The U.S. Department of Energy’s Loan Programs Office (LPO) announced a conditional commitment for a loan guarantee of up to $716 million to Jersey Central Power & Light Company (JCP&L) to help fund the New Jersey Clean Energy Corridor, a project to upgrade and expand transmission infrastructure to accommodate planned generation to meet growing electricity demand in New Jersey.
The New Jersey Clean Energy Corridor is expected to enable the addition of approximately 4,890 MW of clean, resilient power to the grid. The upgraded transmission infrastructure will enable nearly 20 million MWh of clean energy production annually––enough electricity to power approximately 1.6 million homes a year.
The JCP&L project comprises forty miles of transmission and substation upgrades and expansions, transmission line rebuilds and transmission line reconductorings. It aims to help the state reach its goal to be powered by 100 percent clean energy by 2035.
JCP&L is the second-largest electric utility operating a transmission and distribution business in New Jersey, serving 1.2 million ratepayers.
S&C previously advised the DOE in its $861.3 million loan guarantee to finance the construction of two solar photovoltaic farms in Puerto Rico following the aftermath of Hurricanes Irma and María in 2017.
The S&C team advising the DOE on this transaction includes John Estes, Benjamin Kent and Connor Schillerstrom.