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Ohio's existing high-voltage electric infrastructure will be updated through $273 million in funding.
The U.S. Department of Energy is providing $136 million through its Speed to Power through Accelerated Reconductoring and other Key Advanced Transmission Upgrades (SPARK) initiative while Ohio's utility companies are paying $137 million for the improvement work.
The funding will upgrade existing power lines in the state.
Gov. Mike DeWine said: "Upgrading existing infrastructure makes sense and this grant opportunity allows us to do that. Ohio, like much of the country, is facing increasing electricity demand over the next decade."
Of the funding, $137 million will go to the Public Utilities Commission of Ohio to work with transmission utilities to implement advanced transmission technologies to increase the capacity of the transmission grid, allowing it to carry more energy instead of building new infrastructure, according to DeWine's office.
The upgrades made from the funding can add the equivalent of 5,820 megawatts of capacity to the grid, effectively displacing the need to build additional power plans or transmission lines, according to the PUCO.
PUCO Chair Jenifer French said: "As Ohio and the nation work to restore traditional domestic manufacturing and bring large loads onto the system, we need a strong and robust energy grid."
Ohio was among 26 states to receive funding through the SPARK initiative.
Nationally, more than 1,500 miles of transmission lines will be rebuilt or reconducted while nearly 21,000 miles of lines will be enhanced, according to the U.S. Department of Energy.
Overall, the DOE is providing $1.9 billion for the projects with another $3.35 billion coming from utility companies receiving the federal funds.
U.S. Secretary of Energy Chris Wright said: "These investments will get more out of the infrastructure we already have, move more electricity across the grid, and help deliver affordable, reliable and secure power that will fuel American prosperity for decades to come."