The Dept. of Energy (DOE) has announced the Loan Programs Office (LPO) has terminated its conditional commitment for the Grain Belt Express Phase 1 project, a high-voltage DC transmission line intended to connect wind and solar capacity across Kansas and Missouri. The conditional commitment, which would have provided a loan guarantee of up to $4.9 billion dollars, was issued by the Biden administration in November 2024.
DOE said it determined the conditions necessary to issue the guarantee are unlikely to be met and that it is not critical for the federal government to have a role in supporting this project.
The department said it’s conducting a review of every LPO applicant and borrower in order to “position LPO to move forward with a lower risk tolerance in lending practices and an uncompromising focus on expanding access to affordable, reliable and secure energy for the American people.”
News item from DOE