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DOE Launches $1.2 Billion RFP to Modernize U.S. Power Grid and Expand Transmission Capacity by 2035.

The US Department of Energy (DOE) has announced a request for proposals (RFP) for the second round of the Transmission Facilitation Program, which aims to provide up to $1.2 billion for transmission buildout. The goal is to use capacity contracts to secure state and private sector funding for projects that modernize the power grid and increase its reliability. The National Transmission Needs Study, released in 2023, estimated that the U.S. must more than double existing regional transmission capacity by 2035 and expand interregional transmission capacity significantly to maintain reliability, resilience, and access to low-cost clean energy. The RFP will allow DOE to purchase up to 50% of the maximum capacity of a transmission line and sell its capacity rights to other customers to recover its costs.

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