It can be easy to forget that, in rural areas, the way electricity is transmitted can be more old-fashioned than in urban landscapes. Now, the United States Department of Agriculture (USDA) has made the money available to bring these systems into the 21st century. 


On July 21, 2015, Agriculture Secretary Tom Vilsack announced $349 million in funding for 15 electric infrastructure projects in rural areas. These projects look to build or improve upon more than 1,844 miles of transmission and distribution lines for electric cooperatives and utilities in 13 states.


USDA Rural Development’s Electric Program will provide the funding. This program makes insured loans and loan guarantees to help construct rural electric distribution facilities.


“Eighty years ago, USDA took on the challenge of bringing power to rural America, and it helped make this the greatest, most productive country on Earth,” Vilsack said in a press release. “Today, we are continuing that commitment by investing in the next generation of power transmission—smart grid technology—to make our electrical system more reliable, efficient and effective.”


Smart-grid technology allows utilities to manage the grid through such improvements as metering, substation automation, computer applications, two-way communications, geospatial information systems and more.


These funds will be going to such cooperatives as the Macon Electric Cooperative, Missouri; Douglas Electric Cooperative Inc., South Dakota; Minnesota Valley Electric Cooperative; Eastern Iowa Light & Power Cooperative; and many more. The loans include money for electrical line building and improvement as well as money to be set aside specifically for smart-grid projects.


All in all, $17 million of the $349 million total is to be invested in bringing smart-grid technology to rural areas. These projects will have a positive impact on both the electrical grid and the economy as a whole.


“Upgrading the electric grid will not only improve reliability and better manage costs, but it will also bring jobs and increased economic opportunities, helping to build a sustainable and dynamic future for rural residents and businesses,” Vilsack said.