Alaska is receiving roughly $38 million in federal funding to strengthen its electric grid, improve reliability and help keep electricity affordable.
The U.S. Department of Energy announced the funding in Anchorage as state and federal officials highlighted the challenges of delivering reliable power across Alaska’s vast and remote communities.
Deputy Secretary James Danly says the funding is intended to help communities access dependable electricity at an affordable price.
“We are having a targeted deployment of money from the federal government to ensure that communities and households have as reliable electricity as possible at the most affordable price,” Danly said.
Gov. Mike Dunleavy says generating electricity is only part of the challenge. Getting that power to the communities that need it is just as important.
“It’s one thing if you have a lot of energy to produce, but if you can’t move it, it doesn’t really help, and this is a critical piece of that infrastructure,” Dunleavy said.
The State and Tribal Grid Resilience Formula Grant program helps states and Tribal communities strengthen power grids against outages and extreme weather.
Alaska’s vast geography, remote communities and disconnected power systems make delivering reliable electricity particularly challenging.
Utilities that received funding in previous years say the grants can help pay for infrastructure improvements and reduce costs that would otherwise fall on their customers.
Travis Million, CEO of Golden Valley Electric Association, says the funding helps ease that financial burden on the utility’s members.
“With these grant programs, it allows us to bring in federal funding that then reduces that cost. That would be burdened by our members, helping to reduce those costs,” Million said.
In Southeast Alaska, infrastructure investments are helping utilities improve reliability and prepare for future energy demands.
Robert Caedmon, CEO of the Southeast Alaska Power Agency, says the projects will strengthen the region’s electric system.
“Together, these investments will improve system flexibility, enhance reliability, and help Southeast Alaska accommodate future growth without unnecessarily increasing the dependence on diesel generation,” Caedmon said.
Sen. Lisa Murkowski says the investments are helping move Alaska in the right direction.
“But efforts like we’re seeing this morning move us in a positive direction,” Murkowski said.
Danly is encouraging Alaska to pursue as much additional funding as possible through both state and Tribal allocations.
“What I would love to see is that Alaska be as aggressive as possible, both for the state funding side and for the tribal side to get as much of the allocation available to them as possible, because Alaska is a place where that money can be put to very good use,” Danly said.
The funding is intended to strengthen Alaska’s energy infrastructure and help communities maintain reliable electricity as energy needs grow.
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