U.S. Energy Department Closes $5.1 Billion Loan for Alliant Energy to Expand Power Generation

The U.S. Energy Department’s Office of Energy Dominance Financing on Oct. 28 announced the financial close of a $5.1 billion loan package for Alliant Energy to expand power generation and strengthen grid reliability in Iowa and Wisconsin. The financing will support more than 2.6 gigawatts of new or upgraded capacity, including natural gas-fired power plants, energy storage systems, and upgrades to existing generating facilities. The loan package is expected to deliver more than $1 billion in electricity cost savings for households and businesses across the two states.

The projects are expected to provide enough electricity to power nearly 2 million homes while supporting hundreds of construction-related jobs. The financing will support two wholly owned subsidiaries of Alliant Energy: Interstate Power and Light Company in Iowa and Wisconsin Power and Light Company in Wisconsin. The investments will include approximately 1,500 megawatts of new natural gas generation, 240 megawatts of additional capacity at existing generating units, and about 1,000 megawatts of battery storage.

The financing advances the Trump administration’s efforts to strengthen the reliability and security of the U.S. electric grid. The package aligns with President Donald Trump’s executive order, Strengthening the Reliability and Security of the United States Electric Grid, which emphasizes dependable power supplies to meet rising electricity demand and reinforce national energy security.

The loan marks the administration’s tenth financial close and the sixth and seventh utility financings completed through the EDF program. Earlier major utility financings under the program include a $26.5 billion loan package for Southern Company subsidiaries Georgia Power and Alabama Power in February 2026 to expand generation and upgrade grid infrastructure, and a loan of up to $3.26 billion for AEP Texas in July 2026 to modernize the state’s electric grid and increase transmission capacity.