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Massachusetts, New England States Selected to Receive $389 Million in Federal Funding for Transformational Transmission and Energy Storage Infrastructure

Government and Politics

August 6, 2024

From: Massachusetts Governor Maura Healey

States selected to receive highly competitive funds from the U.S. Department of Energy’s Grid Innovation Program for transmission upgrades in Southeastern Massachusetts and Connecticut to connect offshore wind energy into the New England grid.

BOSTON - The U.S. Department of Energy (DOE) today announced it selected the New England states’ Power Up New England proposal to receive $389 million. Power Up, submitted to DOE through the second round of the competitive Grid Innovation Program, features significant investments in regional electric infrastructure including proactive upgrades to points of interconnection in Southeast Massachusetts and Southeast Connecticut to ready the onshore transmission system for up to 4,800 megawatts of additional offshore wind. Power Up will also deploy an innovative, multi-day battery energy storage system in Northern Maine to enhance grid resilience and optimize the delivery of renewable energy. Together, these investments will provide the New England region with access to thousands of megawatts of offshore wind, greater resource diversity, and increased reliability while lowering consumer costs and reducing greenhouse gas emissions.  

“Massachusetts is moving full speed ahead on clean energy and climatetech,” said Governor Maura Healey. “These game-changing federal funds will mean more jobs, lower energy costs for families and businesses, and cleaner air for all. We’re grateful to DOE for the recognition and support.”

“Power Up is a big win for electric customers and continues the momentum of federal partnership and regional collaboration here in New England,” said Lieutenant Governor Kim Driscoll. “These funds will resolve one of the significant challenges of standing up the offshore wind industry here in Massachusetts. We’re proud to see our aggressive federal funding strategy pay off in such an important way.”

Power Up features significant investments in regional electric infrastructure including proactive upgrades to points of interconnection - new substations that allow for offshore wind to connect to the larger grid – in Southeast Massachusetts and Southeast Connecticut to ready the onshore transmission system for up to 4,800 megawatts of additional offshore wind. Power Up will also deploy an innovative, multi-day battery energy storage system in northern Maine capable of continuously dispatching carbon-free electricity for up to 100 hours, which will provide critical reliability benefits to the power grid, particularly during periods of prolonged cold weather. Together, these investments will allow New England to connect offshore wind power to the grid and cover significant costs that would otherwise fall to ratepayers, further advancing the region’s leadership in offshore wind.

“With Power Up, we are shifting the way we bring offshore wind into our grid,” said Energy and Environmental Affairs Secretary Rebecca Tepper. “We’ve done the hard work to coordinate with ISO New England and developers to ensure we’re making smart, targeted investments to ready our electric grid. DOE’s funding announcement is the perfect crescendo to recent developments in regional transmission policy. We thank the Biden-Harris Administration for this transformational investment in Massachusetts’ clean energy future and New England’s shared power grid.”

Power Up also advances a robust Community Benefits Plan-a priority for DOE and state energy offices—ensuring that disadvantaged communities in the region benefit from the infrastructure investments needed to support clean energy development. Power Up’s Community Benefits Plan will uplift disadvantaged communities through high-quality jobs and workforce development and training opportunities, including more than $9 million in scholarships and internships and the creation of nearly 500 high-quality jobs, with a total community benefit investment of more than $18 million. 

“Massachusetts is deeply grateful to DOE and proud to have played a lead role in advancing this innovative proposal alongside state partners in New England,” said?Weezie Nuara, Assistant Secretary for Federal and Regional Energy Affairs at the Executive Office of Energy and Environmental Affairs. “These infrastructure investments will transform the region’s power system, adding multi-day storage and enabling up to 4,800 MW of offshore wind, enhancing electric reliability and resilience, and lowering costs to consumers through the integration of additional zero-marginal-cost energy.”   

“We are excited to support this groundbreaking project and to partner with our sister New England states,” said Department of Energy Resources Commissioner Elizabeth Mahony. “As Massachusetts increases the amount of renewable energy generated in our region, the successful development of our transmission infrastructure will accelerate the path to a cleaner and more reliable electric grid for our residents and businesses.”

