In today’s fast-changing world, businesses are under pressure to do more with less, and their electrical assets are no exception. Rising energy costs, aging electrical infrastructure, and a growing demand for power are pushing industries to rethink how they care for and manage their electrical systems. At the same time, environmental regulations and public expectations are driving a shift toward leaner and cleaner operations.
The good news? Modernizing your electrical infrastructure can help you meet all these challenges, saving you money, improving reliability and zeroing in on your sustainability targets.
Electricity demand in the US is growing. According to the U.S. Energy Information Administration, electricity consumption is expected to grow 1.7 percent annually through 2026, with commercial and industrial sectors leading the way. Data center growth, the reemergence of manufacturing, and the adoption of electric vehicles are fueling this surge.
According to some estimates, 60 percent of circuit breakers in the US are at least 30 years old. For humans, we might consider this age our “prime,” but for switchgear and other electrical assets, unfortunately, this age means a higher risk of failure and near-certain inefficiency.
At the same time, the US is progressing toward cleaner energy. Today, over 40 percent of our electricity comes from low-emission sources like wind, solar, hydro, and nuclear. To meet our sustainability goals in the face of increased energy demand, we need smarter, more efficient electrical systems.
Enter modernization...
Modern circuit breakers and switchgear aren’t just safer, they’re smarter. Integrate smart sensors and you can monitor energy use in real time, detect problems before they happen and even adjust power consumption based on your needs. Instead of waiting for something to break, you can fix issues before they cause problems.
For example, Subaru of Indiana Automotive (SIA) adopted a real-time power and demand monitoring system that enables them to detect disturbances on the electrical network and compare it with historical data to make sure their substations are not distressed. The system helps to prevent future outages by identifying anomalies in the power system and alerting teams of engineers so they can act quickly to avoid costly interruptions.
You don’t always need to start from scratch. Modernizing your electrical systems can add up to 30 years of life to your electrical systems. By keeping core components like frames and bus bars in place and upgrading only what’s needed, you reduce waste and support a circular economy.
Retrofitting existing systems with modernized switchgear can also save money and reduce your carbon footprint. In fact, upgrading switchgear instead of replacing it entirely can lead to 40 percent cost savings and up to 80 percent fewer CO₂ emissions.
Finkl Steel®, the world’s leading supplier of forging die, plastic mold and die casting tool steels, upgraded its arc furnace breaker. The new system is more durable, requires less maintenance, and helped cut total ownership costs by 35 percent.
Downtime is expensive. Modern electrical systems are designed to operate at their best. Upgrading key components such as circuit breakers, protection relays or switchgear enhances safety, reliability and efficiency while minimizing production interruptions.
Heineken Guadalajara in Mexico has been working since 2012 to keep its continuous operations online through the installation and maintenance of key electrical systems, including its main substation and uninterruptible power supply (UPS). As Heineken continues to future-proof its operations, they are upgrading older equipment, including switchboards, cases, and UPS systems, to reduce lost production and energy consumption.
Modernizing your electrical infrastructure isn’t just about keeping the lights on. It’s about building a smarter, cleaner and more resilient future. Whether you're upgrading a single breaker or rethinking your entire system, modernization is a powerful tool to help prepare for what’s next.
Pedro Robredo is a Senior Vice President for ABB Electrification Services (Americas region), specializing in the intersection of digital services, sustainability, and geographical growth. With 25 years of leadership at Schneider Electric, Toshiba, and Eaton, he blends technical expertise in electrical assets with strategic M&A and business development. Based in Boston, Pedro holds an MBA and advanced Engineering degrees from the University of Texas at Austin.
