HERMANTOWN, Minn. (Northern News Now) - A major energy infrastructure project in the Twin Ports has lost its federal funding.

The U.S. Department of Energy announced Thursday that it terminated funding for more than 200 energy projects nationwide.

Northern News Now obtained the list of canceled grants from the Department of Energy, which included ALLETE’s project.

In 2023, the Department of Energy awarded $50 million to Minnesota Power for its High Voltage Direct Connect System, or HVDC project. The infrastructure was designed to transport wind energy from the Dakotas to Hermantown, where it would be transformed into a different current for household use.

Project details and costs

The project was planned to use $50 million in federal funding along with $15 million in state funding.

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