T&D World Live Podcast: Mike Beehler on the State of the Grid: AI, Affordability, and Infrastructure Gaps

In this episode of T&D World Live, veteran utility engineer and consultant Mike Beehler speaks about the forces currently reshaping the electric utility industry, with particular focus on the intersection of artificial intelligence (AI), demand growth, grid resilience, and affordability. Drawing on decades of experience in transmission and distribution (T&D), nuclear, and utility infrastructure, Beehler offers insights on how the industry is adapting to a new era of demand and expectations.

Beehler emphasizes that AI-driven hyperscale data centers are becoming some of the largest and fastest-growing sources of electricity demand — often requiring multiple gigawatts of reliable, affordable, and clean power. This surge is placing unprecedented pressure on utilities, which must balance the urgency of expanding grid capacity with regulatory mandates, cost considerations, and the realities of aging infrastructure. He notes that this moment marks a turning point for the industry: "We’re going to look back in 2040 and say: I was in the industry in 2025 — and that’s when we pivoted."

Throughout the conversation, Beehler describes examples of collaboration between hyperscalers and utilities — such as Meta and Microsoft reactivating nuclear plants to support data centers — and shares his observations on emerging technologies. He is cautiously optimistic about the potential of AI to help utilities plan and prioritize future grid investments but notes that large-scale operational adoption remains in early stages. He also stresses that keeping electricity affordable — particularly for low-to-moderate income customers — must remain a priority, warning that unchecked cost increases could trigger regulatory pushback.

Beehler offers a candid assessment of challenges facing the industry, including the complex and often contentious process of transmission permitting, which he believes remains a major obstacle. He advocates for innovative approaches such as using transportation corridors and HVDC technologies to modernize the transmission grid. While acknowledging the promise of small modular nuclear reactors, Beehler tempers expectations for the current state of large-scale battery storage due to safety concerns and technological limitations.

Beehler also highlights examples of utilities he believes are leading the way in resilience, innovation, and customer value, including Florida Power & Light, Dominion, Eversource, and several public power systems that have heavily invested in undergrounding their infrastructure.