DOE Issues Final Rule on Loan Guarantees
December 16, 2009
DOE issued a final rule amending regulations for its Loan Guarantee Program on December 4. The revised rule will allow for increased participation in the program by financial institutions and other investors, and it will enable the support of more innovative energy technologies in the United States. Under the rule change, the Loan Guarantee Program will be able to consider financing projects together with other lenders and will be able to provide loan guarantees to projects with multiple participants. As an example, export credit agencies and other financial institutions will now be able to provide financing to complement the loans guaranteed by DOE. This approach will result in lowered risk, while minimizing potential costs to taxpayers.
DOE's Loan Guarantee Program paves the way for federal support of clean energy projects that use innovative technologies, and is aimed at spurring further investment in these advanced technologies. The department incorporated feedback from industry and other interested parties in order to maximize the reach and success of the program. See the DOE press release, the final rule (PDF 108 KB), and the Loan Guarantee Program Web site. Download Adobe Reader.