The U.S. Department of Energy said Aug. 12 it will not move forward with designating three proposed National Interest Electric Transmission Corridors selected in December 2024. Energy Secretary Chris Wright announced the decision.

Wright said an "extensive review, including public feedback and stakeholder input" showed the process for the three corridors "should not continue." He said transmission policy must serve "the American people," not special interests or what he called a "climate-alarmist agenda that drives up costs, worsens reliability." He said the Trump administration is committed to strengthening the electric grid with policies aimed at affordable, reliable and secure electricity.

The three canceled corridors

The three corridors were the Lake Erie-Canada Corridor, the Southwestern Grid Connector Corridor and the Tribal Energy Access Corridor. The prior administration had promoted them as a way to "accelerate decarbonization." DOE said the framework, as applied, failed to strengthen grid reliability or cut electricity costs, and left some communities confused about the scope of NIETC authority.

Other transmission moves cited

DOE pointed to a series of transmission actions it has taken instead of new corridor designations:

  • October 2025: DOE's Office of Energy Dominance Financing closed a $1.6 billion loan guarantee to AEP Transmission to reconductor and rebuild nearly 5,000 miles of transmission lines across five states.
  • February 2026: The same office closed $26.5 billion in loans to Southern Company subsidiaries Georgia Power and Alabama Power, covering more than 1,300 miles of transmission and grid enhancement projects.
  • March 2026: DOE's Office of Electricity announced a $1.9 billion funding opportunity called SPARK, aimed at grid capacity, reliability and affordability.
  • July 2026: The Office of Energy Dominance Financing closed a roughly $3.3 billion loan to AEP Texas to build, rebuild or reconductor more than 2,800 miles of transmission lines, and the Office of Electricity released a draft of its 2026 National Transmission Needs Study.

DOE said the cancellation aligns with recent policy guidance, including the executive orders "Unleashing American Energy" and "Strengthening the Reliability and Security of the United States Electric Grid," as well as Wright's February 2025 secretarial order, "Unleashing the Golden Era of American Energy Dominance."