Although much of the media fanfare surrounding the 2009 stimulus bill has faded, federal agencies continue to offer new grant and loan programs that can provide significant financing assistance for renewable energy projects.  Several recent funding opportunities issued by the U.S. Department of Agriculture (USDA) and U.S. Department of Energy (DOE) provide grant and loan assistance for biofuels, photovoltaic solar, marine and hydrokinetic technologies. 

Geoffrey Williamson and David Scott of the Denver Firm of Brownstein Hyatt Farber Schreck summarize the opportunities.  

USDA FUNDING OPPORTUNITIES

 USDA recently announced three separate funding opportunities for biofuels projects:

 (1)  Biorefinery Assistance Program

Through this program, USDA is offering guaranteed loans to develop and construct commercial-scale biorefineries or retrofit existing facilities that use legible technology for the advancement of biofuels.  The amount of a loan guaranteed under this program cannot exceed 80 percent of the total eligible project costs.  The maximum principal amount of a loan guaranteed under this program is $250 million.  Applications for this program are due no later than August 4, 2010.

 (2)  Repowering Assistance Program

USDA is offering up to $8 million in FY 2010 to encourage the use of renewable biomass as a replacement fuel source for fossil fuels used to provide heat or power in the operation of eligible biorefineries.  “Eligible biorefineries” are those
biorefineries in existence on June 18, 2008. The deadline
to apply for this funding is July 20, 2010.

 (3)  Bioenergy Program for Advanced Biofuels

USDA is authorizing up to $40 million in FY 2010 to support and ensure expanding production biofuels by providing payments to eligible advanced biofuels producers.  Advanced biofuels are derived from renewable biomass, other than corn kernel starch.  Eligible advanced biofuels include cellulose, sugar and starch, crop residue, vegetative waste material, animal waste, food and yard waste, vegetable oil, animal fat, and biogas (including landfill gas and sewage waste treatment gas).  Applications are due no later than July 6, 2010.

DOE FUNDING OPPORTUNITIES

 (1)  Photovoltaic (PV) Manufacturing Initiative

DOE recently announced that it will be offering up to $125 million cost-share funding for five-year PV manufacturing projects.  The goal of this initiative is to support the creation of a robust PV manufacturing base and supply chain in the United States, develop a highly trained workforce, and speed the implementation of new PV technologies.  The opportunity consists of two parts.  Under the first part, DOE will provide a 50 percent cost-share for industry leading projects designed to accelerate the development and implementation of PV manufacturing-related technologies through collaborative industry research and the development of manufacturing facilities.  DOE will expect recipients to develop R&D programs based upon identified manufacturing needs and opportunities, manage and monitor relevant R&D projects, and/or provide services and facilities to PV companies and suppliers that will assist those companies and suppliers in demonstrating new technologies or shifting to commercial production. 

 The second part of the program will provide up to an 80 percent cost-share for university-led R&D projects that address PV manufacturing and supply chain issues, with industry taking an advisory role in the project.

 Applicants interested in either part of this program must submit a 10-page concept paper no later than June 3, 2010.  DOE will issue a full funding opportunity announcement for those projects accepted for further review. 

 (2) High Impact Supply Chain Research and Development for PV Technologies and Systems

DOE is also providing up to $4.8 million over three years for projects that will identify and accelerate unique products or processes for the PV manufacturing supply chain that will have a major impact on the industry.  Selected projects will focus on improvements to PV components and the processes used to build those components.  Examples of potential projects include engineering lower-cost coating materials, electrical components to improve performance, processes that reduce manufacturing wastes, or equipment that dramatically improves manufacturing or installation speed.  The application deadline is July 2, 2010. 

 (3) Marine and Hydrokinetic Technologies (MHK)

DOE is offering up to $39 million over four years for projects that will accelerate the technological advancement and commercial-readiness of emerging water-power technologies.  Eligible projects will produce renewable, cost-competitive electricity by harnessing the energy of waves, currents, tides, and free-flowing rivers, or energy stored in ocean thermal gradients. 

The agency will provide cost-shared funding to industry and industry-led partnerships to advance the technological and operational readiness of MHK systems and components.  The application deadline for this program is June 7, 2010. 

 DOE, USDA, and other federal and state agencies will continue to announce new funding opportunities for renewable energy development in the coming year, as agencies are still implementing the goals and programs lauded by Congress in the stimulus bill over a year ago.     

CLICK HERE TO LEARN MORE ON THE LOAN PROCESS.

David Scott and Geoffrey Williamson are associates in Brownstein Hyatt Farber Schreck’s Denver office where they focus on a variety of energy, water, environmental, and public lands matters. Mr. Scott and Mr. Williamson also have significant experience assisting clients obtain funding for renewable energy projects.