Energy, accounting for 7% of America’s GDP, is the foundation of our economy and lifestyle, powering every aspect of modern life. The U.S. grid relies heavily on foreign suppliers, posing national security risks. Policy solutions include reshoring manufacturing, stockpiling grid equipment, strengthening cybersecurity, requiring buying American, and supporting advanced grid innovation.
Former FERC Chair Mark Christie highlights the $2-trillion infrastructure challenges at the intersection of power and digital growth. AI-driven power demand strains infrastructure, emphasizing reliability and cost-allocation stakes for utilities, hyperscalers, and regulators. Register for DPX 2025 on Oct. 28 in Denver for more insights.
America’s overreliance on foreign energy hardware, especially from China, threatens grid resilience and national security. The U.S. energy infrastructure received a D+ rating due to aging systems and transformer shortages, highlighting the urgency of reshoring components for a more self-sufficient grid.
China’s dominance in supplying critical grid components poses a significant national security risk. Potential disruptions could lead to power outages, communication failures, delays in food supply, and jeopardized essential services. Securing the grid against physical and digital threats is crucial to prevent cascading disruptions in interconnected power networks.
Policy solutions to enhance grid security include incentivizing domestic manufacturing, stockpiling grid equipment, strengthening cybersecurity mandates, requiring buying American, and supporting advanced grid innovation. The U.S. must accelerate efforts to build a self-sufficient grid and reduce vulnerability to supply chain disruptions and cyber threats.
Read more at Yahoo Finance: The Most Critical 7% of America’s GDP