US Rural Electrification Administration (1935-1949)
When Franklin Roosevelt took office, only 10% of rural American farms had electricity. The Rural Electrification Administration provided low-interest loans to cooperatives, enabling construction of transmission lines into areas private utilities deemed unprofitable. Within 15 years, rural electrification reached 90%.
Farm productivity increased dramatically as electric motors replaced manual labor. Refrigeration transformed food storage and safety.
The program became a template for government-financed infrastructure expansion. Rural electrification enabled the mechanization of American agriculture and laid groundwork for postwar suburbanization.
China's west-to-east transmission buildout echoes the REA's challenge: extending grid infrastructure to remote regions where private investment alone would be insufficient, using state capital to solve a geographic mismatch between resources and demand.
