Electric utilities face serious challenges. As normal demand continues to rise, the transportation sector looks to electricity to answer fuel concerns. The CEO of a major U.S. electric company predicts the impending electrification of the transportation industry. The authors are seeing more and more hybrid vehicles, and several major automakers plan to offer plug-in hybrids in less than two years. Should a significant increase in the use of electricity for transportation materialize, as it likely will, demands and electric energy usage will soar. Meanwhile, the existing electric infrastructure continues to age.