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Federal Stimulus Provides Major Funding for Renewable Energy and Energy Conservation

The economic stimulus package passed by Congress and signed by President Obama contains good news for supporters of renewable energy and energy conservation.

by Carolyn M. Vogt and Michael A. Nesteroff

The American Recovery and Reinvestment Act of 2009 provides increased funding, extended tax incentives and outright grants to encourage renewable energy projects, energy savings and green jobs. Some of the key renewable energy features are:

Grants for Development of Renewable Energy Facilities -- Provides funding for grants of up to 30 percent of the cost of building a new renewable energy facility placed in service during 2009 and 2010 that would otherwise qualify for the investment tax credit ("ITC") or the production tax credit ("PTC").

Renewable Energy Loan Guarantees -- Establishes a temporary Department of Energy loan guarantee program for renewable energy projects, renewable energy manufacturing facilities and electric power transmission projects. Appropriates $6 billion to pay the credit subsidy costs, which is expected to support $60 billion of loan guarantees.

Production Tax Credit Extension -- Grants a three-year extension of the PTC for electricity derived from wind (through 2012) and for electricity derived from biomass, geothermal, hydropower, landfill gas, waste-to-energy and marine facilities (through 2013).

Investment Tax Credit in Lieu of Production Tax Credit -- To address financing difficulties resulting from the uncertain future tax positions of potential investors in renewable projects, the bill allows taxpayers to elect to claim the ITC in lieu of the PTC for renewable energy facilities placed in service from 2009 through 2013 (2009 through 2012 for wind).

Tax Credit for Investment in Advanced Energy -- Provides up to $2.3 billion to fund a new 30 percent investment tax credit for investment in advanced energy facilities, such as facilities that manufacture components for the production of renewable energy, advanced battery technology and other green technologies. Qualifying facilities must be certified by the Treasury Department, in consultation with the Department of Energy.

Repeal of State and Local Funding Penalty -- Repeals the penalty for subsidized renewable energy financing, allowing businesses and individuals to qualify for the full amount of the ITC, even if the project receives state or local subsidized energy financing.

Grid Modernization and "Smart Grid" Technology -- Provides $11 billion in funding for modernizing the power grid and developing so-called "smart grid" technologies.

Hybrid Vehicles -- Provides tax credits of up to $7,500 for plug-in hybrid electric vehicles.

Energy Efficiency in Federal Buildings and Federally Supported Housing -- Provides $4.5 billion to make federal office buildings more energy efficient and provides $6.3 billion for increasing energy efficiency in federally supported housing programs.

Qualified Energy Conservation Bonds -- Authorizes an additional $2.4 billion in bonds to finance state, municipal and tribal government programs to reduce greenhouse gas emissions.

Clean Renewable Energy Bonds -- Authorizes an additional $1.6 billion of new clean renewable energy bonds to finance facilities that generate electricity from the following resources: wind, closed-loop biomass, open-loop biomass, geothermal, small irrigation, hydropower, landfill gas, marine renewables and trash combustion facilities.

Electric Transmission Infrastructure -- Allows the Western Area Power Administration and the Bonneville Power Administration to borrow funds (up to $3.25 billion each) to construct or finance transmission lines.

Green Collar Jobs -- Appropriates $500 million to fund job training programs in energy efficiency and renewable energy.

Carolyn Vogt is a member of the Corporate/Securities and Renewable Energy Law practice groups and practices in Lane Powell's Portland office. She can be reached at (503) 778-2194 or vogtc@lanepowell.com. Mike Nesteroff is chair of Lane Powell's Sustainability and Climate Change team and practices in the firm's Seattle office. He can be reached at (206) 223-6242 or nesteroffm@lanepowell.com.

Comments

There could be no better investment in America than to invest in America becoming energy independent! We need to utilize everything in out power to reduce our dependence on foreign oil including using our own natural resources. Create cheap clean energy, new badly needed green jobs, and reduce our dependence on foreign oil. The high cost of fuel this past year seriously damaged our economy and society. The cost of fuel effects every facet of consumer goods from production to shipping costs. After a brief reprieve gas is inching back up. OPEC will continue to cut production until they achieve their desired 80-100. per barrel. If all gasoline cars, trucks, and SUV's instead had plug-in electric drive trains, the amount of electricity needed to replace gasoline is about equal to the estimated wind energy potential of the state of North Dakota. There is a really good new book out by Jeff Wilson called The Manhattan Project of 2009 Energy Independence Now

Hello,

I am looking to start a renewable self generating energy company utilizing nano-solar efficeient panels, various wind turbines and wave/tidal action.
Please let me know how I can secure funding for this start up.
Thank you.
Currently we are located on the NJ shore, but we are open to other oceanfront locations.
Thank you.
Todd J. Lowe
President
Lowe Commercial Realty Group
Asbury Park NJ
Phone (732) 8691704 x 204

Where can I get more information about fund?

I have a nano battery electrolyte needing funding.

Thanks,
Dona

Where can I find out more about renewable energy progroms and dollars targeted at the State of Florida?

Thanks in advance.

Hello,

I have an innovative project regarding elimination of internal combustion engines. Where can I find information on funds (and partnerships) for my projects.

Thanks.

Solar farming is an excellent option for you to use on the property, but it depends strongly on your level of initial investment and your location. Based on this I would either recommend a few concentrated solar collectors and a few tastefully places wind turbine. This will greatly reduce the massive heat plume the typical solar farm generate.

The rest of your property could then be used for a zero foot print energy effficient home and lots of lovely trees.

Please feel free to contact me at the address provided.

We have a large hog finishing operation in NE and are looking into adding a wind energy farm at that site. Where may I find some of the stimulus funding to help with the financing of the project?

