Federal Loan Guarantees for Innovative Energy Technologies (81.126)
Program
81.126 Federal Loan Guarantees for Innovative Energy Technologies
Federal Agency
LOAN GUARANTEE PROGRAM OFFICE, DEPARTMENT OF ENERGY
Authorization
Energy Policy Act of 2005, Public Law 109-58, 119 Stat. 1117-1122, Title XVII, 42 U.S.C. 15801, August 8, 2005.
Program Number
81.126
Last Known Status
Active
Objectives
To encourage early commercial use in the United States of new or significantly improved technologies in energy projects that offer the potential to reduce, avoid or sequester air pollutants and anthropogenic greenhouse gas emissions through the use of Federal loan guarantees.
Types of Assistance
Guaranteed/Insured Loans.
Uses and Use Restrictions
The assistance provides Federal loan guarantees for commercial technologies that avoid, reduce, or sequester air pollutants or anthropogenic emissions of greenhouse gases; and employ new or significantly improved technologies as compared to commercial technologies in service in the United States at the time the guarantee is issued and which provide a reasonable assurance of repayment. Further Program information may be found at http://www.lgprogram.energy.gov.
Eligibility Requirements
Applicant Eligibility
Any corporation, company, partnership, association, society, trust, joint venture, joint stock company, or governmental nonfederal entity, that has the authority to enter into, and is seeking, a loan guarantee for a loan or other debt obligation of an Eligible Project.
Beneficiary Eligibility
Small businesses, profit organizations, quasi-public nonprofits, public institutions and interstate, intrastate, State and local governments will benefit from the loan guarantee program.
Credentials/Documentation
Not applicable.
Application and Award Process
Preapplication Coordination
This program is excluded from coverage under E.O. 12372.
Application Procedure
The preliminary application and full application forms must be downloaded from the specific funding opportunity announcement posted on the Department of Energy's Industry Interactive Procurement website at http://e-center.doe.gov Organizations whose Preapplications are denied will be advised as promptly as possible in writing. This notice will explain why the Applicant was not invited to submit an Application for a loan guarantee under the Guidelines.
Award Procedure
DOE will issue a written invitation to submit an Application for a Loan Guarantee. It will endeavor to do so within 90 days from the closing of the date for submitting Preapplications. This invitation will not be an authorization to begin performance nor will it imply any intention by DOE to enter into any legal agreement.
Deadlines
Deadlines are identified in the solicitation.
Range of Approval/Disapproval Time
Appeals
Not applicable.
Renewals
Not applicable.
Assistance Considerations
Formula and Matching Requirements
Except for division C of Public Law 108-324, the Secretary shall make guarantees under this or any other Act for projects on such terms and conditions as the Secretary determines, after consultation with the Secretary of the Treasury. This program has no statutory formula. This is a "self-pay" program. Applicants will pay the subsidy costs as determined by the credit subsidy calculation. The formula for calculating the credit subsidy will be forthcoming. No guarantee shall be made unless: (1) an appropriation for the cost has been made; or H.R. 6-525, (2) the Secretary has received from the borrower a payment in full for the cost of the obligation and deposited the payment into the Treasury.
Length and Time Phasing of Assistance
The term of an obligation shall require full repayment over a period not to exceed the lesser of 30 years or 90 percent of the projected useful life of the physical asset to be financed by the obligation (as determined by the Secretary).
Post Assistance Requirements
Reports
Not applicable.
Audits
Costs incurred are subject to audit throughout the guarantee period and before final close-out. The extent and frequency of audits depend on the size of the guarantee and the specific guarantee provisions.
Records
A recipient of a guarantee shall keep such records and other pertinent documents as the Secretary shall prescribe by regulation, including such records as the Secretary may require to facilitate an effective audit. The Secretary and the Comptroller General of the United States, or their duly authorized representatives, shall have access, for the purpose of audit, to the records and other pertinent documents.
Program Accomplishments
This is a new program. It is anticipated that there will be a sizeable response to the solicitation.
Financial Information
Account Identification
89-0224-0-1-271; 89-0224-0-1-251.
Obligations
(Federal Loan Guarantees) To be determined. (Commitments to guarantee loans will not exceed a face value of $2 billion, in the aggregate, under the first solicitation.)
Range and Average of Financial Assistance
The value of the loan guarantee will be determined on a project by project basis to be determined.
Regulations, Guidelines and Literature
The following list represents an overview of regulations, guidelines, and literature associated with the loan guarantee program. Solicitation Number: DE-PS01-06LG00001, - Loan Guarantee Solicitation Announcement, - Federal Loan Guarantees for Projects that Employ Innovative Technologies in Support of the Advanced Energy Initiative, Available at: http://www.lgprogram.energy.gov/Solicitationfinal.pdf Guidelines for Proposals Submitted in Response to the first Solicitation under Title XVII of the Energy Policy Act of 2005, Available at: http://www.lgprogram.energy.gov/FinalGuidelines.pdf.
Related Programs
None.
Information Contacts
Regional or Local Office
Not applicable.
Headquarters Office
Loan Guarantee Program Office, U.S. Department of Energy, 1000 Independence Ave, SW, Washington, DC 20585; lgprogram@hq.doe.gov. Telephone: (202) 586-8336.
Web Site Address
http://www.lgprogram.energy.gov
Examples of Funded Projects
Projects that may be eligible for a loan guarantee include: Renewable energy systems including wind, photovoltaics, biomass and hydropower projects; Advanced fossil energy technology including gasification, integrated gasification combined cycle, industrial gasification, petroleum coke gasification and coal to oil liquefaction projects; Efficient end use technologies; Hydrogen fuel cell technology for residential, industrial, or transportation applications; Advanced nuclear energy facilities (not in first round); Carbon capture and sequestration practices and technologies, including agricultural and forestry practices that store and sequester carbon; Efficient electrical generation, transmission, and distribution technologies; Efficient end-use energy technologies; Production facilities for fuel efficient vehicles, including hybrid and advanced diesel vehicles; Pollution control equipment; and Refineries, meaning facilities at which crude oil is refined into gasoline (not in first round).
Criteria for Selecting Proposals
Refer to solicitation and guidelines for the criteria to be utilized.
