Governor Ivey signs ‘Powering Growth’ bills into law as state prepares to accelerate Alabama energy dominance, economic development

On Wednesday Governor Kay Ivey signed a multi-bill package known as “Powering Growth” into law — a sweeping energy infrastructure package intended to secure Alabama’s future energy dominance, accelerate economic development, and address long-term supply chain challenges across the state.

The legislation, backed by state leaders and business advocates, creates the Alabama Energy Infrastructure Bank and lays the groundwork for increasing the state’s energy capacity, streamlining permitting, and making industrial sites more attractive to job-creating prospects.

“In order to keep Alabama’s economy growing, we’ve got to make sure that we have the power to support it,” said 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.”

The new law is closely aligned with the strategic objectives of the Alabama Growth Alliance, focusing on site readiness and long-term investment to help both urban and rural areas compete for high-impact industrial development.

The legislation cuts regulatory red tape to allow energy infrastructure projects to move faster and more cost-effectively, making Alabama more appealing to companies that require speed and certainty.

It also addresses long wait times for critical energy components and reduces government-caused delays in site preparation and approvals. The plan allocates funding to make more industrial sites “power ready,” eliminating one of the key barriers to business recruitment — immediate access to energy infrastructure.

A central component of the law is the creation of the Alabama Energy Infrastructure Bank, which will offer flexible financing tools to fund power infrastructure tied to job creation. It is also designed to ensure grid reliability and unlock private and federal investment without raising taxes.

Alabama Secrerary of Commerce Secretary Ellen McNair said the demand for energy continues to grow exponentially and ranks as the top factor in site selection decisions.

“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,” McNair said.

The legislation follows a statewide study commissioned by the Alabama Legislature and Department of Commerce, which identified the Energy Infrastructure Bank and other key projects as necessary to strengthening the state’s industrial development capabilities.

State Sen. Arthur Orr (R-Decatur) praised the plan’s proactive approach.

“Powering Growth is truly a visionary plan developed through a forward-thinking process to identify today our energy needs for tomorrow,” Orr said. “You don’t want to build a levee when the water is already rising. We are laying the groundwork now to ensure we are able to compete and win economic development projects for decades to come.”

House Speaker Nathaniel Ledbetter (R-Rainsville) called the initiative a strategic investment that balances growth with sustainability.

“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,” Ledbetter said.

Senate President Pro Tem Garlan Gudger (R-Cullman) emphasized rural impact as a top legislative priority during the plan’s development.

“We worked to include language in these bills that ensures a significant portion of this investment goes to rural Alabama,” Gudger said. “Energy security and dominance is critical for growth, and this is a big step forward in ensuring that we have both here in Alabama.”

The Powering Growth legislation reflects a broader push by Alabama leaders to position the state as a frontrunner in industrial recruitment and infrastructure readiness, joining other pro-growth initiatives signed into law under Ivey’s administration.

Grace Heim is a state and political reporter for Yellowhammer News. You can follow her on X @graceeheim or email her at [email protected].