USDA Loan Secured for Georgia Power Facility

The $3.3 billion loan will help cooperatives fund new infrastructure to meet increasing electricity demand.

Updated on Oct. 14, 2026 in Utilities

USDA Loan Secured for Georgia Power Facility

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The USDA has issued a $3.3 billion loan to Oglethorpe Power Corporation to fund the construction of the Smarr Combined-Cycle electric generating facility in Monroe County. This financing initiative is intended to support capacity expansion for an entity serving nearly 5 million people across Georgia.

Why it matters

The project addresses rising electricity demand driven by technological advancements while aiming to keep utility costs stable for the state's residential and commercial end-users. By utilizing USDA Rural Utilities Service financing, the corporation accesses lower-cost capital to fund large-scale infrastructure development.

The $3.3 billion loan represents the largest in the history of the USDA Rural Utilities Service. Oglethorpe Power, which is owned by 38 electric distribution cooperatives, provides electricity to approximately 5 million people.

The players

Oglethorpe Power Corporation

A power generation and transmission cooperative owned by 38 electric distribution cooperatives serving Georgia.

USDA Rural Utilities Service

A federal agency that provides financial assistance to support infrastructure development in rural areas.

The details

Oglethorpe Power will utilize the USDA funds to construct the Smarr Combined-Cycle facility, a move designed to integrate more generation capacity into the regional grid. By securing this lower-cost financing through a federal agency, the cooperative aims to mitigate the capital expenditure burdens associated with building new, modern power plants. This structure effectively stabilizes long-term infrastructure costs for the member cooperatives and their customer base.

October 14, 2026: USDA announced the $3.3 billion loan for Oglethorpe Power.

Market Landscape

This deal follows the precedent set by the USDA Rural Utilities Service in facilitating large-scale infrastructure funding for cooperative entities. It represents a significant escalation in federal capital support for energy cooperatives aiming to meet heightened regional load requirements.

Operators in the state should monitor how this expansion affects local grid reliability and industrial electricity rates over the coming years. Those involved in energy-intensive sectors should watch for potential impacts on regional cost-of-service filings as the facility nears completion.

The takeaway

Large-scale utility infrastructure is increasingly reliant on federal financing to bridge the gap between legacy capacity and modern demand. Keep the Rural Data Gateway on your dashboard to track similar federal investments that influence regional energy prices and site reliability.