Key facts
- Loan package totals $5.1 billion.
- Funds will support new natural gas plants, energy storage, and upgrades.
- New capacity will be over 2.6 gigawatts, enough for 1.8 million homes.
- Loan was initially proposed as $3 billion in January 2025.
The US Department of Energy announced on Wednesday that it has finalized a $5.1 billion loan to Alliant Energy. The funds are designated for expanding power generation and enhancing the grid infrastructure at facilities located in Iowa and Wisconsin. This investment will facilitate the development of new natural gas-fired power plants, energy storage solutions, and modernization of existing power generation sites. The loan package is projected to generate hundreds of construction jobs and add over 2.6 gigawatts of power capacity, sufficient to serve approximately 1.8 million homes. Initially proposed as a conditional $3 billion loan in January 2025, the financing has now been fully closed. The Department of Energy's Loan Programs Office, which has substantial financing available, is directing a significant portion towards nuclear power, while also supporting projects like natural gas and energy storage.