Economic growth requires a reliable energy system that can provide power when and where it’s needed. Transmission is a vital part of this system that literally keeps the electricity flowing. But to meet evolving energy needs, Michigan’s transmission system needs more than just maintenance; it also demands strategic expansion and proactive upgrades to unlock a cleaner energy future.

For insight into the complexities of transmission planning and how it impacts Michigan’s future growth, Crain’s Content Studio recently spoke with Charles Marshall, vice president of transmission planning at ITC Holdings Corp.

What is ITC’S role in Michigan’s energy system?

MARSHALL: ITC is part of the three-part system that keeps the lights on, which includes energy generation, transmission and distribution. ITC owns and operates portions of the transmission grid in Michigan and six other states, which is the component that allows us to enjoy our highly reliable energy systems. Our system in Michigan performs among the best in the country.

Since ITC acquired these systems roughly 20 years ago, we’ve been making prudent investments, and we’ve realized measurable improvements in the reliability of our systems. However, as you look at the industry trends in front of us, particularly as we talk about clean energy transition, it’s incumbent upon ITC to continue to make investments that keep pace with the demands placed upon the grid.

What is ITC’s horizon for planning the future needs of the grid?

MARSHALL: We have done a good job maintaining a system that’s designed to meet the needs placed upon the grid today. But those needs are rapidly changing, so we need to make decisions that will position us to be successful in the future.

Often, as an industry, we react on a real-time basis. We have load interconnections and generator interconnections that are priorities, so we do what we can to process those as expeditiously as possible.

The next planning horizon is a five-year assessment, which ensures we’re adhering to reliability standards. Beyond that is the long-term planning horizon, which provides us an opportunity to be proactive as opposed to reactive. It takes five to 10 years to build the transmission infrastructure, so we need to anticipate energy needs 10 to 20 years down the road so we can start building the infrastructure we’re going to need in the future.

Why is proactive transmission planning so critical to Michigan’s energy future?

MARSHALL: When you have a proactive, forward-looking planning mindset, you have the ability to right-size the infrastructure. Then, as customers demand to interconnect, that capacity is there so they’re not waiting five or 10 years for it to be built.

Transmission ensures reliability. As our industry evolves, the needs and demands placed upon the grid change, so it needs to behave differently. As we build a future that’s more dependent upon renewable resources, we need a broader, more robust transmission system. We need greater access to regional or wholesale markets — the ability to import power from neighboring states and regions on a real-time basis. When you build the right transmission infrastructure that provides access to those neighboring markets, it ensures reliable energy to customers.

What projects are underway to ensure that power is reliably delivered across state lines?

MARSHALL: There is a multi-state planning process underway called Long Range Transmission Planning (LRTP). The first portfolio of projects, referred to as Tranche 1, was approved in July 2022. These 345,000 volt projects span from the Dakotas to Michigan. This entire portfolio of Tranche 1 projects is about $10 billion, and the investment in Michigan is $850 million.

Here in Michigan, there’s about 95 miles of 345 kV projects from Lansing down to the Northern Indiana border. That’s going to be the first interstate transmission we’ve built in 50 years, which is significant.

Now, LRTP Tranche 2.1 is in the works, with a targeted approval date of December 2024. Many of those projects are at a higher voltage — 765 kV — so that’s exciting. As you build a higher voltage infrastructure, the benefits associated with that infrastructure accrue as well.

Why do we need to update the electric transmission infrastructure? Even if we weren’t shifting to renewable energy generation, would this still be an urgent need?

MARSHALL: The energy grid sustains our quality of life. It truly is the framework that society is built upon — but society is changing, and as a consequence, that framework needs to change. We’ve got significant load growth coming from increased electrification, economic development, onshoring of manufacturing, and data centers to support AI. We need to ensure that we’re building the right infrastructure to support this growth, in addition to supporting the aforementioned generator interconnections for wind and solar. We’re at this inflection point where there are multiple external influences forcing us to think differently about the transmission system.

What is ITC’s vision for Michigan’s energy future?

MARSHALL: To have a robust, reliable, high-voltage electric transmission system that drives value to customers and provides access to competitive wholesale markets.

As our utilities are actively investing in wind and solar, we want to ensure we have the infrastructure available to support them so they can deliver value to their distribution customers.

Clearly at the center of all we do, there’s a focus on the infrastructure, but it’s not just the infrastructure. There’s also a focus on the customer and ensuring that we’re delivering an affordable solution. Since our inception in 2003, ITC has invested $7 billion in the transmission system. But, with all of the investment that we’ve made, our impact on the customer’s bill continues to be less than 4%, so that’s a lot of value delivered with minimal cost impact to the customer.

About the Author

Charles Marshall is vice president of Transmission Planning for ITC Holdings Corp. In this role, he is responsible for identifying all transmission system needs and developing system solutions to ensure the reliable and economic delivery of electricity to customers across ITC’s four operating subsidiaries.

Marshall previously served as director of transmission planning, responsible for ITC’s annual planning assessment to ensure compliance with North American Electric Reliability Corp. (NERC) criteria and facilitating customer interconnections to the transmission system.

Marshall joined ITC as an associate engineer in 2004. His experiences range from regulatory policy and stakeholder relations to project engineering and business unit planning.Marshall was appointed to the Michigan Infrastructure Council in 2024 for a three-year term. The Council’s mission is to define a vision for Michigan’s infrastructure that provides the foundation for public and environmental health, economic prosperity and quality of life. Marshall is a member of the Midwest Reliability Organization (MRO). He earned a Bachelor of Science in electrical engineering from Michigan Technological University and a Master of Business Administration from the University of Michigan-Flint.

To learn more about ITC, visit itc-holdings.com/itc-michigan/