Saturday, 29 March 2025
Home Topics Business California’s Pacific Gas & Electric could receive $15B in federal loans to modernize its power grid
BusinessEfficiencyElectricityFinanceInfrastructureNatural GasNewsRegulationsTransmissionUtilities

California’s Pacific Gas & Electric could receive $15B in federal loans to modernize its power grid

83
FILE - In this Jan. 14, 2019, file photo, Pacific Gas & Electric vehicles are parked at the PG&E Oakland Service Center in Oakland, Calif. (AP Photo/Ben Margot, File)
In this Jan. 14, 2019, file photo, Pacific Gas & Electric vehicles are parked at the PG&E Oakland Service Center in Oakland, Calif. — AP Photo/Ben Margot, File

SACRAMENTO, California — Pacific Gas & Electric Co. could receive up to $15 billion in federal loans to help the utility modernize its power grid and expand clean energy infrastructure across central and northern California, officials announced Tuesday.

The U.S. Department of Energy announced a conditional commitment for one of the largest loan guarantees ever under its Energy Infrastructure Reinvestment program. When finalized, the money would be loaned in installments over several years.

The funds would support a portfolio of projects to expand hydropower generation and battery storage, upgrade transmission capacity, and enable virtual power plants throughout PG&E’s service area, the energy department said.

PG&E submitted its application to the agency’s Loan Programs Office in June 2023. Partially funding its projects with lower-cost federal loans could save customers up to $1 billion over the life of the financing, the utility said in a statement Tuesday.

“Investments in a clean and resilient grid for northern and central California will have significant returns for our customers in safety, reliability and economic growth. The DOE loan program can help us accelerate the pace and impact of this work, which supports thousands of living wage jobs, at a lower cost to our customers,” PG&E CEO Patti Poppe said in the statement.

The Sierra Club, the environmental advocacy group, cheered PG&E’s commitment to modernizing the power grid and expanding clean energy infrastructure.

“This innovative loan program will help ensure that Californians will see more stable rates, enjoy more good clean energy jobs and live with fewer harmful emissions. This unprecedented windfall also offers a unique opportunity for PG&E to update its outdated transmission infrastructure with more efficient, climate-friendly and fire-safe technology,” Sierra Club organizer Julia Dowell said in a statement Tuesday.

The loan office hopes to finalize the commitment before President Joe Biden leaves office next month.

The Associated Press

Related Articles

Lilium burnt through huge sums while trying to develop its jet (AFP)

German flying taxi start-up’s rescue deal collapses

A German flying taxi start-up said on Friday it would halt operations...

FILE PHOTO: U.S. Secretary of the Interior Doug Burgum speaks as he attends a signing ceremony with members of the West Virginia Congressional Delegation at the EPA headquarters in Washington, D.C., U.S., February 18, 2025. REUTERS/Kent Nishimura/File Photo

US energy council chief says power plants to produce 15% more electricity

By Valerie Volcovici WASHINGTON (Reuters) – U.S. Interior Secretary and co-chair of...

Cuba has inaugurated a new solar energy park in the capital Havana (AFP)

Cuba opens solar park hoping to stave off blackouts

Cuba on Friday unveiled a new solar energy park in the capital...

FILE PHOTO: Cranes unload imported iron ore from a cargo vessel at a port in Lianyungang, Jiangsu province, China October 27, 2019. REUTERS/Stringer/File Photo

Iron ore heads for weekly gain on brightening demand outlook, China stimulus hopes

By Amy Lv and Lewis Jackson BEIJING (Reuters) -Iron ore futures prices...

Login into your Account

Please login to like, dislike or bookmark this article.