The impact of the infrastructure bill signed by President Joe Biden in 2021 will be felt for decades in the US [da5b81bc]. The $1.2 trillion Infrastructure Investment and Jobs Act (IIJA), signed into law on November 15, 2021, continues to have a significant impact on electric utilities and broadband funding in the United States in 2024 [403b337e] [1b2be10f] [da5b81bc]. The bill includes funding for various projects such as building a network of EV chargers, replacing lead pipes, and repairing roads and bridges. Over $500 billion in federal funding has been announced for over 57,500 projects nationwide [da5b81bc]. The IIJA allocates $65 billion for electric grid infrastructure repair and renovation, aiming to improve America's power infrastructure and enhance grid resilience under extreme weather conditions [403b337e]. The funds designated for grid infrastructure and resiliency include $23 billion for enhancing power infrastructure resiliency and investment in renewable energy, $21.5 billion for clean energy demonstrations and research hubs, $9 billion for enhancing manufacturing facilities and projects, and $5 billion for boosting energy efficiency and clean energy creation [403b337e].
One of the key objectives of the IIJA is to establish new transmission lines and expedite the permitting process for clean energy transmission projects. This investment in clean energy transmission and grid upgrades aims to support the development of clean energy technologies and improve the integration of renewable energy sources into the national grid network [403b337e].
The IIJA also includes provisions to address the increasing demand for electric vehicles (EVs) and the need for a robust charging infrastructure. The bill provides $7.5 billion to create a national EV charging network, which will help integrate EVs into the national grid while balancing grid loads and managing the challenges of increased electricity demand [403b337e] [da5b81bc]. Transportation Secretary Pete Buttigieg explained that the government is working with states to install charging stations in areas where it may not be profitable for companies to do so [da5b81bc].
Furthermore, the IIJA recognizes the importance of cybersecurity in protecting electric utilities' networks. The bill includes funding for cybersecurity projects to enhance the security and resilience of electric grid infrastructure, ensuring the reliability and safety of the power system [403b337e].
In addition to its impact on electric utilities, the IIJA also addresses broadband funding. The Infrastructure and Investment Jobs Act allocated $65 billion for broadband funding, with Texas leading the Eleventh District with over $3.3 billion allocated. New Mexico has the highest per capita funding in the district at $487 per resident, followed by Louisiana at $297 and Texas at $114 [1b2be10f]. The IIJA offers six grant programs to expand broadband infrastructure, adoption, and use, and the funding generally matches the demand for broadband. States with high broadband gaps received the most funding per capita, but concerns remain about factors like geographic distance that may affect the total cost of broadband infrastructure [1b2be10f]. The lack of consistent and accurate data on broadband gaps poses challenges for grant program managers and community leaders [1b2be10f]. The article from the Federal Reserve Bank of Dallas discusses the details of recent federal broadband funding and its connection to the level of broadband availability [1b2be10f].
The funding breakdown includes the Broadband Equity Access and Deployment (BEAD) program, Middle Mile Grant Program, Reconnect Program, State Digital Equity Planning Grant, Tribal Broadband Connectivity Program, Digital Equity Capacity Grant, Digital Equity Competitive Grant, and Affordable Connectivity Program. The Tribal Broadband Connectivity Program is one of the largest sources of funding for New Mexico, with over $186 million awarded to New Mexico tribes. The Reconnect Program and Middle Mile Program focus on infrastructure development in rural areas. The Digital Equity Program includes the State Digital Equity Capacity Grant and Digital Equity Competitive Grant. The Affordable Connectivity Program provides a $30 discount on internet subscription fees for eligible households [61c66193]. Per capita funding differences are due to factors such as funding formulas and program requirements [61c66193]. The article also mentions upcoming learnings from the Advancing Digital Inclusion initiative on barriers in the competitive grant process [61c66193].
State and local governments have control over how the infrastructure money is spent. The biggest single investment so far is in Baltimore, where over $4.7 billion will be used to replace the 150-year-old Baltimore and Potomac tunnel [da5b81bc]. The law is expected to create jobs and have a positive impact on the American economy. Congress will need to decide whether to continue the spending with future legislation [da5b81bc]. The American Road and Transportation Builders Association expects improved mobility, better access across freight corridors, and improvements to the economy and quality of life as a result of the infrastructure bill [da5b81bc].
The Reconnecting Communities Pilot Program, part of the Biden Administration Infrastructure law, is making more than $600 million in infrastructure funding available to communities across the United States [5884c047]. The program aims to support projects that connect people to jobs, schools, housing, places of worship, and each other. The funding will help improve transportation infrastructure and enhance connectivity within communities. The application deadline for the funding is September 30 [5884c047].
Overall, the IIJA's investment in electric grid infrastructure repair, clean energy transmission, EV charging infrastructure, cybersecurity projects, and broadband funding demonstrates the federal government's commitment to modernizing and improving the nation's power infrastructure and expanding broadband access. These investments aim to enhance grid resilience, support the transition to clean energy, address the challenges posed by climate change and increased electricity demand, and bridge the digital divide [403b337e] [1b2be10f] [61c66193] [da5b81bc] [5884c047].