Featuring:
- Josh Allison, SVP Commercial, eSmart Systems
- Don McPhail, VP Market Development, eSmart Systems
In a recent address to federal regulators, North American Electric Reliability Corp (NERC) President and CEO Jim Robb described today’s grid reliability challenge as a “five-alarm fire.” He warned that while the reliability of the U.S. grid remains high, the risks to that reliability are intensifying because of extreme weather, growing demand, and aging infrastructure.
Among those risks, few are as destructive or costly as wildfires caused by electrical equipment failures.
In this discussion, Don McPhail and Josh Allison reflect on NERC’s warning and explore how AI-powered tools like Grid Vision® are helping reduce grid-related wildfire risk through proactive, data-driven insights.
Don: Josh, the NERC President called the state of grid reliability a “five-alarm fire.” When you look at recent wildfire events and infrastructure-related ignitions, that metaphor feels literal. What are you seeing from utilities right now?
Josh: You’re spot on, Don. Utilities are living that reality. Drought, heat, and aging infrastructure have created a perfect storm. Many U.S. states, especially in the West, are facing unprecedented wildfire seasons. What we’re hearing is that utilities want to move from reactive inspection programs to predictive maintenance because every undetected defect or vegetation strike is a potential ignition.
Don: The article mentioned “small-scale events and near misses” increasing. How does that tie into wildfire risk?
Josh: Those “near misses” are exactly what we’re helping utilities identify earlier. A cracked insulator, a corroded clamp, or a frayed conductor might not cause an outage today, but in dry, windy conditions it can become an ignition point tomorrow. Grid Vision’s AI scans through vast image data to find those early indicators before they escalate, allowing maintenance teams to act on real risk instead of probability.
Don: The NERC discussion also raised the need for better “shock absorbers” in the system, meaning tools that help utilities manage uncertainty. What does that look like in the context of wildfire prevention?
Josh: Wildfire risk changes constantly with temperature, vegetation growth, and asset condition. AI becomes that “shock absorber” by continuously analysing new imagery and risk data. With Grid Vision, utilities can see which areas are trending toward higher ignition risk and proactively allocate inspection and repair crews before the fire season peaks.
Don: The article also raised concerns around cost and affordability, that improving resilience can be expensive. How do utilities balance that with the pressure to reduce wildfire risk?
Josh: Prevention is always cheaper than recovery. Through AI automation, we’re helping utilities cut inspection costs by more than 50 percent while covering more assets in less time. That efficiency allows them to expand wildfire mitigation programs without increasing operational costs, which is a win for both regulators and customers.
Don: So, responding to NERC’s “five-alarm fire” is not only about building more infrastructure. It is also about understanding and managing what already exists more effectively.
Josh: Exactly. Reliability starts with visibility. The grid is changing faster than anyone can rebuild it, but AI gives utilities the ability to monitor, predict, and prevent. That is how we put out the fire before it starts.
The NERC warning highlights one clear truth: reactive maintenance is no longer enough.

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