National Grid announced plans to invest $75 billion across the UK and US over the next five years, with nearly half of the funding dedicated to US energy system improvements in Massachusetts and New York.
This significant step up to approximately $35 billion of investment represents an increase of more than 60 percent on National Grid’s investment in the region in the last five years.
John Pettigrew, Group CEO of National Grid, said: “The increased investment we’re announcing follows positive engagement with our regulators in these states, reflecting a willingness to upgrade electricity networks to provide long term affordable energy to all, and reduce emissions across our gas networks.”
Lack of transmission infrastructure can directly contribute to higher electric bills, and more frequent and longer power outages, according to the US Department of Energy (DOE).
Preliminary findings from DOE’s National Transmission Needs Study also found that developing new transmission in the New York-New England corridor would not only improve reliability, but also support the increasing electric demand in the region.
The federal analysis found the region needs a 255 percent increase in transmission development to support the clean energy growth expected under New York and Massachusetts policies.
National Grid will unlock economic growth across New York and Massachusetts. By the end of the decade, National Grid will support 127,000 jobs.
In New York, National Grid is investing around $21 billion between now and 2029. Among those investments is the Upstate Upgrade which comprises more than 70 transmission enhancement projects across Upstate New York.
“This investment will transform the energy grid to meet growing energy needs and is a much-needed piece of the puzzle to support the clean energy transition,” said National Grid New York President Rudy Wynter. “The money we are spending to make these upgrades is necessary to deliver renewable energy to homes and businesses across New York.”
In New England, its five-year investment will total $14 billion. National Grid will implement innovative solutions, like smart meters, to help consumers manage energy use; build modernized energy infrastructure; construct and upgrade infrastructure to make it less susceptible to extreme weather events; and maintain and improve the quality of existing gas and transmission assets.
Massachusetts Electric Sector Modernization Plan (ESMP) would create a path to upgrade and expand the electric grid, accelerate the connection of renewables to the grid, and introduce new customer programs to encourage energy efficiency, and the adoption of clean energy.
“National Grid is making it clear that we are a committed partner to help Massachusetts meet its climate and clean energy goals,” said National Grid New England President Lisa Wieland.
In addition to the transmission investments, National Grid has proposed a three-year investment plan to modernize the Downstate gas businesses. This includes a focus on disadvantaged communities and accelerating gas main replacements to reduce emissions, with a target of 45 miles/year of replacements in New York City and 119 miles/year on Long Island.
Since 2013 National Grid has replaced 1,500 miles of gas main, lowering system emissions by 102,385 metric tons of CO2e, the equivalent to removing 22,257 cars from the road.