It follows the cyberattack on the Colonial Pipeline earlier this month.
President Joe Biden's administration has detailed how it will create a $20 billion fund for energy infrastructure across state, local and tribal governments to help them "cyber modernize" their systems. The $20 billion would be divided across cybersecurity, grid upgrades and clean electricity, a White House fact sheet said Tuesday.
"Specifically, these modernization block grants will be tied to the use of and compliance with 21st century energy, technology and security standards," the fact sheet said.
Read more: The Colonial Pipeline hack
States and local governments will be able to apply for grants, but they must show they have plans to install "technology that detects and blocks malicious cyber activity on information and operational technology networks."
The investment is part of the $2 trillion American Jobs Plan, and an executive order Biden signed last week to improve the nation's cybersecurity.
It follows the May 7 cyberattack on Colonial Pipeline, which exposed cracks in US energy defense against cyberattacks.