DOE To OK Renewable Energy Projects In Spring: Chu
Date: 19-Feb-09
Country: US
Author: Ayesha Rascoe
DOE To OK Renewable Energy Projects In Spring: Chu Photo: Larry Downing
President Barack Obama (R) and Vice President Joseph Biden
(C) are given a tour by Namaste Solar CEO Blake Jones (L) of a solar panel
instillation with the Denver skyline in the background at the Denver Museum
of Nature and Science, February 17, 2009.
Photo: Larry Downing
WASHINGTON - The Energy Department will start approving loan guarantees
later this spring for renewable energy projects after streamlining the
application process, Energy Secretary Steven Chu said on Wednesday
Under the department's loan guarantee program, the department pledges to
repay a loan made by a financial institution for a renewable energy project
if the project's operator defaults on the loan.
The massive economic stimulus package signed into law this week by President
Barack Obama provides $6 billion in loan guarantees for clean energy and
electricity transmission projects.
That is on top of billions of dollars more in loan guarantees authorized
under a program established by Congress several years ago for all types of
energy sources.
"We're looking at the loans in progress, we think we can accelerate them
greatly and get them out the door very soon," Chu said after a speech at the
National Association of Regulatory Utility Commissioners's winter
conference.
Chu said he wanted to start approving the loan guarantees by the end of
April or the beginning of May, though he could not names any specific
projects expected to get the green light.
"We're looking at streamlining all the processes and getting rid of
unnecessary paper," he added.
Chu said that before he headed the department, applications for loan
guarantees ran from 500 to 1,000 pages. Now, he has reduced the applications
to 50 pages.
"You don't need a thousand pages to show that this is a suitable loan," he
said.
Later, on a conference call promoting an upcoming energy conference, Chu
said the department would begin evaluating applications as they arrived
instead of waiting until all the applications had been filed.
The department has also brought in an expert from the private sector to
oversee the speedy implementation of the loan guarantee program.
(Editing by Jim Marshall)
© Thomson Reuters 2009 All rights reserved
|