Gov. Ivey signs “Powering Growth” plan into law to secure energy dominance for future growth
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Special to the News
On Wednesday Gov. Kay Ivey signed into law comprehensive legislation designed to solidify Alabama’s energy dominance, accelerate economic development and address potential critical energy infrastructure supply chain vulnerabilities.
The “Powering Growth” plan includes the establishment of the Alabama Energy Infrastructure Bank, a strategic plan to mitigate long lead times for crucial energy equipment and streamlined permitting processes mirroring recent federal initiatives signed by President Trump to support economic development projects.
The Powering Growth plan’s goal is to create a robust framework for energy dominance and security across Alabama. This initiative aligns with the Alabama Growth Alliance’s strategic priorities, focusing on expanding energy capacity and developing prime sites for industrial and commercial development, turning “shovel-ready sites” into “move-in ready” sites and addressing supply chain constraints.
“In order to keep Alabama’s economy growing, we’ve got to make sure that we have the power to support it,” said Gov. Ivey. “That’s what Powering Growth is all about – making sure our energy infrastructure is robust enough to meet the demands of new industries, new jobs and a stronger future. This plan ensures we’re prepared to compete, not just with neighboring states, but on a national level. By investing now, we’re laying the groundwork for long-term growth – especially in areas that need it most.”
Key Components of Powering Growth:
Cutting Red Tape for Energy and Economic Growth
- Streamlines permitting and removes unnecessary regulatory delays so energy infrastructure projects can move faster and at lower costs.
- Makes Alabama more attractive to industrial prospects that need speed to market and predictability in the planning process.
Fixing Supply Chain Bottlenecks
- Accelerates access to critical materials and equipment for energy infrastructure.
- Reduces government-caused delays that slow down site readiness and project approvals.
Developing More Move-In-Ready Industrial Sites
- Funds energy development at industrial parks and economic development prospects to make more sites power ready.
- Helps local communities compete for job-creating projects by eliminating a key barrier: lack of immediate power access.
Creating the Alabama Energy Infrastructure Bank (AEIB)
- Provides flexible financing for power infrastructure tied to industrial growth and job creation.
- Funds energy infrastructure expansion to power up sites statewide.
- Ensures grid reliability and resilience, strengthening Alabama’s long-term energy security.
- Leverages state funds to unlock private and federal investment, without raising taxes.
“Alabama has already achieved remarkable success by focusing on what economic development truly demands: available land, strong incentives, robust broadband, and excellent roads and bridges,” said Commerce Secretary Ellen McNair. “However, energy availability consistently ranks as the No. 1 factor in site selection for economic development projects, and the demand for energy is growing exponentially nationwide. By investing in our energy infrastructure and addressing supply chain vulnerabilities – across both our urban and rural areas – we are laying the foundation for long-term economic prosperity and ensuring Alabama remains a premier destination for businesses.”
The Alabama Growth Alliance, a coalition of business and government leaders dedicated to driving economic development, has identified energy infrastructure and supply chain resilience as key priorities.
A statewide study commissioned by the Legislature and the Commerce Department identified the establishment of the Energy Infrastructure Bank, as well as targeted growth projects that may help the State Industrial Development Authority in directing this funding mechanism.
“Powering Growth is truly a visionary plan that was developed through a collaborative, forward-thinking approach to identify today our energy needs for tomorrow,” said state Sen. Arthur Orr. “You don’t want to build a levee when the water is already rising. As energy demand is going to continue to accelerate in the future, we are laying the groundwork now through Powering Growth to ensure we are able to compete and win on economic development projects for decades to come.”
Alabama House Speaker Nathaniel Ledbetter emphasized the importance of this initiative for Alabama’s economic trajectory while stressing sustainability and accountability.
“Building more energy capacity, overcoming supply chain hurdles and improving the speed of permitting is essential for building a stronger economy,” said Ledbetter. “This legislation represents a strategic investment in our state’s future, ensuring we have the energy resources necessary to support job creation and economic growth for generations to come while at the same time ensuring sustainable growth that protects our citizens without raising taxes.”
Alabama Senate Pro Tem Garlan Gudger said that in the development of this package, the Legislature made it a top priority to ensure that this package focuses on helping develop and support rural areas.
“My key focus throughout the development of these bills has been to make sure that they support and grow opportunity in the rural parts of our state,” said Gudger. “We worked to include language in these bills that ensures a significant portion of this investment goes to rural Alabama, and I can’t wait to see the projects and economic growth that these investments will make for years to come. Energy security and dominance is critical for growth, and this is a big step forward in ensuring that we have both here in Alabama.”
