How the Energy Department's Loans are Accelerating America's Transition to a Clean Energy Future

1. Beyond Solyndra:
How the Energy Department’s Loans are Accelerating
America’s Transition to a Clean Energy Future
June 2012

2. Loan Programs Overview
Advancing the nation’s clean energy economy
 Accelerates the deployment of advanced and innovative clean energy technologies at
commercial scale
 Supports a broad array of clean energy technologies across
solar, wind, nuclear, geothermal, biofuels, energy efficiency, etc.
 Supports deployment of advanced vehicle technologies through the Advanced Technology
Vehicles Manufacturing Loan Program (ATVMLP)
The Department of Energy’s investments, including the loan programs, are helping:
 Reduce energy costs, better protect our air and water, and work towards a true
energy independence for the U.S.;
 Double America’s deployment of renewable energy since 2008, enabling the
nation to reclaim the title of world leader in clean energy investments;
 Achieve fuel efficiency standards that will increase U.S. fuel economy to almost
55 miles per gallon for cars and light-duty trucks by Model Year 2025.
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3. Loan Programs Impact
Making significant contributions to our nation’s energy independence
• Nearly $35 billion in loans, loan guarantees and
conditional commitments for loan guarantees to 33 clean
energy projects with more than $55 billion in total
economic investment
• This made the U.S. the global leader in clean energy
investment in 2011
• 30+ projects are expected to support over 60,000 jobs, plus
thousands more in the supply chain
• Closed financing for 20 generation projects, which are
expected to:
• Produce enough clean electricity to power more than 2.5
million homes, or more than all the homes in Colorado
• Avoid as much carbon dioxide from the air every year as
the emissions of more than three million vehicles
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4. Loan Programs Projects
Financing first-of-a-kind projects and some of the largest in the world
Since January 2010, loans and loan guarantees will
support:
• One of the world’s largest wind farms.
• The world’s largest photovoltaic and concentrating
solar power (CSP) plants currently under construction.
• Two CSP plants that will more than double the nation’s
CSP capacity.
• The first two all-electric vehicle manufacturing facilities
in the U.S.
• The first distributive photovoltaic energy project on a
national scale that will install solar panels on
commercial rooftops in up to 28 states.
• One of the country’s first commercial-scale cellulosic
ethanol plants.
• The first nuclear power plant to be built in the U.S. in
the last three decades. (Conditional Commitment)
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5. Advanced Technology Vehicles Manufacturing Loan Program
Supporting the resurgence of America’s auto industry
• Over $8.3 billion in loans for projects with more than
$14 billion in total economic investment
• Projects expected to support greater than 38,000
jobs
• Projects expected to avoid nearly 300 million gallons
of gasoline annually
• Projects expected to avoid as much carbon dioxide
from the air every year as the emissions from more
than 460,000 vehicles
ATVMLP-supported projects are reducing our
dependence on foreign oil and promoting U.S.
leadership across an array of innovative vehicle
technologies, including plug-in vehicles, high-
efficiency gasoline vehicles, and natural gas vehicles.
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6. Ivanpah Solar Generating Complex - Mojave Desert
World’s largest solar thermal power plant under construction
• Support - $1.6 billion loan guarantee
• Jobs - Over 1,700 staff working on site
• Awards - CSP Achievement of the Year by Solar Power
Generation USA; 2012 Energy Project of the Year Award by
the USC CMAA Green Symposium
• Clean Air - Expected to avoid 574,000 metric tons of
carbon dioxide annually, equivalent to emissions of 110,000
vehicles
• Homes Powered - Expected to generate enough clean
electricity to power approximately 87,000 homes annually
• Construction Update - As of May 2012, the project is
approximately one-third complete. Construction of the three
459-foot power towers are well underway, and tens of
thousands of the 173,500 total heliostats have been installed.
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7. Ivanpah Solar Generating Complex - Mojave Desert
World’s largest solar thermal power plant under construction
Supply Chain -
• Majority of project’s supply chain is
sourced from more than 17 states.
• Ivanpah steel supplier, Gestamp Solar
Steel built new facility to keep up with
orders. Facility expected to create 50
new manufacturing jobs plus more
during construction.
• Michigan-based Guardian Industries
supplied the first of 160,000 of its
EcoGuard Solar Boost mirrors in
November 2011.
Michigan-based Cone Drive Gearing Solutions , a company that supplies solar tracking devices to
Ivanpah, said, “This opportunity will be a source of job creation not only for us but for many of our U.S.-based
supply chain partners.”
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8. Agua Caliente – Yuma County, Arizona
Nation’s largest photovoltaic solar power plant
• Support - $967 million loan guarantee
• Jobs - Employed more than 1,300 workers at peak construction
• Awards - 2011 Solar Project of the Year by Renewable Energy
World’s Excellence in Renewable Energy Award Program; 2011
Photovoltaic Achievement of the Year by Solar Power
Generation USA
• Clean Air - Expected to avoid greater than 370,000 metric tons
of carbon dioxide annually, equivalent to the emissions of more
than 70,000 vehicles
• Homes Powered - Expected to generate enough clean
electricity to power more than 56,000 homes annually
• Construction Update - As of May 2012, the project is more
than 70 percent complete. Over 3.3 million solar panels
spanning in excess of 2,300 acres have already been installed.
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9. Agua Caliente – Yuma County, Arizona
Nation’s largest photovoltaic solar power plant
Supply Chain -
• Last year, First Solar, an
engineering, procurement and
construction contractor, spent more
than $1 billion with U.S. suppliers
across 38 states.
