April 7, 2011 - DOE loan guarantees not dead yet

Thursday, April 7, 2011

Check out the piece I wrote for the Offshore Wind Wire analyzing the potential value in the race to build larger offshore wind projects and larger turbine generators: cheaper electricity thanks to the economy of scale.

Earlier this week, I looked at the Department of Energy's loan guarantee programs.  In the past 6 years, DOE has backstopped $26 billion in financing for 21 energy projects.  As Congress wrestles with the U.S. federal budget, these loan programs may be on the chopping block; the current Republican draft budget makes significant cuts to DOE's loan program funding.

The battle over DOE's loan programs is not yet over.  Today a dozen Democratic senators submitted a letter urging Senate leadership to preserve the current levels of loan program funding.  Led by Senator Maria Cantwell of Washington, other signatories include Senators Mary Landrieu (LA), Carl Levin (MI), Jeff Bingaman (NM), Ron Wyden (OR), Chris Coons (DE), Barbara Boxer (CA), Tim Johnson (SD), Jeanne Shaheen (NH), Jeff Merkley (OR), Tom Harkin (IA), and Dianne Feinstein (CA).  Will this be enough to sway the Senate to preserve DOE's funding level for its loan programs?

No comments:

Post a Comment