Biden-Harris administration announces $7.3 billion in rural clean energy investments

Aerial view of solar power station and solar energy panels

During a visit to Wisconsin today, President Joe Biden and U.S. Department of Agriculture (USDA) Secretary Tom Vilsack will announce more than $7.3 billion in financing for rural electric cooperatives to build clean energy for communities across the country through the Empowering Rural America (New ERA) program.

Hoosier Energy was named as one of the 16 selections that will collectively leverage private investments of more than $29 billion to build more than 10 gigawatts of clean energy for rural communities across the country. The projects will reduce and avoid at least 43.7 million tons of greenhouse gases annually, equivalent to removing more than 10 million cars off the road every year.

Hoosier Energy now serves more than 760,000 consumers through 18 member electric cooperatives across a 15,000-square-mile area in Indiana and Illinois.

“Under the Biden-Harris Administration, we are supporting a more prosperous future for rural communities by speeding up the transition to clean energy while at the same time keeping monthly bills low and investing in the American workforce with new jobs and apprenticeships,” said Vilsack. “One in five rural Americans will benefit from these clean energy investments, thanks to partnerships with rural electric cooperatives … Put simply, this is rural power, for rural America.”

A news release said the projects will create good-paying jobs, lower energy costs for rural communities, significantly reduce pollution, enhance the resiliency of the nation’s electric grid and advance the Biden-Harris Administration’s Justice40 Initiative. The 16 selectees cover 23 states.

Hoosier Energy will use the investment to assist in procuring 369 megawatts of carbon-free nuclear energy and 250 megawatts of renewable energy annually – through the restart of Palisades Nuclear Plant and solar generation facilities – across rural portions of Michigan and Indiana. The investment is expected to create nearly 800 short- and long-term jobs and reduce annual carbon emissions by over 4.1 million tons – equivalent to removing 966,000 gasoline-powered cars each year.

Project labor agreements have been executed with 15 trade unions to support the restart of the Palisades Nuclear Plant. Once fully operational, Palisades will create approximately 235 union jobs, nearly half of the facility’s workforce.

Hoosier Energy community benefits to its members will include investing in local cooperative community grant programs, increasing investment and enrollment in critical training and safety programs, growing university partnerships and scholarships as well as expanding highly effective energy efficiency and demand side management programming for cooperative consumers, farmers and agribusiness.

“Hoosier Energy greatly appreciates the opportunity to be selected in this process and looks forward to building on our effective collaboration with the USDA,” said President & CEO Donna Walker. “The Empowering Rural America New ERA investment will assist Hoosier Energy with the continued diversification of our resource portfolio and ensure the most effective balance of reliable, affordable, sustainable energy for our 18 member cooperatives, their 730,000 member-consumers, and the communities they serve.

“The focus on community benefits has significant potential to positively impact the rural areas served by Hoosier Energy as well, helping to advance workforce readiness and programs that educate member-consumers, farmers, and agribusiness on what they can do to reduce energy consumption and save money,” Walker concluded.