Global grid spending was more than $470B this year, marking two straight years of double-digit growth as countries scramble to keep up with renewables, electrification, and data center demand. (BloombergNEF)
BloombergNEF says grid investment is up 16% this year after a 15% jump in 2024, but much of that rise reflects higher equipment costs and inflation—meaning the extra money still won’t clear the backlog of stalled interconnections or keep queues from growing on both the generation and demand sides.
The US leads with $115B in spending, followed by China and the EU/UK at ~20% each. Transmission investment grew almost twice as fast as distribution thanks to long-distance lines, new substations, and HVDC projects.
Big picture: Supply chain bottlenecks, permitting delays, and labor shortages remain the biggest choke points, even as investment picks up and utilities push further into tech like DLR, power-flow control, and AI-driven grid software.