Electrical T&D

Electrical T&D Industry Overview

Electrical T&D (transmission and distribution) networks in the U.S. require significant improvement to enhance reliability and accommodate an increasingly complex energy ecosystem. Meeting rising demand and emerging climate goals will be more difficult and increasingly expensive if the U.S. does not move quickly to modernize its electricity grid.

Key Electrical T&D Findings

• Expansion Needs: The U.S. Department of Energy estimates a 60% expansion of the domestic electricity transmission network is required by 2030.(1) This expansion is essential to handle the expected increase in electricity demand and integrate renewable energy sources. Without this expansion, the current grid infrastructure will be unable to support the projected load, leading to potential blackouts and inefficiencies in energy distribution.(2)
• Federal Funding: The Bipartisan Infrastructure Law allocates $13B for grid modernization with an additional $2.3B for grid resilience investments for states and municipalities.(3)
• Climate Resilience: Nearly 30% of the U.S.’s billion-dollar climate and weather disasters since 1980 have occurred in the last five years.(4) As shown in Florida, after Hurricane Ian, investment in grid hardening can drastically reduce repair costs and downtime.(5)
• Long-Term Contracts and Public-Private Partnerships: Increased prevalence of long-term contracts and public-private partnerships with utilities ensure steady revenue streams and diversified risks. (6) (7)
• Technological Adoption: Growing use of drones, AI-driven logistics and telematics for fleet management improves operational efficiency.
• Aggregator and Broker Growth: The number of aggregators and business brokers directing relationships and project-based work to infrastructure services companies is growing. These intermediaries facilitate connections between service providers and clients, helping to streamline project management and improve access to resources. This trend particularly benefits smaller companies within the electrical transmission and distribution industry seeking to expand their market presence and compete with larger firms.