The San Miguel Electric Cooperative Inc., based in Christine, Texas, is set to transform its coal-fired power plant into a renewable energy hub thanks to a $1.4 billion investment from the U.S. Department of Agriculture (USDA). The project will establish a 400 MW solar generation facility and a 200 MW battery energy storage system (BESS) by 2027.

Announced on December 19, the funding is part of a broader USDA initiative to support 10 rural electric cooperatives with $4.37 billion in loans and grants, aimed at reducing greenhouse gas emissions. The conversion is expected to cut climate pollution by approximately 1.8 million tons annually.

"This funding represents a new era for the San Miguel Electric Cooperative, which has long been the backbone of electric generation for generations of South Texans," said Craig Courter, General Manager and CEO of San Miguel. "It allows us to virtually eliminate our greenhouse gas emissions while continuing to provide affordable and reliable power."

USDA Secretary Tom Vilsack emphasized the program's goal of improving the quality of life in rural communities while boosting energy security and affordability.

With this transition, Texas continues to solidify its position as a national leader in renewable energy, with solar and battery storage capacity rivaling that of California.