Major funding has been announced for the largest provider of drinking water in western Massachusetts.

The Springfield Water & Sewer Commission has been awarded a $250 million low-interest loan from the federal EPA, which it will match with funds from other sources, to help speed the replacement of outdated infrastructure that supplies water to 250,000 homes and businesses in greater Springfield.

At an event Thursday announcing the funding, Assistant EPA Administrator Radhika Fox said the money will accelerate the Commission’s projects timeline by 15 years, create 1,700 jobs, and save ratepayers $60 billion.

“Just incredible what investments like this can do,” Fox said.

The funds will help pay for about 30 projects, said Commission Executive Director Josh Schimmel, including significant upgrades at the water treatment plant and wastewater treatment plant that are both more than 50-years old.

“Regulations continue to progress and technology progresses and our treatment plants have not,” Schimmel said.