An important Grid Strategies analysis, conducted on behalf of WIRES, quantifies how delays in developing large-scale transmission affect consumers and the broader economy. It finds that delaying needed expansion and modernization of the electric grid imposes significant costs on consumers by postponing or forfeiting key benefits, while also hindering economic growth, job creation, and national security objectives – including those tied to AI advancement.
Based on a review of eight benefit-cost studies for transmission portfolios across the country, the report finds that for every $1 billion investment in well-planned, large-scale transmission that is delayed, it costs consumers approximately $150 million to $370 million in lost net benefits for each year of delay. These losses stem from postponed reliability improvements, reduced access to lower-cost generation, and foregone economic efficiencies.
Transmission projects are significant infrastructure investments that support a skilled workforce, and bolster domestic manufacturing and supply chains resilience. Delays in transmission projects impede job creation across communities nationwide. Based on Grid Strategies’ review of economic impact studies, each $1 billion of delayed transmission investment defers an estimated 11,000 to 25,000 direct, indirect, and induced job-years.
A modernized grid is essential for managing rising electricity demand – particularly from data centers, AI, and power-intensive manufacturing. The report emphasizes that timely, large-scale, coordinated transmission planning and development are essential to securing the full suite of consumer benefits and to avoiding compounding costs of inaction. It underscores that transmission delivers benefits that far exceed its cost, and that delaying needed projects harms consumers, weakens the economy and undermines national security.
Report Downloads
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