Notification on Loan Guarantee Pre-Applications Delayed
December 19, 2006
The following relates to Guidance for Loan Guarantees for Innovative Technologies (Title XVII of the Energy Policy Act of 2005, Solicitation Number DE-PS01-06LG00001).
As noted in the Guidelines for DOE's Loan Guarantee Program and in its August 8, 2006 solicitation, DOE's Program depends upon Congressional funding. The 109th Congress recently adjourned without completing several funding measures. As a result, DOE must advise those who filed timely pre-applications that it no longer expects to reply to these requests within the 90 day timeframe outlined in the solicitation.
While awaiting Congressional action on FY 07 funding, DOE will use available resources to begin reviewing the pre-applications received by the December 31, 2006, deadline. This will allow the Department to make progress in the interim.
At the same time, DOE plans to complete a Notice of Proposed Rulemaking, leading to adoption of final regulations governing the Loan Guarantee Program, as well as subsequent solicitations envisioned in Title XVII.
The Energy Policy Act of 2005 (EPAct05) authorizes DOE to issue loan guarantees to eligible projects that "avoid, reduce, or sequester air pollutants or anthropogenic emissions of greenhouse gases" and "employ new or significantly improved technologies in service in the United States at the time the guarantee is issued".
EPAct05's Title XVII provides the specifics of the loan guarantee program. DOE is granted broad authority to guarantee loans supporting commercialization of advanced technologies; the goal is to promote public acceptance and use, not research, development or demonstration projects.
Guidelines for the Loan Guarantee Program have been published in the Federal Register. These specify the process by which DOE solicits, reviews and approves guarantees.
To find out more about this program, visit the DOE's Loan Guarantee Program website at http://www.lgprogram.energy.gov/