GIP is administered through DOE’s $10.5 billion Grid Resilience and Innovation Partnerships (GRIP) Program to fund projects that improve grid reliability and resilience using advanced technologies and innovative partnerships and approaches. The maximum award per project is $250 million, or $1 billion for a project with significant transmission investment, which Power Up features. In the first round of GIP, only one project received an award greater than $250 million. 

The Connecticut Department of Energy and Environmental Protection, the Maine Governor’s Energy Office, the Massachusetts Department of Energy Resources, the New Hampshire Department of Energy, the Rhode Island Office of Energy Resource, and the Vermont Department of Public Service submitted Power Up into the second round of DOE’s GIP in April of 2024. The application was supported by Power Up’s project developers Form Energy, Eversource Energy, and National Grid.  

"This Bipartisan Infrastructure Law funding will help us expand our use of clean energy, modernize our electric grid, and create good paying jobs in the process," said Director of Federal Funds and Infrastructure Quentin Palfrey. “We are grateful to Secretary Granholm and the Biden-Harris administration for this investment, which will propel us forward in meeting our clean energy goals while supporting a more resilient and reliable electric grid for all of New England."  

“Extreme weather events fueled by climate change will continue to strain the nation’s aging transmission systems, but the Biden-Harris Investing in America agenda will ensure America’s power grid can provide reliable, affordable power,” said Maria Robinson, Director, Grid Deployment Office, U.S. Department of Energy. “The projects selected today will catalyze nearly $10 billion total in public and private investment to increase the capacity of our existing transmission system by leveraging innovative grid technologies and solutions. We look forward to working with the New England States as we support projects that will harden systems, improve energy reliability and affordability-all while generating union jobs for highly skilled workers.”

The Healey-Driscoll administration has committed to aggressively competing for federal funding for Massachusetts. Since Governor Healey took office in January 2023, the administration has secured a total of $6 billion in federal funding, including more than $3 billion in discretionary grants. This includes $1.72 billion in funding for the Cape Cod Bridge program, $100 million to accelerate the adoption of heat pumps, $75 million for schools to electrify their bus fleets, $60 million for transit agencies to acquire zero- and low-emission buses, and other funding to advance priorities in transportation, climate, and economic development. Governor Healey has also filed legislation that will unlock additional resources for state matching funds technical assistance to increase the competitiveness of Massachusetts applications for federal funding.

"Today's grant announcement is a major win for our Commonwealth and our planet,” said Whip Katherine Clark. “Harnessing the power of collaboration, Massachusetts and our partners across New England will improve access to clean energy, reduce greenhouse gas emissions, and slash families’ energy bills. This grant was made possible by Democrats’ historic Infrastructure Law, and I am immensely proud to have worked with the Biden-Harris Administration to implement its transformational investments in our communities. Every day, through advances like this, we’re showing what's possible when we invest in a green future: a cleaner planet, a stronger economy, and a better life for everyday Americans."

“I am proud that the New England states came together and built a winning proposal to develop needed transmission and storage and I thank the Biden-Harris administration for their critical support,” said Senator Edward J. Markey. “This grant combines two of the clean energy transition’s big winners: offshore wind interconnection and long-duration storage. By leveraging funds from the Bipartisan Infrastructure Law to invest in innovative solutions that create jobs, support climate action, and increase resiliency, this grant will deliver on Green New Deal principles and help keep our grid strong.”

“We are thrilled that the Department of Energy has selected Connecticut and our sister New England states’ Power Up New England application for a competitive grid innovation grant,” said Connecticut Governor Ned Lamont. “This selection is a strong endorsement of New England states’ longstanding, cooperative approach to solving our region’s grid challenges, including through new and innovative technologies like offshore wind and long-duration storage that will enable us to equitably and affordably transition to a cleaner and more reliable grid.”

“Maine is a national leader in advancing clean energy and innovation, which will strengthen our economy, stabilize high energy costs driven by fossil fuels, and create good job opportunities all across our state,” said Maine Governor Janet Mills. “This award is a recognition of that leadership. Through collaboration with other New England states to develop innovative energy solutions like Power Up, Maine is taking proactive steps to ensure our energy future is clean, reliable, and affordable. I thank the Biden-Harris Administration for this investment and for its support of our work to build a more resilient, clean electrical grid that can withstand the impacts of a changing climate.”

