Investor-owned electric companies in the U.S. are investing more than any other capital-intensive sector, including transportation and retail, as they work to modernize the grid and meet rising electricity needs, according to the 2024 Financial Review released yesterday by the Edison Electric Institute (EEI).
The report highlights a record $178.2 billion in capital investment by EEI member utilities in 2023—marking the 13th consecutive year of record-setting grid spending. Over the past decade, these companies have poured more than $1.3 trillion into electric generation, transmission, and distribution infrastructure.
Looking ahead, EEI projects another $1.1 trillion in capital investment between 2025 and 2029. That spending will support a rapid uptick in electricity demand fueled by the growth of artificial intelligence and data centers, increased industrial activity, and the broader shift toward electrification in sectors like transportation and heating.
“Our industry’s capital expenditures are higher than any other sector in the U.S. economy,” said EEI President and CEO Drew Maloney. “These investments create good-paying jobs, support local economies, and make innovation possible.”
As utilities contend with supply chain constraints, aging infrastructure, and a growing need for grid flexibility, Maloney emphasized that continued investment is essential to maintaining reliable, affordable electricity while strengthening national energy security.
The report underscores the electric power sector’s central role in enabling new technologies, supporting economic development, and preparing for a more electrified future.
EEI represents all U.S. investor-owned electric companies, which collectively provide electricity to 235 million Americans.