It is shown from the economic and technical analyses of aluminum and copper core cable, that the reliability of aluminum core cable is lower than that of copper core cable. However, aluminum core cable is competitive in reducing the costs of power grid construction because it is cheaper than copper core cable. Therefore, the domestic application of aluminum core cable is reviewed, and the obstructions to popularize application are analyzed. Some constructive suggestions of aluminum core cable applied in Jiangsu electric power grid are proposed.