DOE selects CenterPoint Energy for $50M grid upgrade grant

The U.S. Department of Energy has selected CenterPoint Energy (NYSE: CNP) to receive a $50 million grant to fund advanced substation technology upgrades in the Greater Houston area, according to a company press release.

The award was made through the DOE's Speed to Power through Accelerated Reconductoring and other Key Advanced Transmission Technology Upgrades (SPARK) program. The grant remains subject to finalization of negotiations with the DOE.

With the funding, CenterPoint says it will install transmission grid stabilizing technology from Siemens Energy at its substations. The company claims it will be among the first U.S. utilities to deploy the technology, which is designed to respond to changes in electricity demand and support reliable service.

The project is expected to create more than 500 local jobs related to construction and installation, according to the company.

"This selection is historic for our region, and it will directly fund industry-leading technology improvements that are expected to strengthen resiliency, reliability and meet the growing energy needs of our region," said Jason Ryan, CenterPoint Energy's Executive Vice President, Regulatory Services & Government Affairs.

Katie Jereza, Assistant Secretary for the DOE's Office of Electricity, said the SPARK program targets projects that expand grid capacity and support community economic development.

CenterPoint Energy serves approximately 2.9 million electric customers in the Greater Houston area and more than 7 million metered customers across Indiana, Minnesota, and Texas.

You May Also Be Interested In

• Coca-Cola picks Omnicom for North America, keeps WPP globally
• MSG Rangers, Huron Consulting to join S&P SmallCap 600
• Quadro Resources names new CEO, grants stock options