Transmission Facilitation Program

Key metadata

Document number

doe-transmission-facilitation-program

Type

Program Guidance

Publication date

2024-10-03

Agencies

Energy Department

Original source

DOE program page

DOE Transmission Facilitation Program: $1.5B Conditional Awards for 7,100 MW Across 6 States, October 3, 2024

The Department of Energy (DOE) has announced conditional capacity contract awards totaling approximately $1.5 billion for four transmission projects under its $2.5 billion Transmission Facilitation Program (TFP). This second round of selections, announced on October 3, 2024, will enable nearly 1,000 miles of new transmission development and add 7,100 MW of capacity across Louisiana, Maine, Mississippi, New Mexico, Oklahoma, and Texas.

Why it matters

The TFP is a revolving fund designed to overcome financial hurdles for large-scale, "shovel-ready" interregional transmission lines, and to connect microgrids in select states. By acting as an "anchor customer" to purchase up to 50% of a line's capacity for up to 40 years, DOE reduces risk for developers and attracts private investment. This directly supports the build-out of critical grid infrastructure necessary to integrate new clean electricity generation, improve grid reliability, and enhance energy resilience. While not explicitly for battery storage, robust transmission is essential for deploying utility-scale storage by allowing energy to be moved efficiently to demand centers and by enabling more renewable energy projects, which often pair with storage. These projects will significantly expand the grid's ability to move power across states, benefiting clean energy deployment and overall grid stability.

Who is affected

Project developers, utilities, and electricity consumers in the selected states, as well as the broader clean energy sector that relies on expanded transmission to bring new generation online.

Key timing

The conditional awards were announced on October 3, 2024.