Grid Modernization for Electrification

  • Project typeUtilities Electric - System Improvement
  • Project valueUp to approximately $300 million

Background

Palo Alto provides electricity from a 100% carbon neutral portfolio, and has been in the forefront of efforts to design programs allowing customers to easily use clean energy. The Grid Modernization for Electrification project was developed to enhance grid resiliency and reliability of the electric distribution system, and continue to accelerate the City’s clean energy and decarbonization goals.

Project Description

The Grid Modernization Project involves replacing the existing 1,413 single phase pole top transformers rated less than 50kVA with approximately 1,400 of the same type of transformers rated 50kVA or larger. Additionally, 296,300 circuit feet of open wire secondary conductors in the distribution system will be replaced with aluminum aerial cable. These two design aspects will allow for 100% electrification of end uses in the Palo Alto community, aligning with one of the primary objectives of decarbonization.

Construction includes replacing poles, transformers, aerial wires, some cabinets and underground substructure in the street, sidewalk and Public Utility Easements that extend two to five feet behind the sidewalk or in some backyards. The pilot program will help inform next steps in advancing the City’s grid modernization and fiber services priorities. 

Project Location

The pilot area initially involves about 1,000 homes centered in the northeast part of Palo Alto within Embarcadero Road, Louis Road, Colorado Avenue, Greer Road, and West Bayshore Road.

Region GM 08(PDF, 474KB) involves about 250 homes.

Region GM 09(PDF, 307KB) involves about 100 homes.

Project Status

A pilot area build is underway from February 2024 to July 2025 to determine the feasibility of aligning the electric grid modernization project with the Palo Alto Fiber project.

Construction design for regions 08 and 09 are currently in progress. Construction is expected to begin later in 2025.

Scope of Work

  • Replace utility poles, electric transformers, aerial wires
  • Install substructure including boxes for electric and fiber lines
  • Replace electric lines and fiber lines from the poles
  • Install pad-mount equipment where possible

Electrification Study

The City conducted an electrification study to evaluate the impacts of projected electrification loads on Palo Alto’s distribution and substation transformers, primary/secondary distribution circuits, and to propose upgrades needed to mitigate potential overloads. The estimated cost to construct the necessary electric system upgrades for a 100% electrification scenario is up to approximately $300 million. Of the nine substations in Palo Alto, the study recommends major design and equipment upgrades at two of the nine substations, and minor to moderate upgrades at four substations to meet projected loads to support 100% electrification.

Learn more about the City's Electrification Initiatives