The federal government is issuing a $1.6 billion loan to Detroit-based DTE Energy to modernize the utility’s natural gas infrastructure across Michigan, officials announced on Monday, June 15.

With a customer base of approximately 1.3 million customers in Michigan, DTE will use the funds to upgrade approximately 800 miles of natural gas pipeline and rebuild a storage compressor station, according to the release.

Dan Miner, DTE’s communications director, said via email that the upgrades will allow the company to store more natural gas during low-demand periods, improving its ability to respond to high-demand cycles.

The U.S. Department of Energy is providing the low-interest loan through its Office of Energy Dominance Financing’s Title 17 program, which allows federal financing for projects aimed at rebuilding existing energy infrastructure, including gas pipelines, and gives companies decades to repay.

The aggressive issuance of gas-generation loans follows an executive order by President Donald Trump last year directing federal agencies to support increasing the domestic energy supply.

According to the DOE, the infrastructure project will result in more than $700 million in savings for DTE’s natural gas customers. Miner did not immediately respond to inquiries regarding the exact locations of the pipeline servicing or which compressor station would be rebuilt.

The federal funding comes as DTE seeks to increase its natural gas rates by $236.5 million, which is currently pending before the Michigan Public Service Commission. Meanwhile, the commission is expected to issue a ruling on the gas pipelince infrastructure before October.