DOE Finalizes $1.6B AEP Grid Loan | JQJO

The Energy Department finalized a $1.6 billion loan guarantee for AEP Transmission to replace nearly 5,000 miles of power lines in Indiana, Michigan, Ohio, Oklahoma and West Virginia, boosting reliability and capacity for largely fossil fuel-run energy as data centers and AI drive demand. The first award under the Energy Dominance Financing program, the project includes more than 2,000 miles in Ohio and will create about 1,100 construction jobs. The move follows the administration’s cancellation of $7.6 billion in clean-energy grants. Officials say utilities must pass savings to customers and that the upgrades stay within existing rights-of-way.