The U.S. Department of Agriculture has announced a $3.3 billion loan to Oglethorpe Power Corporation to help finance construction of the Smarr Combined-Cycle electric generating facility in Monroe County, Georgia.
USDA said the financing represents the largest loan ever provided through USDA Rural Development’s Rural Utilities Service. The project is intended to add dependable electric generation capacity as power demand increases across the U.S., while lower-cost federal financing is expected to help Oglethorpe Power manage the cost of developing the facility.
The Smarr facility is being developed to serve Georgia families, farms, businesses, and other electricity customers through Oglethorpe Power’s network of member cooperatives. USDA said the project will also support employment and additional investment in rural communities.
Oglethorpe Power is a generation cooperative owned by 38 electric distribution cooperatives that collectively serve nearly 5 million people across Georgia. The organization supplies wholesale electricity to its members through a generation portfolio that includes natural gas, coal, nuclear, and hydroelectric resources.
The $3.3 billion financing comes as utilities and grid operators face increasing electricity requirements associated with economic growth and emerging technologies. USDA positioned the loan as an investment in expanding generation capacity while helping rural electric cooperatives maintain affordable and reliable electricity.
The Rural Utilities Service provides financing and other assistance for electricity, telecommunications, water, and environmental infrastructure serving rural communities. The Oglethorpe Power transaction represents a significant expansion of that lending activity for electric generation infrastructure.
KEY QUOTES:
“Historic times call for historic actions, and this tremendous investment in America’s electric power grid is evidence of President Trump’s focus on powering our nation forward. Great things are happening with our rural electric cooperatives nationwide, and Oglethorpe Power is one example in Georgia through this project, which will generate reliable electricity, create jobs, and bring significant investment to rural America.”
Brooke L. Rollins, U.S. Secretary Of Agriculture
“We are proud to partner with Oglethorpe on this significant investment in America’s rural energy infrastructure. As we celebrate National Cooperative Month, this announcement highlights the vital role rural electric cooperatives play in powering our communities, supporting local economies, and strengthening American energy independence. President Trump and Secretary Rollins are doubling down on investments in our power grid to ensure rural America remains a driving force behind our nation’s economic prosperity.”
Glen Smith, USDA Under Secretary For Rural Development
“This historic loan will allow us to build the reliable generation Georgia families, farms and businesses need at a lower cost, helping our member cooperatives keep electricity affordable for the communities they serve. We are grateful to USDA and RUS for their longstanding partnership and for providing the lower-cost financing that helps electric cooperatives make critical investments in reliable, affordable power.”
Annalisa Bloodworth, President And CEO Of Oglethorpe Power
