ABSTRACT
The power grid connects power through a series of hubs, commonly referred to as substations. The totality of this represents the transmission infrastructure that is used to transmit a series of high-voltage power lines throughout the country. The transmission infrastructure solves a key problem for delivering power, given the high state of regulation that currently exists in the industry and the location of the high concentration of people throughout the country. Cities considered major population centers are the primary benefactors of high-voltage transmission because it allows utilities to buy or deliver power from remote or other locations. Moreover, building out of the transmission infrastructure is key to the future of the Smart Grid. This is primarily because renewable generation, such as windmills and solar plants, must be built in remote locations due to the aesthetics and size of these assets. To get power from these remote sites, utilities will need to build out additional transmission infrastructure to market and deliver the power generated by these assets. Over 70 percent of the nation’s energy production comes from either coal or natural gas.1 Nuclear accounts for almost 10 percent of the country’s generation capacity, and 6 percent comes from oil.2 This means that less than 15 percent of the nation’s energy is a result of renewable energy sources. To truly move to a more renewable energy economy, a great deal more renewable energy resources must be developed, which will likely require a great deal more investment in the transmission infrastructure.
