The U.S. Department of Energy announced on October 2, 2024, that it will invest $1.5 billion in four transmission projects through its Transmission Facilitation Program, funded by the Bipartisan Infrastructure Law and administered by DOE’s Grid Deployment Office. The four projects span Louisiana, Maine, Mississippi, New Mexico, Oklahoma, and Texas, and together will enable nearly 1,000 miles of new transmission lines and add 7,100 MW of capacity. DOE said the projects are expected to create nearly 9,000 jobs.
What it means
The four selected projects each address distinct regional grid gaps. The Aroostook Renewable Project will build a new substation in Haynesville, Maine and a 111-mile line to Pittsfield, Maine, connecting to the ISO-NE system at 1,200 MW capacity; DOE put the potential contract value at $425 million, with 4,200 construction jobs and 30 permanent operations positions. The Cimarron Link is a 400-mile high-voltage direct current line running from Texas County, Oklahoma to Tulsa, Oklahoma, transmitting 1,900 MW of firm capacity and supporting 3,600 construction jobs. The Southern Spirit project will construct a 320-mile HVDC line connecting the ERCOT grid with the MISO-S and SOCO grids across Texas, Louisiana, and Mississippi, providing 3,000 MW of bidirectional capacity. Southline Phase 2 will build a 108-mile line between Hidalgo County, New Mexico and Las Cruces, New Mexico, delivering 1,000 MW of bidirectional capacity. With these selections, DOE said nearly all of the legislated $2.5 billion in Transmission Facilitation Program funding is now committed; prior selections included Southline Phase 1, the Southwest Intertie Project-North, and the Cross-Tie 500kV Transmission Line Project.
Alongside the funding announcement, DOE released its final National Transmission Planning Study, developed with the National Renewable Energy Laboratory and Pacific Northwest National Laboratory, which examines scenarios through 2050. The study finds the U.S. will need to double or triple its 2020 transmission capacity by 2050. DOE said substantial transmission expansion could produce national electric system cost savings of $270 billion to $490 billion through 2050, and that every dollar spent on transmission saves approximately $1.60 to $1.80 in system costs. Coordinated resource adequacy, the study found, could lower system costs by an additional $170 billion to $380 billion through 2050. DOE said the investments advance the Justice40 Initiative goal of directing 40% of program benefits to disadvantaged communities.
Key facts
- $1.5 billion total investment across four projects, from the Bipartisan Infrastructure Law via DOE’s Grid Deployment Office
- Nearly 1,000 miles of new transmission development enabled; 7,100 MW of new capacity added
- Nearly 9,000 jobs expected across all four projects (according to DOE)
- Aroostook Renewable Project: 111-mile line, Haynesville to Pittsfield, Maine; 1,200 MW; $425 million potential contract; 4,200 construction jobs, 30 permanent jobs
- Cimarron Link: 400-mile HVDC line, Texas County to Tulsa, Oklahoma; 1,900 MW firm capacity; 3,600 construction jobs
- Southern Spirit: 320-mile HVDC line across Texas, Louisiana, and Mississippi; 3,000 MW bidirectional capacity
- Southline Phase 2: 108-mile line, Hidalgo County to Las Cruces, New Mexico; 1,000 MW bidirectional capacity
- NTP Study projects U.S. must double or triple 2020 transmission capacity by 2050; potential system savings of $270 billion–$490 billion through 2050
- Nearly all of the legislated $2.5 billion in TFP funding is now committed
Source: U.S. Department of Energy news release (energy.gov)