The desalination plant in Carlsbad will receive $170 million in federal financing to upgrade its facility and meet environmental requirements, officials announced this week.

The low-interest loan is intended to help the plant’s owner, Poseidon Resources, satisfy state regulations for protecting fish and other marine life at the Claude “Bud” Lewis plant. The money, awarded by the U.S. Environmental Protection Agency, is estimated to save ratepayers about $54 million.