PG&E outlines grid modernization plans to tackle energy needs and improve management systems

The California Public Utilities Commission (CPUC) convened a workshop on March 18, 2025, to discuss the Pacific Gas and Electric Company’s (PG&E) Grid Modernization Plan. This meeting focused on enhancing the state's electrical grid to better manage increasing energy demands and improve resilience against extreme weather events.

A key topic of discussion was the need for public safety power shutoffs and the importance of Distributed Energy Resources (DERs). These resources, which include solar panels and battery storage, are essential for providing reliable grid services such as capacity, energy, and voltage support. The workshop emphasized the significance of orchestrating these resources effectively to balance supply and demand, ensuring they can deliver services not only during emergencies but also on a daily basis.

The meeting highlighted four main pillars of the modernization plan. First, the development of new distribution planning tools is crucial for adapting to a more dynamic grid where customer interactions are increasingly complex. Second, the Advanced Distribution Management System (ADMS) will serve as the operational backbone of the grid, allowing operators to monitor and manage the system's current state. Third, the Distributed Energy Resource Management System will facilitate interactions with DERs, enabling better forecasting and orchestration of these resources. Lastly, advancements in grid edge computing will support customer electrification and enhance asset management.

During the workshop, participants raised questions about the anticipated increase in energy needs—projected to rise by 80% over the next decade—and how the grid modernization efforts could help mitigate costs associated with this demand. While PG&E representatives acknowledged the importance of understanding these cost implications, they indicated that detailed estimates would not be available until future studies, such as the Electrification Impact Study, are completed.

In conclusion, the CPUC workshop underscored the critical need for a modernized grid that can accommodate growing energy demands while enhancing reliability and resilience. As PG&E continues to develop its Grid Modernization Plan, stakeholders will be looking for concrete data on cost savings and the effectiveness of these initiatives in the coming years.