Signal · Energy Systems
US and EU Grid Modernisation Drive Surge in Transmission Investment Amid Renewables Push
US and EU Grid Modernisation and Transmission Investment Trends in 2024 Recent OSINT indicates increased funding and project activity in US and European energy infrastructure, focusing on grid resilience, renewable integration, and cross-border interconnections. These developments reflect heightened capital flows and policy…
Thesis
US and EU Grid Modernisation and Transmission Investment Trends in 2024
Key findings
- Recent OSINT indicates increased funding and project activity in US and European energy infrastructure, focusing on grid resilience, renewable integration, and cross-border interconnections. These developments reflect heightened capital flows and policy support for energy transmission expansion amid ongoing electrification efforts.
- Over the past 72 hours, US federal grants totaling $3.9 billion have been announced for grid upgrades, with an expected total investment of approximately $8 billion including private and state leverage. Meanwhile, the EU reports a €584 billion investment need by 2030 to meet its renewable and electrification targets, alongside progress on cross-border interconnection projects such as the Spain–France Bay of Biscay link.
- The PJM interconnection queue backlog remains significant with 2,600 projects and 250 GW awaiting study, underscoring ongoing congestion issues in regional transmission. The FERC draft rule scheduled for a vote on May 13 aims to require 20-year regional planning and reform cost allocation processes, potentially influencing future grid expansion strategies.
Analysis
The California ISO approved a $7.3 billion 10-year transmission plan to enable 45 GW of renewables interconnection by 2035, reflecting substantial capacity expansion and integration efforts within US markets.
These signals collectively demonstrate active policy and funding initiatives aimed at expanding grid capacity, improving interconnection processes, and supporting renewable energy integration, with a focus on regional and cross-border infrastructure development.
Such developments suggest a sustained capital inflow into energy infrastructure projects, emphasizing the importance of policy support and regulatory reforms in scaling transmission capacity and ensuring grid resilience in both US and European markets.
The dataset does not specify detailed project timelines beyond the 2028 completion date for the Bay of Biscay interconnector or the specific allocation of private versus public funding for all projects. OSINT also lacks granular data on project statuses or regional disparities beyond the summarized updates.