Historical approaches to ensuring grid security in the United States are proving to be poorly suited to the emerging, catastrophic threats facing the grid. They are also incongruous with the ongoing technological transition that is rapidly reshaping the electric power industry as we know it. But by embracing the present era of energy transition as an opportunity, not a threat, the report lays out unique and timely strategies to reimagine and improve the resilience of the US electric grid.
"At their current pace of capital investment, electric utilities will probably invest approximately $1 trillion in the US power grid between 2020 and 2030," notes Mark Dyson, a principal in Rocky Mountain Institute's Electricity Practice and lead author of the report. "Given the magnitude of long-lived assets under consideration, there is a societal, economic, and national security imperative to invest in our grid in a way that promotes resilience by design, economically and from the bottom up, and not as a cost-adding afterthought years later. Our research suggests that the ongoing shifts in the utility industry do not present a threat to grid security, but rather an extraordinary opportunity to reimagine grid resilience."
Even as the threat environment evolves and high-impact risks become both higher-impact and higher-probability, the technological underpinnings of the US grid are also changing faster than ever. Current approaches to resilience, focused on hardening individual components of the centralized 20th century grid, are forced to adapt to the rapidly decentralizing technology mix that characterizes the grid's 21st century evolution.
Instead of continued prioritization of 20th century resilience approaches, the report lays out an opportunity to reimagine the fundamental approach to grid resilience, beginning with four principles:
The principles laid out here can serve as guideposts for investors, regulators, policymakers, and other stakeholders as they mobilize capital to reimagine the power grid in response to both emerging catastrophic threats and the market-winning technologies of this decade and beyond.
Reimagining Grid Resilience can be downloaded at https://rmi.org/insight/reimagining-grid-resilience/