The largest rooftop project in U.S. Project Amp has received one of the largest loan guarantees from US DOE to install solar panels on industrial buildings across the country. U.S. Energy Secretary Steven Chu announced that the Department of Energy is ready to offer a $1.4 billion partial loan guarantee to support Prologis and NRG Energy to install rooftop solar panels on company warehouses. The solar electricity will be distributed across the grid in contrast to the buildings where they will be installed. The funding for the project supported the 2009 stimulus bill will include installation of approximately 733 megawatts of photovoltaic (PV) solar panels which almost equals the total solar panels installed in the U.S. throughout 2010. DOE expects that the project will generate at least a thousand jobs over a four-year period.
According to a press release by the Department of Energy, Secretary Chu through his statement positively applauded the future results of the solar project will not only produce clean renewable energy for power grid electricity generation across the country, but it will also help confirm the Sunshot goal of accomplishing cost-competitive solar power with other forms of energy by the end of this decade. Also, with an increased number of jobs, global competitiveness in the clean energy race will receive a boost.
Project Amp aims to commission a wide distribution of solar power panels across 750 present rooftops owned by Prologis. The first phase of 15.4 MW installation in Southern California will be sponsored by lead investor NRG Energy. Solar power generated from Phase 1 will be sold to Southern California Edison. The project will be extended in its further stages with additional installation in the District of Columbia and across 28 states.
The solar power project will produce up to 1 million megawatts hours annually which is equivalent to supplying electricity to 88,000 homes. Besides, the project will also curb the release of 580,000 tonnes of carbon pollution annually. Bank of America Merrill Lynch, the lender-application submitted Project Amp’s application under the Financial Institution Partnership Program (FIPP).
The Department of Energy regularly offers loan guarantees for renewable energy projects intending to avoid or reduce greenhouse gas emissions. The loan guarantees also help companies attract buyers and investors for their projects. Including Project Amp, DOE has committed a total of $33 billion in partial loan guarantees to clean, renewable energy projects across the country of which $12 money has been sourced to solar generation projects. DOE sponsorship has produced nearly 29 million megawatts hours annually, enough to provide energy to over two million homes. Other than solar projects the Department of Energy has also supported geothermal, wind energy, and nuclear projects.