Renewable Energy Loan Guarantee Program Back in Business
July 17, 2014
The federal program offering loan guarantees for renewable and energy-efficient projects has been restarted, reports the Washington Examiner. Secretary of Energy Ernest Moniz this month announced that the program, notorious for its $535 million loan to solar panel maker Solyndra, is now accepting applications.
Four billion in federal loan guarantees are up for grabs, and Moniz insists that the program has been an important player in stimulating the clean technology industry: "Through previous loan guarantees and other investments, the department is already helping launch or jumpstart entire industries in the U.S., from utility-scale wind and solar to nuclear and lower-carbon fossil energy." According to Moniz, the program has kept its losses well below $10 billion, the amount that Congress set aside to cover losses.
The GOP has levied a number of criticisms at the loan guarantee program, including that it allows the government to pick winners and losers in the energy industry.
Rep. Paul Ryan's (R-Wis.) budget proposal cut all federal funding for the loan program. His budget proposal passed the House in April.
Source: Zack Colman, "Feds Bring Back Loan Guarantees For Renewable Energy," Washington Examiner, July 3, 2014.
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