The U.S. Department of Energy has announced the offer of a conditional commitment for a $350 million loan guarantee to develop the One Nevada Transmission Line (ON Line), the first transmission line project to be offered a conditional commitment by the Loan Programs Office of the Department of Energy.

ON Line consists of a new 500 kV AC transmission line that will run 235 miles from Ely, Nevada to just north of Las Vegas, with a new substation located at the northern end of the line. The project will carry approximately 600 MW of electricity, including renewable energy resources in northern Nevada, and will integrate existing transmission systems in northern and southern Nevada, improving grid reliability and efficiency, and reducing power costs. Jonathan Silver, Executive Director of the Department's Loan Programs Office, made the announcement at the groundbreaking in Nevada.

The ON Line project will be the first phase of the Southwest Intertie Project (SWIP) which, when fully completed, will carry approximately 2,000 MW of electricity and enable wind and solar resources in Wyoming, Idaho and Nevada to power the southwest and California markets. The ON Line project is expected to contract about 85 percent of its parts and labor from U.S.-based companies and will create approximately 400 construction jobs.