Lack of transmission capacity is a major obstacle to meeting soaring electricity demand in the United States. Transmission capacity would need to increase by 57 percent from 2023 to 2035 to meet expected electricity demand, but building new transmission lines is slow, costly, and faces regulatory hurdles. Advanced transmission technologies (ATTs) can help bridge the demand gap, boosting grid capacity by enabling more efficient use of existing and new infrastructure. While ATTs cannot always fully replace the need for new transmission lines, ATTs can be deployed more quickly and less expensively compared to new transmission lines.

Despite their potential, ATTs remain underused by utilities. However, state governments are beginning see ATTs’ advantages. As of July 31, 2026, 23 states have passed ATT legislation, which often requires state agencies or utilities to study potential opportunities to deploy ATTs within their transmission systems.

This paper analyzes this recent state ATT legislation, including its main features, and efforts to implement it. This paper recommends steps to improve the design of new ATT legislation and the implementation of existing ATT legislation. These recommendations include establishing frameworks for analysis for study evaluation in advance; ensuring transparency in utility data sharing and neutrality in analysis through third-party contracting; and consideration of existing network topology, congestion patterns, and local weather conditions and line ratings of a state’s transmission system. These recommendations are targeted toward policymakers and stakeholders in both states that have passed legislation for ATTs and states that have not yet done so.