Federal Energy Loan Guarantee Program from 2005 Finally Approves its First Applicant
As we wait for stimulus dollars to trickle through the system, a provision of the Energy Policy Act of 2005 has finally born fruit for renewable energy.
March 24, 2009
Solyndra Inc. is the first recipient of loan guarantee under Title XVII of the Energy Policy Act of 2005. Last week, Energy Secretary Steven Chu announced a $535 million loan guarantee to the Freemont, CA company.
EPAct05 directed the U.S. Department of Energy to offer up to $60 billion in loan guarantees for a wide range of energy projects. Chu has criticized the lengthy and complicated application process, and promised to review the backlog of applications.
Solyndra, which makes solar panels for commercial buildings, said the US $535 million loan from the U.S. Treasury's Federal Financing Bank will cover debt financing for 73 percent of the cost of a second PV manufacturing plant in Freemont.
"Solyndra Offered First Ever US $535M DOE Loan" (Renewable Energy World)