The Biden administration conditionally approved a $15 billion loan to California utility Pacific Gas & Electric, which would mark the largest commitment from the Department of Energy’s Loan Programs Office.
The loan, which still needs to be finalized, will fund a suite of clean energy projects, including expanding battery energy storage systems, enhancing existing transmission lines and supporting the utility’s hydroelectric fleet. It would also help support the use of advanced tools that connect small batteries and electric vehicles to serve the grid during times of need.
“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,” PG&E CEO Patti Poppe said in a statement. “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, which serves about 16 million people in Northern and central California, said the lower-interest federal loan could save customers up to $1 billion over the life of the financing.