"This federal funding award is critical to advancing New England's offshore wind opportunities, improving our regional energy system, and aligning with our Act on Climate clean energy development objectives," said Rhode Island Governor Dan McKee. "I am so proud of the strong collaboration by the New England State Energy Offices in securing these federal funds for our collective consumers, which will provide long-term benefits."

“This is a great example of states coming together to tackle issues that impact our entire region,” said Vermont Governor Phil Scott. “As we work to reduce carbon emissions through more electrification, and as we continue to see more intense storms in Vermont, this will be an important project to improve the resiliency of the grid.” 

“The Department of Energy’s selection of Power Up New England, which comes on the heels of our recent New England Heat Pump Accelerator Coalition award from the U.S. Environmental Protection Agency, is another big win for Connecticut and our sister New England states that reflects our region’s commitment to innovation and DEEP’s successful strategy of leveraging federal funding to achieve our state’s clean energy goals in an affordable manner,” said Connecticut Department of Energy and Environmental Protection Commissioner Katie Dykes. “Power Up’s transmission upgrades will lower the cost of future offshore wind projects by providing new ready-made points on the grid for these projects to plug in reliably and affordably. Power Up’s multi-day storage project will help our region demonstrate and deploy this new technology to help balance intermittent resources and utilize clean energy to its fullest extent. Collectively, these projects will contribute to DEEP’s mission to make cheaper, cleaner, and more reliable energy available for the residents and businesses of our state.”

“By embracing regional collaboration, Maine and New England are advancing necessary upgrades that will make the electric grid more resilient and allow it to deliver more clean energy to households and businesses,” said Dan Burgess, Director of the Maine Governor’s Energy Office. “I thank DOE and the Biden-Harris Administration for this award and for its continued support of ongoing efforts to decarbonize and strengthen electric grid infrastructure across Maine and New England.” 

“Power Up contains innovative approaches that will lower New Hampshire’s electricity costs while increasing reliability,” said New Hampshire Department of Energy Commissioner Jared Chicoine. “This regional effort addresses the challenges of building large-scale infrastructure and will allow cost-saving projects to move forward.” 

"The Power Up New England award from the U.S. Department of Energy marks an important milestone in Rhode Island and New England's development of offshore wind and battery energy storage opportunities,” said Acting Rhode Island Office of Energy Resources Commissioner Chris Kearns. "These federal funds will help secure long-term improvements to our region's energy system for consumers, help accelerate the development of offshore wind, and advance our respective states' climate goals.”

“The Vermont Department of Public Service is pleased to partner in this effort, which is a prime example of common purpose and effective advocacy among the New England state,” said Vermont Department of Public Service Commissioner June Tierney.  “The willingness and ability to work together productively is pivotal in order for the region to meet its energy security needs.”

“This award is a win-win for all stakeholders and a testament to the importance of collaboration between utilities, states, developers and other key partners as we work towards our shared goal of a clean and equitable energy future,” said Bill Quinlan, President of Transmission and Offshore Wind Projects at Eversource Energy. “We look forward to advancing our transformative transmission project, the Huntsbrook Offshore Wind Hub in southeastern Connecticut, to realize the many benefits it will deliver to our customers and the region, including a more reliable and resilient electric grid, emission reductions and significant economic development – including creating jobs and significant local benefits – over the project’s lifetime.”

“National Grid is a proud participant in the Power Up New England proposal, a multi-year initiative that seeks to leverage federal funding for regional clean energy investments,” said Lisa Wieland, President, National Grid New England. “The Department of Energy selection is an important step and we look forward to the work ahead as we engage with stakeholders to advance our shared clean energy goals.”

“We are pleased to be selected by the U.S. Department of Energy for the Power Up New England initiative to deploy an 85 MW/8500 MWh multi-day battery system - which marks a significant milestone on multiple fronts,” said Mateo Jaramillo, CEO & Co-Founder of Form Energy. “Located at the site of a former paper mill in rural Maine, this iron-air battery system will have the most energy capacity of any battery system announced yet in the world. The project will ensure a more reliable, clean, and affordable grid in New England by reducing transmission congestion and making valuable wind energy resources available when and where they are needed. By locating the project at an EPA brownfield site, we look forward to driving local job growth and other community benefits. Overall, we are deeply thankful to the team of state and federal partners for bringing us on board for Power Up New England - a transformative investment in the future of clean energy for New England and America.”