Alcoa awarded $13 million grant to modernize hydro project in western North Carolina

The U.S. Department of Energy announced Wednesday that it has awarded $30.6 million in economic stimulus funds to help modernize seven hydroelectric projects, including an Alcoa operation in western North Carolina. The grant demonstrates the federal government’s confidence in Alcoa’s long-standing ability to generate clean, renewable energy from its hydroelectric plants.

Alcoa will receive up to $13 million to replace four 90-year-old turbines at the Tapoco Project, located along the Little Tennessee River. The Tapoco Project includes four dams – two in western North Carolina and two in Tennessee – that supply power to an aluminum smelter in Alcoa, Tennessee.

The installation of new high-efficiency turbines is expected to increase power generation by 23 percent. U.S. Energy Secretary Steven Chu said the investment will help the United States generate more renewable energy without building new dams.

Alcoa has begun making similar upgrades to the Yadkin Project in central North Carolina. Alcoa has not received any stimulus money for those upgrades.

For more information, read John Murawski’s report in The News & Observer.