Ensuring the Resilience of the U.S. Electrical Grid

This whitepaper, courtesy of the Lexington Institute, details the three main categories of investment for utility companies as they work to update and replace existing infrastructure. Many of the most important ongoing grid modernization and infrastructure improvements currently underway are focused on the development of a so-called “smart grid” that can (among other facets) better track power usage, measure it against traditional usage patterns, and identify anomalies. But long-term solutions must manage shared risks so that solutions do not slip between segments and sectors where governance gaps exist and direct responsibilities are unclear. As aging infrastructure is replaced and updated, embedding resilience within the electrical grid requires three main categories of investment: 1) managing and meeting overall demand to help avoid an adverse event; 2) expanding alternatives or substitute systems before and after an event; and 3) enabling rapid reconstitution if and when a disruption does occur.