In this paper, we focus on transmission and storage solutions intended to reduce power loss and energy waste in electric power systems, especially in smart grid (SG) systems, and propose a novel concept for designing the infrastructure of an SG that can improve the performance of the power system. We studied a variety of modern technologies, including high-voltage direct current (HVDC), high-voltage alternating current (HVAC), and distributed storage. After comparing the characteristics of HVDC and HVAC systems, we found it is preferable for HVDC to be included in transmission systems for long distance power delivery. Moreover, the addition of distributed storage consisting of traditional and modern energy storage techniques can enhance the entire power system and ensure it is stable and efficient. © 2018 IEEE.