I live in Florida and I have an innovative project regarding the elimination of gasoline internal combustion engines. Where can I find information on funds (and partnerships) for my projects.

If you can help contact me; mut24chris@yahoo.com

Thank you.

Very Interested to get all and any information on this subject.

Here is funding information from the US Dept of Energy.


Funding Opportunities

Even Thomas Edison had to raise cash. You, too, will need capital to complete your research and development, and later, to maybe build a business around your new technology. Unfortunately, finding that financial support can be one of the most difficult and frustrating parts of the entire process of developing and commercializing technology. This is especially true for those innovators whose strengths lie in the technology, rather than in business, finance, and marketing.

You already know there are many different sources of capital: public-sector sources, such as state-level technology programs, the U.S. Department of Energy's Inventions & Innovation Program, and the Small Business Innovation Research and Small Business Technology Transfer programs within various federal agencies; and private-sector sources, including personal funds, family and friends, banks and other lenders, "angel" investors, and venture capitalists.

Competition for all of these funds—public and private—is strong, but success is definitely achievable. Your first step in this process is to thoroughly understand your specific needs, based in part on having a clear, objective assessment of your technology's commercial potential. The key is to find and focus on the best source(s) to meet your needs and then commit yourself to the application process.

There are many online resources that discuss technology commercialization funding. For example, Dr. Robert Hunter's website includes an excellent resource directory for public and private sources of commercialization funding and George C. Levy's article on The Entrepreneur Network website offers information on finding financing for start-up companies.

For more information checkout the website. www1.eere.energy.gov/financing

Posted by Michael Mbai;
mut24chris@yahoo.com

My primary interest is in Alternative Fueled Vehicle PilotGrants,Transportation Electrification,Advanced Battery Manufacturing,
> and any other Electric Fueled Vehicle Projects.
>
>My company has two separate working prototypes of electric-powered scooters,which are ideal for urban transport use by a large number of companies (same day delivery---documents, securities, goods, food, etc), municipal workers(Police and Traffic Control, Ticketing, etc) and a vast number of other governmental,public and private entities. In addition, the scooters can be used for travel to and from an urban workplace, replacing costly, noisy, polluting, and fossil fuel depleting gas combustion vehicles. The scooter is NOT a hybrid of any kind or type...it is an entirely electric battery-powered two wheel vehicle, with a patent pending drive system. Inaddition, we are in the process of
developing replaceable battery packs, which will make unnecessary the municipal electric grid that is anticipated to be
necessary for such vehicles to "recharge" during the business day. These "grids" are already at least partially in place in certain European cities.
>
In addition, we have two working prototypes of electric-powered off-road
motorcycles, very swift, and also 100% quiet and clean...and we have developed modification kits that would enable an owner of off-road to easily convert to
a safe, road and highway-legal motorcycle.
>
Of interest is the fact that all these vehicles can be tailored to the
functional and cosmetic preferences of the user. Interchangeable battery systems,with greater or lesser storage capacities, are available, as are motors of various sizes and speeds. Numerous options are also available, and we have
devised an interesting Personal Computing Option for the vehicles as well.
>
In the early developmental stages are three-wheeled vehicles for an equally
vast number of governmental, business and personal uses, and four-wheeled vehicles, whose applications for the military would considerably reduce the
storage, shipment and staging for petroleum based fuel stores into
combat areas.
>
>Please advise how we might provide further insight into the products already completed and ready for mass production, as well as those products, near completion, that require additional research and development. We have put in
> place, in addition, a fairly substantial network ofscientific,technological,
and industrial contacts whom we have tried to assist over the year or so in which we have been in business; advancements that we make are multiplied across the range of all of these businesses, and their broadening expertise helps
to accelerate our progress as well.

Would appreciate any assistance in application to the proper Fed/State agencies administering the distribution of Stimulus Funds, or in finding alternative funding sources in the private sector.


I own a small residential remodeling company in Michigan and am interested in expanding my services to include improvements in energy efficiency and renewable energy. Are funds available for training and equipment? How do I go about abtaining such funds? Thanks.

Greetings,

I would be interested on any information that could lead to acquiring Grants for Development of Renewable Energy Facilities to help coordinate and facilitate research and to foster development and in building design teams to address the feasibility of a Micro Bio-refinery in the production of renewable fuels.
The concept would be for a Cooperative or farmer-owned Micro Bio-refineries to produce cellulosic Ethanol, the Micro refineries would be located at or near the agriculture product, then the ethanol could be delivered to a collection point to be further refined & sold on the market.
Design Teams would consist of people and agencies of the States Universities, Departments with the States Government, maybe some Federal agencies and private industry and individuals working towards this common goal.

Thank you for your time.

Our small business in Atlanta makes a product that reduces energy consumption in HVAC systems by 20%. Are funds available for us to expand our business? How would we go about obtaining these funds?
Thank you,
Sandra Horne
EnviroMax Engineering
404-375-1524
fax 770-237-9928

My partner and I have been working on electrolyzing water to produce hydrogen gas. Our plan is to use the hydrogen to power a 20KW to 40 KW "off the shelf" generator that is configured to run on propane.We would then install these units on homes and take the residence off of the grid.We have a successful prototype that is powering a 5500 watt generator (produces 35 amps of 110 volt power). All it takes to run this machine is clean water and an inexpensive potassium based catalyst. Maintenance should be limited to oil changes each 6 months.
We are confident that our electrolyzer is scaleable.
Our next step which is to construct the full scale model will require some funding. What sources should we pursue?

I am looking to start a renewable self generating energy company utilizing nano-solar efficeient panels, various wind turbines.
Please let me know how I can secure funding for this start up.

Thanks,
Paul