DOE Approves $1.6B Loan for Midwest Grid Upgrades

[nihalsari]

The U.S. Department of Energy finalized a $1.6 billion loan guarantee to upgrade 5,000 miles of transmission lines owned by American Electric Power (AEP) in Indiana, Michigan, Ohio, Oklahoma, and West Virginia. The project will increase the capacity of existing lines, save AEP at least $275 million in interest, and lower electricity costs across the region. The upgrades cover about 13% of AEP’s network and aim to ease congestion without adding new transmission routes.

[Rimon Khan]

This loan marks a major step toward strengthening America’s renewable energy infrastructure.

[Abdul Khan]

Improving grid capacity is essential as electric demand surges with EV and AI industry expansion.