DOE Launches Web Site and Solicitation for Loan Guarantee Program
August 16, 2006
DOE has launched a new Web site to support its $2 billion Loan Guarantee Program, which was announced on August 7th. The site includes a solicitation that was released on August 8th, calling for projects that support the President's Advanced Energy Initiative. Specifically, the solicitation requests proposals relating to biomass, hydrogen, hydropower, solar, and wind energy; hybrid and alternative fuel vehicles; and industrial energy efficiency. Also included in the solicitation are projects related to the efficient and reliable delivery of electricity, pollution control equipment, carbon sequestration, and advanced coal technologies. DOE plans to select loan guarantee commitments totaling as much as $2 billion, but there's a catch: since DOE does not expect to receive congressional appropriations to cover the costs of the loan guarantees, borrowers will likely have to pay the subsidy cost up front, when closing the loan. The pre-application due date is November 6th.
Although the current solicitation is aimed specifically at the Advanced Energy Initiative, future loan guarantee solicitations may be broader. The guidelines released on August 14th spell out 10 categories of projects for loan guarantees: renewable energy systems; hydrogen fuel cells; production facilities for fuel-efficient vehicles; energy-efficient end-use technologies; advanced nuclear energy facilities; advanced fossil energy systems; efficient electrical generation, transmission, and distribution; carbon capture and sequestration; pollution control systems; and refineries. See the Loan Guarantee Program Web site and download the solicitation (PDF 238 KB) and the guidelines (PDF 90 KB). Download Adobe Reader.