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USDA loan guarantees support biomass power plants

By Erin Voegele | November 01, 2012

Earlier this month the USDA Rural Development provided three biomass power plants with loan guarantees under its Rural Utilities Service. An 11.5 MW biomass power plant under development by Eagle Valley Clean Energy LLC in Colorado was awarded at $40 million loan guarantee, the Green Energy Team LLC in Hawaii was awarded a $72.88 loan guarantee for a 7.5 MW facility, and the East Texas Electric Cooperative Inc. received a $151 million loan guarantee to support the development of a 50 MW plant.

The Hawaii group, which represents the biomass project given the most support in this round of funding, is working to develop a woody biomass facility on Kaua’i Island. Construction on the plant is scheduled to begin in early 2013, with startup in 2014. Deutshe Bank is proving the project financing.

According to Green Energy Team, the plant will cost $90 million to build. Once complete it will provide more than 11 percent of the island’s energy needs, which is enough to power 8,500 households and replace 3.7 million gallons of oil use.

In a document outlining the project and loan guarantee award, the Green Energy Team stresses the importance of projects like this in generating renewable energy, and providing local economic development opportunities. Overall, the project is expected to generate 200 construction jobs, 39 permanent operating jobs, as well as work for subcontractors and local service providers.

As the seemingly endless 2012 election season finally draws to an end, keep projects like this one in mind. While political ads are often full of rhetoric about the ineffectiveness and overreach of government, it’s important to remember that not all government programs are worthless. Some government entities, like USDA Rural Development, play important roles in the continuing development of our industry; in this case as a component of its goal to create and enable a more prosperous and productive rural America. 

 

1 Responses

  1. Michelle

    2012-11-10

    1

    I give out loan to Business Men and Women who are into Business transaction, I give out long term loan for three to five years mauimxm with your interest in this you can as well tell me the amount you need so that I send to you the terms and condition that is if you are really interested in getting a loan from me, Loan is given out in Pounds Sterling ( a3 ) and $US Dollars the mauimxm I give is 5,000,000 both in Pounds Sterling ( a3 ) and $US and the minimum 5,000 Pounds Sterling ( a3 ) and US$ so if really you are interested mail for more info on how the loan can be transferred to you.There is one Question I have to ask are you a serious individual that we take a loan and pay back after duration with the interest, if you are honest I will trust you because I like to do business with Honest people if you are one you will get the loan with out problem and for your information if you should want more loan like $50,000,000m I can give only if you are one of these categories: Manager of a company A private Holder A broker in banks A director in any office or company A high investor of a company If you are one of the following you can get $50,000,000US as loan or if personal loan you can request for 5,000-5,000,000 as loan. Hope to hear from you soon. Name InFull: ___________________________________Occupation: ____________________________Country: _______________________________State: _________________________________City: __________________________________Zip code: _____________________________Phone Number: ________________________Sex: __________________________________Send these info it is important. Mind you loans are given to every part of the world only if I see you to be honest and will pay back after duration. If you are interested you have to send the amount you need as loan so that I can give you the terms and condition on the loan for your information loan are given to every part of the world to honest people.You can contact me vai email:

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