Ameren unit gets green light for $1.6 billion Illinois power transmission project

Aug 5 (Reuters) - Utility Ameren Corp's AEE.N Illinois unit said on Tuesday it has got approval to build and upgrade 380 miles of power lines across 13 counties in the state as part of a $1.6 billion project to boost energy access.

Construction is set to begin later this year and is expected to be completed in 2029.

U.S. utilities face growing pressure to boost grid capacity amid rising electricity demand and a shift toward cleaner energy sources.

"At a time when the Midwest faces a persistent shortage of the electricity needed to meet rising demand, this vital project will provide energy access and certainty for businesses and residential growth," said Shawn Schukar, chairman and president of Ameren Transmission Company of Illinois.

The Illinois Commerce Commission approved the proposed route through a Certificate of Public Convenience and Necessity, the company said.

The project includes three new substations and upgrades to several others, with most of the work taking place along existing infrastructure corridors to minimize land use.

Ameren Illinois serves 1.2 million electricity and more than 800,000 natural gas customers across 1,200 communities in the state.