Grid Transformation and Integrated System Planning

This whitepaper discusses the ongoing transformation of the electric grid, driven by global decarbonization goals, electrification, and the rise of AI-powered data centers. It outlines the challenges faced by traditional grid planning methods, which have relied on a linear and siloed approach. The paper advocates for Integrated System Planning (ISP) as a necessary framework to address the interconnected challenges of operations, adequacy, and physics transformations. ISP aims to unify planning tools and enable iterative analyses across core domains, allowing planners to evaluate grid reliability and economic performance holistically. The urgency of adopting ISP is underscored by recent regulatory mandates, which call for advanced planning methods to manage the complexities of inverter-based resources and long-term transmission needs. The document emphasizes the importance of breaking down silos in planning practices to ensure a reliable, affordable, and decarbonized power grid, reflecting the need for a comprehensive strategy in light of the significant changes in energy demands and resource availability.