Washington D.C. — Energy Secretary Steven Chu recently announced a new loan guarantee solicitation for renewable energy manufacturing projects. The Commercial Technology Manufacturing Systems and Components solicitation is supported by the American Recovery and Reinvestment Act through Section 1705 of the Loan Guarantee Program. The solicitation will support the deployment of renewable energy technologies that reduce greenhouse gas emissions and help increase employment in the nation’s green manufacturing sector, which is part of the Administration’s long-term plan to create new green energy jobs.
The solicitation will seek applications for projects that manufacture commercial technology renewable energy systems and components, such as wind turbine systems, blades or solar photovoltaic components.
“The Department’s manufacturing solicitation will help more Americans get back to work while accelerating economic development,” said Secretary Chu. “To keep pace in the global market, we need to build and expand U.S.-based state-of-the-art manufacturing facilities.”
The Department has recently implemented a number of improvements to its loan guarantee program that will help facilitate a more efficient application process. For example, the Department designed and organized the manufacturing solicitation to provide greater transparency into application requirements, evaluation processes, schedules and fees. Additionally, applicants can apply to the solicitation via the newly launched, user-friendly online application portal.
As with earlier solicitations, the manufacturing solicitation will consist of a two-step process with rolling deadlines. The first Part I deadline is September 30, 2010, and the first Part II deadline is November 30, 2010. Final part I applications are due November 30, 2010 and final part II applications are due January 31, 2011. Applicants are strongly encouraged to get their applications in early since projects must meet all statutory and regulatory requirements and commence construction no later than September 30, 2011. The Department will make available up to $750 million to pay the credit subsidy costs of loan guarantees issued through this solicitation.
The Recovery Act created a new Section 1705 under Title XVII of the Energy Policy Act of 2005 (Title XVII) for the rapid deployment of renewable energy projects and related manufacturing facilities, electric power transmission projects, and leading edge biofuels projects that commence construction before September 30, 2011. This solicitation is the fourth issued in support of Section 1705. For more information on this program, please visit the Loan Guarantee Program Office.