The Department of Energy announced Thursday that it will provide nearly $2 billion in grants for 31 projects across 26 states aimed at increasing electricity capacity on the aging national power grid.

The funding targets upgrades using advanced technologies such as real-time weather sensors and devices to reroute power from congested lines. Officials said the projects will deliver more than 23 gigawatts of additional capacity, enough to power about 16 million homes, and could benefit roughly 100 million Americans through improved reliability and lower costs.

Energy Secretary Chris Wright stated that the investments will maximize existing infrastructure, move more electricity across the grid, and support affordable, reliable power for decades. He is scheduled to announce the grants Thursday in Allentown, Pennsylvania.

The initiative comes as the Trump administration works to prevent blackouts amid surging demand from artificial intelligence data centers, which are expanding faster than new generation can come online. Projects will enhance more than 1,500 miles of transmission lines with component upgrades and nearly 21,000 miles with technological improvements, with priority given to those that can begin operations quickly.

The grants draw from the bipartisan infrastructure law passed under the previous administration. Recipients will match the federal funds with an additional $3.35 billion in cost-sharing.

This effort aligns with broader administration priorities to unleash American energy production and maintain leadership in AI while protecting consumers from unnecessary rate increases.