The Powering Growth Act, also known as SB304, aims to enhance Alabama's energy infrastructure to support economic development and industrial recruitment by establishing the Alabama Energy Infrastructure Bank within the State Industrial Development Authority. This bank will finance qualified energy infrastructure projects through loans and bonds secured by various revenue sources. The bill creates the Strategic Energy Infrastructure Development Fund, which will initially receive $50 million from the Alabama 21st Century Fund and will continue to be funded through legislative appropriations and federal grants. Key provisions include definitions for terms like "electric provider" and "eligible project," as well as a mandate for the authority to reserve at least 40% of available funds for rural projects, ensuring a balanced distribution of resources.

Additionally, the bill introduces amendments to existing laws regarding financial assistance for energy infrastructure projects, including a cap on the amount of loans any single electric provider can receive in a year, set at 50%. It emphasizes the protection of proprietary information and outlines the application process for funding, allowing joint applications between electric providers and economic development prospects. The authority is empowered to issue bonds, which are not obligations of the state, and the bill clarifies that these bonds are exempt from taxation. Overall, SB304 seeks to strategically finance energy infrastructure projects while ensuring prudent financial management and oversight, with an effective date of June 1, 2025.

Statutes affected:
Introduced: 41-10-48
Engrossed: 41-10-48
Enrolled: 41-10-48