Distribution grids, mini-grids and interconnectors: Technology advances

Prepaid meters, cheaper mini-grids and switchgear without SF6

What this tab covers The newest technologies in service or close to adoption, what each improves, and how the main options compare.

Distribution is being digitised (smart and prepaid meters, automated switching), mini-grids are getting cheaper, SF6 is being removed from switchgear, and Europe is adding interconnectors.

Latest advances

Third-generation solar-hybrid mini-grids being deployed · 2022

Solar, batteries and diesel backup with prepaid smart meters and remote monitoring, built in portfolios⁶⁷

Improves: Best-in-class cost fell from USD 0.55 per kWh in 2018 to USD 0.38 in 2021; USD 0.20 possible by 2030

SF6-free medium-voltage switchgear in service · 2026

Switchgear insulated with dry air and vacuum interrupters¹⁵¹⁶

Improves: Avoids a gas 24,300 times as warming as CO2; EU bans new SF6 units up to 24 kV from 1 January 2026

Batteries on distribution networks being deployed · 2023

Utility-owned storage at substations and feeders²

Improves: Can defer network upgrades and cover peaks; US utility spending rose more than sevenfold in one year

New subsea interconnector, Spain to France being deployed · 2028

Two 1,000 MW DC links of about 400 km across the Bay of Biscay¹²¹³

Improves: Raises exchange capacity from 2,800 to 5,000 MW

Comparing the options

Option	Efficiency	Cost	Capacity or distance	Maturity
Main-grid distribution (advanced economy)¹²	About 5% losses (with transmission)	US utilities invested USD 50.9 billion in distribution in 2023	Whole cities and regions	mature
Third-generation solar-hybrid mini-grid⁷	About 99% uptime for leading developers	About USD 3,700 per kW (2021); USD 0.38 per kWh	Typically 200 to 800 customers	being deployed
Cross-border interconnector (Europe)¹⁰¹¹	Each euro invested saves over two in system costs	At least EUR 150 billion for 151 GW in the 2030s (about EUR 1 million per MW, calculated)	116 GW in 2024; 318 GW optimal by 2040	mature

Extending the main grid is cheapest in dense areas; mini-grids are often the least-cost route for remote communities and can be more reliable than weak utility grids. Interconnectors are among the highest-return grid investments in Europe but take more than ten years on average to deliver.

Sources

How much electricity is lost in electricity transmission and distribution in the United States? (FAQ) US EIA, 2023
Grid infrastructure investments drive increase in utility spending over last two decades (Today in Energy) US EIA, 2024
Solar mini grids could power half a billion people by 2030, if action is taken now World Bank, 2022
Mini Grids for Half a Billion People: Market Outlook and Handbook for Decision Makers (2022 edition) World Bank ESMAP, 2022
Money on the line: scaling electricity interconnection for Europe's energy future Ember, 2025
New Ten-Year Network Development Plan highlights power transmission and storage needs to meet the energy transition targets ENTSO-E, 2025
Spain-France submarine interconnection Red Eléctrica, 2025
EIB supports with EUR 1.6 bn the strategic Bay of Biscay electricity interconnection between Spain and France European Investment Bank, 2025
Enedis and ABB partner on SF6-free switchgear Enlit World, 2025
Transition to SF6-free electrical switchgear will begin in 2026 Finnish Environment Institute (Syke), 2025