High energy cost grant

Alaska Village Electric Cooperative Inc. (AVEC) received a $1,570,857 Project Grant award dated June 24, 2025, from the U.S. Department of Agriculture Rural Utilities Service under the Assistance to High Energy Cost Communities program (CFDA 10.859). The grant funds energy infrastructure improvements and renewable energy initiatives serving 59 remote Alaskan communities experiencing energy costs exceeding 275 percent of the national average. The two-year performance period extends through June 24, 2027, and supports AVEC's mission to reduce diesel fuel dependence and implement sustainable power generation solutions in geographically isolated rural regions where traditional utility infrastructure is unavailable or prohibitively expensive.

The funded activities align with AVEC's track record of developing critical energy infrastructure projects, which historically include solar photovoltaic installations, battery energy storage systems, microgrid technologies, wind turbine development, and power system upgrades. Grant funds support the acquisition, construction, and improvement of energy generation, transmission, and distribution facilities while advancing renewable energy and energy efficiency objectives. Sub-grant partnerships with entities such as the Alaska Energy Authority and local tribal councils facilitate project execution across multiple communities. The award represents continued federal investment in ensuring reliable and affordable energy access to Alaska's most remote and economically disadvantaged communities.