New Study Finds Transmission Can Save Electricity Customers up to $15.3 Billion While Powering America's Economic Growth and Strengthening National Security

­As electricity demand accelerates across the United States for the first time in decades, a new study finds that strategic transmission investment can help meet that growth while lowering costs, improving reliability, and strengthening national security.

The study, "Powering Growth and Affordability: The Role of Transmission in Economic and National Security," was prepared by CERA Consulting, the consulting arm of S&P Global Energy, and commissioned by National Grid, the Electricity Customer Alliance (ECA), and Converge Strategies. The analysis examines how transmission investments can help meet rising demand across four regions of the Eastern Interconnection: the Northeast, PJM, SERC, and SPP/MISO South. Findings from the study are summarized here.

The study finds that building transmission is consistently one of the most cost-effective approaches for serving new electricity demand and that investments connecting regions deliver the greatest value to consumers.

Among the key findings:

• Interregional transmission, when combined with robust regional transmission, provides the greatest value, with customer savings reaching up to $15.3 billion until 2050 – two to three times higher than scenarios without interregional connections.
• Transmission reduces the need to build more expensive local generation by enabling regions to access lower-cost electricity from elsewhere on the grid.
• Transmission becomes even more valuable in the future when energy demand rises, helping manage uncertainty associated with AI, data centers, advanced manufacturing, and industrial growth.

"America's economic future depends on having the infrastructure needed to power growth," said Matt Satterwhite, Senior Vice President, Head of US Policy and Regulatory Strategy, National Grid. "This analysis quantifies how transmission is not just a reliability investment, but an affordability investment. By strengthening connections between regions, we can serve growing demand at a lower cost while building a more resilient and secure energy system. This report makes clear the need for Congress to pass legislation to strengthen federal authority for strategic regional and interregional transmission planning, siting, and permitting."

"America is entering a new era of electricity demand driven by advanced manufacturing, artificial intelligence, defense infrastructure, and economic growth," said Jeff Dennis, Executive Director of the Electricity Customer Alliance. "This analysis demonstrates that strategically planned transmission investments are not simply about adding wires; they are about lowering costs, improving reliability, strengthening resilience, and giving customers access to the most cost-effective sources of electricity wherever they are located. As demand grows, failing to expand transmission where it provides clear economic value will result in higher electricity costs, constrained economic development, and unnecessary risks to reliability and energy affordability."

Transmission and National Security

In addition to evaluating economic benefits, the study examines the role of transmission infrastructure in supporting national security objectives.

Virtually every U.S. military installation depends on the commercial power grid, as do the nation's critical command, intelligence, manufacturing, and defense-industrial facilities. A significant share of these are located within the regions this study analyzes.

Among the national-security findings:

• The electric grid serves as a foundational platform for military readiness and operations.
• Interregional transmission provides critical backup capability during emergencies, allowing regions to support one another when local systems are strained or disruptions occur.
• The defense industrial base, including shipyards, aerospace manufacturers, technology suppliers, and weapons producers cannot function without reliable electric infrastructure. A disruption to the grid is a disruption to production.
• A stronger transmission system enhances resilience and reduces vulnerabilities from extreme weather, cyber threats, and physical attacks.

"The electric grid is critical national security infrastructure," said Jonathon Monken, Senior Partner at Converge Strategies. "Every command center, shipyard, and defense manufacturing site within this study's geographic footprint runs on commercial power. Strengthening interregional transmission ensures power reaches what matters most, keeping our interconnected defense operations reliable when energy challenges emerge."