Agriculture Secretary Tom Vilsack has announced that Midwest Electric Member Corp. in Nebraska is the recipient of a $7,919,000 loan to build and improve rural electric infrastructure.
USDA funding will be used for $1,042,700 for smart grid technology. Also, funds will help build or improve 194 miles of transmission and distribution lines.
"Improving our rural electric utility systems will help us continue to provide reliable and affordable electricity to rural customers," Vilsack said. "By financing these improvements, USDA helps increase efficiencies, reduce carbon emissions and improve the quality of life in rural areas."
The funding is being provided through USDA Rural Development's Electric Program, which makes loans and loan guarantees to non-profit and cooperative associations, public bodies and other utilities, primarily for electric distribution in rural areas.
Smart grid increases the reliability of electric power by helping utilities better manage the electric grid to improve operational efficiencies. It includes metering, substation automation, computer applications, two-way communications, geospatial information systems and other improvements.
Since 2009, USDA has funded $34 billion in electric loans and more than $1 billion for smart grid technologies. This assistance has helped build more than 185,000 miles of transmission and distribution lines serving approximately 8.5 million rural customers.
USDA has been committed to improving the production and transmission of electricity in rural communities since the creation of the Rural Electrification Administration in 1935.
President Obama's plan for rural America has brought about historic investment and resulted in stronger rural communities. Under the President's leadership, these investments in housing, community facilities, businesses and infrastructure have empowered rural America to continue leading the way – strengthening America's economy, small towns and rural communities.