• Major domestic suppliers of steel
fabrications and electrical equipment
for Agua Caliente and other First Solar
supported projects include an Arizona-
based division of Omco, Connecticut-
based Highway Safety Corp., Texas-
based Powerohm, and SMA Americas
of Colorado.
• In addition, the project uses
approximately 39,000 tons of
American steel.
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10. Abengoa Solana – Gila Bend, AZ
Largest Concentrated Solar Power (CSP) trough plant in the world
• Support – partial guarantee of $1.446 billion loan
• Jobs - Over 1,000 construction workers hired to date with
more expected at peak construction
• Clean Air - Expected to avoid nearly 544,000 metric tons
of carbon dioxide annually, equivalent to the emissions of
nearly 105,000 vehicles
• Homes Powered - Expected to generate enough clean
electricity to power more than 82,000 homes annually
• Construction Update - As of April 2012, more than 50
percent of the project is complete.
• Supply Chain - The project has purchased materials and
services manufactured and supplied by 29 companies in 22
states and it is expected to have contracts with more than
50 suppliers and contractors by the end of construction.
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11. Caithness Shepherds Flat - Eastern Oregon
One of world’s largest wind farms
• Support – partial guarantee of $1.3 billion loan
• Jobs - Over 1,000 construction workers hired to date
• Awards - 2010 Deal of the Year by Energy Risk Magazine;
nominated for Deal of the Decade by Infrastructure
Magazine; nominated for 2010 Deal of the Year by Power
Finance & Risk; nominated for 2010 Deal of the Year in
Renewables by Infrastructure Magazine
• Clean Air - Expected to avoid over 1,032,000 metric tons of
carbon dioxide annually, equivalent to the carbon dioxide
emissions of nearly 200,000 vehicles
• Homes Powered - Expected to generate enough clean
electricity to power nearly 157,000 homes annually
• Construction Update – As of May 2012, over half of the
project’s 338 turbines are installed, operating and
contributing clean wind power to the grid.
• Supply Chain - The project utilizes 15 suppliers in nine
states to fulfill orders for the 845 megawatt wind farm,
including General Electric assembly facilities in Pensacola,
Florida and Tehachapi, California.
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12. Ford – Michigan, Illinois, Kentucky, Missouri, New York & Ohio
Helping position U.S. auto industry as leader in fuel-efficient vehicles worldwide
With support from Energy Department loans, Ford is:
• Retooling and modernizing 13 factories across six
states
• Raising fuel efficiency of more than a dozen popular
vehicles, including
Focus, Escape, Fusion, Taurus, and F-150 trucks
representing approximately two million new vehicles
annually
• Supporting approximately 33,000 manufacturing
and engineering jobs
• Updating older assembly plants to facilities capable
of building a range of fuel-efficient vehicles from
electric to hybrid to gas-powered on the same
production line
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13. Recognition and Validation from the Private Sector
• NRG Solar’s Agua Caliente, 2011 Solar Project of the Year – Renewable Energy World’s Excellence in Renewable
Energy Award Program; 2011 Photovoltaic Achievement of the Year – Solar Power Generation USA
• NextEra Energy’s Desert Sunlight, 2011 North American Solar Deal of the Year – Project Finance Magazine
• NRG Solar’s Ivanpah Solar Electric Generating System, CSP Achievement of the Year – Solar Power Generation
USA
• Fisker’s Karma, 2012 Design of the Year – AUTOMOBILE Magazine; First Prize – International Design Awards;
Silver trophy, Innovation – Edison Awards
• Bank of America Merrill Lynch and Prologis’ Project Amp, Finance Innovation of the Year – Renewable Energy
World’s Excellence in Renewable Energy Award Program; Energy Risk 2012’s Deal of the Year
• Ormat’s Jersey Valley Power Plant, 2011 Geothermal Project of the Year – Renewable Energy World
• Caithness Shepherds Flat, 2010 Deal of the Year – Energy Risk Magazine; Deal of the Decade – Infrastructure
Magazine (nominated) ; 2010 Deal of the Year – Power Finance & Risk (nominated) ; 2010 Deal of the
Year, Renewables – Infrastructure Magazine (nominated)
• Online Application Portal, 2010 Global Awards for Excellence in BPM & Workflow – Workflow Management
Coalition and BPM.com; 2011 Laureate – International Data Group’s Computerworld Honors Program
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14. Businessweek Report Shows How Loans Are Helping
Pave the Way for Future Private Investment
“Once so risky that only government backing could draw private capital, solar projects now are
making returns of about 15 percent, according to Stanford University’s center for energy policy and
finance…
“In 2009, solar technology was so unfamiliar that few banks would back projects that required
billions in upfront investment and wouldn’t begin producing revenue for years, Klepper said...
“That year, the U.S. Energy Department began funding a program to guarantee loans for solar farms
and other renewable energy projects that supported almost $35 billion in financing before winding
down in September.
“The government’s endorsement assuaged investors’ concerns and built up a bigger community of
people who understand how to make money from solar deals, said Arno Harris, chief executive officer
of Sharp Corp.’s renewable power development unit Recurrent Energy.
‘Bankable’ Solar
“’Solar is now bankable,’ Harris said. ‘When solar was perceived as more risky it required a premium,’
and now it’s ‘becoming part of a much broader capital market.’ -- Bloomberg Businessweek, 3/20/12
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