Data centers may benefit from massive rural utility loan, US official says
XLU•A $3.3 billion USDA loan to Oglethorpe Power for a Georgia power plant could potentially benefit data centers, the agency’s rural development head said. The record loan will serve 38 rural utility cooperatives; Oglethorpe said the facility is not dedicated to a data center.
1. Record rural utility loan
The USDA announced a $3.3 billion loan to Oglethorpe Power Corporation for a power plant in Monroe County, Georgia, the largest loan ever given under the agency’s Rural Utilities Service. Under Secretary for Rural Development Glen Smith said the plant will serve 38 rural utility cooperatives and could support growing industries, including data centers.
2. Data center demand
Google purchased nearly 1,000 acres in Monroe County last year for a data center. Oglethorpe spokesperson Blair Romero said the facility is not dedicated to serving a data center and will help member cooperatives meet growing electricity demand across their communities.
3. More funding sought
Smith said he hopes to secure more funding for similar projects and plans to meet with congressional appropriators next week. He said the agency has nearly $8.6 billion in loan requests, one month into its fiscal year.
