens to overwhelm U.S. supplies as massive data centers come online faster than new power plants can be built.
- Projects involve technological enhancements across nearly 21,000 miles of transmission lines, expected to produce more than 23 gigawatts of additional electricity capacity—enough to power 16 million homes.
- Energy Secretary Chris Wright is set to announce the grants Thursday in Allentown, Pennsylvania, stating these investments will "move more electricity across the grid" for about 100 million Americans.
- Funding stems from the bipartisan infrastructure law enacted under then-President Joe Biden, while President Donald Trump has vowed to "unleash" the nation's energy sector in his second term.
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101 Articles
US to Invest $5.25 Billion Modernizing Grid for AI Data Center Demand
The US government will invest $5.25 billion to modernize the electricity grid, funding 31 projects across 26 states to meet surging power demand from AI data centers. The initiative upgrades transmission, adds sensors, battery storage, and resilience measures while leveraging matching private funds. Success will ultimately depend on balancing technological growth with affordable electricity for all users.
US government reveals $5.25 billion spending on boosting national grid to help power new AI data centers — money will cover 31 projects across 26 states, but how will it affect energy bills?
Funding comes in addition to larger commitments from utilities, and it chooses to focus on wires and sensors instead of power plants.
Energy Department unveils project to push more juice through existing power lines
The U.S. Department of Energy (DOE) is poised to spend nearly $2 billion to help fund 31 grid improvement projects in 26 states that aim to wring more capacity out of existing power lines to meet surging electricity demand, largely from AI data centers,
The Epoch Times
Zero HedgeEnergy Secretary Announces $2 Billion for Improving Electric Grid With Smart Technology
Power lines are draped across the road after a tornado passed through the small town of Lake Village, Ind., on March 11, 2026. (Scott Olson/Getty Images)
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