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U.S. utilities adopt grid-enhancing technologies and virtual power plants to meet rising electricity demand, improve reliability, and integrate renewable energy efficiently.
US grid-enhancing technologies and virtual power plants are being deployed as utilities try to deal with increasing levels of electricity demand and grid congestion. The major US grid operators, including the Tennessee Valley Authority (TVA), are investing in cost-efficient solutions to increase capacity without building new lines. This is to deal with urgent energy reliability issues.
Increasing demand levels have put significant pressure on the US grid, and new lines are being met with issues related to supply chain and community issues. Dynamic Line Rating (DLR), Advanced Power Flow Control (APFC), and Virtual Power Plants (VPPs) are being deployed to optimize current infrastructure, which has the potential to unlock over 80 GW of peak capacity, according to RMI research. The TVA is currently testing software and hardware solutions, including high-temperature low-sag carbon core conductors and topology optimization software, to determine their cost-effectiveness. Meanwhile, Sunrun has deployed 237,000 battery and solar home systems, delivering 4 GWh of networked storage, and aims to reach 10 GWh by 2028.
“With energy demand expected to increase at a rapid pace, expanding transmission capacity in the near term is critical to meeting this need,” said Adam Winer, Communications Managing Director for Advanced Energy United. “Virtual power plants utilize distributed energy resources to help mitigate grid strain, demonstrating the value of batteries to defer new poles and wires.”
The U.S. requires new high-capacity transmission lines amounting to 5,000 miles every year until 2035, but only 888 miles were built in 2024. The U.S. government has programs like Grid Resilience and Innovation Partnerships (GRIP), which provide funding for these technologies. However, there has been confusion resulting from policy changes.
Utilities in the U.S. are turning to grid-enhancing technologies and virtual power plants to ensure grid reliability, renewable energy, and meeting the demands of increased electricity requirements. The next editions of this report will discuss these changes, including more of these technologies and increased transmission lines.
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