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DOE Guarantees $2.6 Billion for B of A Solar Projects

Triple Pundit:

Bank of America announced an agreement this week with ProLogis, and NRG Energy and the US DOE’s Loan Program Office to finance the deployment of up to $2.6 billion of commercial and industrial rooftop solar installations, all across the country.

This will be the largest distributed solar deal in history, which will create the equivalent of over 10,000 job-years, while providing 733MW of distributed solar energy, which is enough to power 100,000 homes across 28 states.

Bank of America is the sole financial lender in the agreement, which is backed by a loan guarantee from the Department of Energy’s Financial Institutions Partnership Program.

All the funds will be raised from private investors over the next four years. Prologis will act as the developer and site host and NRG Energy will be the lead investor for the first phase of the project. This landmark deal adds to a growing list of recent commitments by BOA Merrill including a newly established goal by the company to reduce its global green house gas emissions 15 percent by 2015, and the launch of a $55 million energy efficiency finance program to encourage energy efficiency in older buildings in key markets across the U.S.

The first phase of the so-called AMP project, which will provide 15MW in Southern California, is ready to begin immediately.

Prologis will provide site access to rooftops, mostly on warehouses and will also act as developer, construction manager and program sponsor, in addition to being an equity investor. This project is the most recent example of the company’s long-standing and industry-leading commitment to renewable energy.

“As one of the world’s largest owners of distribution facilities and an active solar industry participant, we’re pleased to be a partner in a project of this magnitude,” said Drew Torbin, vice president of Prologis Renewable Energy. “This project will add significant scale to the distributed solar market and provides economic and environmental benefit to our shareholders and customers.”

New on Planet Gore. . .


COMMENTS   3

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D
   06/24/11 12:05

"... which will create the equivalent of over 10,000 job-years ..."

So in other words, 1000 jobs for 10 years. Assuming that's spread evenly across the 28 states, 36 jobs for 10 years in each state. All for only 2.6 billion dollars.

If they would just approve the Keystone pipeline extension, they would probably create 10 times as many jobs for nothing.

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   06/24/11 16:52

If putting solar panels on the roofs of warehouses is such a great idea why does it need taxpayer money?

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   06/26/11 09:10

Another federal subsidy to help bail out the states who have passed Solar and wind mandates they can't afford. Solar presently costs 80 cents per kWh (to displace 3.5 cents per kWh of natural gas) in the northeast before the numerous subsidies:
1) 30% federal investment tax credit
2) 35 cents per kWh state subsidy in CT
3) exemption from paying the cost of running the utility known as "reverse metering".
4) subsidies from greenhouse gas markets
5) subsidies from state Renewables markets
6) subsidized financing and load guarantees as in this article.

At a time when government debt is a crisis, it is irresponsible for states to continue to add to the federal debt by asking the feds to subsidize solar. If all our electricity came from solar, the federal 30% subsidy would add over a trillion dollars per year to the deficit....like having a subprime crisis every year.

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