Renewable energy projects offered loan guarantees in Alaska

June 21, 2010

The Alaska Industrial Development and Export Authority is to offer loan guarantees for up to 80% of the value of renewable energy projects in Alaska.

The Authority is working with the US Department of Energy to act as a guarantor for loans used by wind farms, geothermal projects and hydroelectric expansion projects.

The loans come under the Section 1705 Loan Guarantee Program for Commercial Technology Renewable Energy Projects.

It opens access to a $6 billion Recovery Act program to wind and geothermal projects, as well as hydroelectric projects that add to an existing dam or installation.

They will also be available for transmission projects required to connect renewable energy facilities to the grid.

“Competitive”

Ted Leonard, AIDEA, said the program would allow for competitive financing for renewable energy projects in Alaska. “We are pleased that the Department of Energy recognized AIDEA as a partner in this program.”

AIDEA will be working with the Alaska Energy Authority to assess applications for support.

The Development Authority will conduct financial reviews of applications received, while the Energy Authority will evaluate the technology proposed.

AEA Executive Director Steve Haagenson said: “AEA’s staff has evaluated hundreds of Renewable Energy Fund applications and is well-prepared for this program.”