Dive Brief:
- National Grid on Thursday announced plans to invest $35 billion in New York and Massachusetts over the next five years to harden the region’s electric grid against extreme weather, reduce emissions and help the states meet their clean energy goals.
- The investment represents an increase of more than 60% over National Grid’s previous five-year spending in the region and “follows positive engagement with our regulators in these states,” CEO John Pettigrew said in a statement.
- The portfolio of projects includes more than 70 previously-announced transmission system upgrades in upstate New York, smart meters and grid hardening investments in Massachusetts, and an effort to accelerate gas pipeline replacements around New York City.
Dive Insight:
National Grid said its Northeast system buildout aligns with the U.S. Department of Energy’s transmission needs study, which concluded the region needs a 255% increase in transmission development to support clean energy plans in New York and Massachusetts.
The utility “is committed to playing our part in achieving the ambitious decarbonization targets that New York and Massachusetts governments have set,” Pettigrew said. “The increased investment we’re announcing today 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.”
In New York, National Grid said it plans to spend about $21 billion between now and 2029 to improve reliability and resilience and expand deliverability of renewable energy across the state. The “Upstate Upgrade” effort includes new substations and rebuilding more than 1,000 miles of transmission lines connecting towns near Buffalo, Rochester and Syracuse.
“This landmark 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.
National Grid is planning to spend about $14 billion in New England, including on its Massachusetts Electric Sector Modernization Plan to upgrade and expand the state’s grid, accelerate renewables interconnection and roll out new customer programs to encourage energy efficiency.
“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. “The investment is essential to transform the energy ecosystem, build new and expanded infrastructure, and deliver an electric network that is fundamentally smarter, stronger, cleaner and more equitable than today.”
Along with the electric system upgrades, National Grid on Thursday also said it has proposed a three-year investment plan in New York “to modernize the Downstate gas businesses, reducing emissions, and making them more resilient and reliable.”
The utility is targeting 45 miles/year of replacements in New York City and 119 miles/year on Long Island, with a focus on disadvantaged communities.
