The U.S. DOE has announced three solicitations for a total of $30.5 billion in loan guarantees for “advanced energy technologies that avoid, reduce, or sequester air pollutants or greenhouse gas emissions.” There are three solicitation areas: energy efficiency, renewable energy and advanced transmission and distribution technologies; nuclear power facilities, and “advanced nuclear facilities for the “front-end” of the nuclear fuel cycle.” “Loan guarantees from the Department will enable project developers to bridge the financing gap between pilot and demonstration projects to full commercially viable projects that employ new or significantly improved energy technologies,” Jeffrey F. Kupfer, the Acting Deputy Secretary of Energy, said.
The breakdown of the loan guarantees is this: $10 billion for energy efficiency, renewables and power transmission, $18.5 billion for nuclear power facilities, and $2 billion for so-called “advanced nuclear”. In a separate solicitation announcement expected sometime this summer, the DOE says it intends to offer “advanced fossil energy projects” up to $8 billion in loan guarantees.
– from www.lgprogram.energy.gov
The loan guarantee exists to enable small businesses with a viable business plan, but lacking security, to borrow money from approved lenders. To help get a business off the ground owners may need an injection of capital or cash to help grow their business once it’s established. For instance, they may want to buy or update equipment, move to bigger premises or expand their operation into new markets.
Nuclear technologies are more than 50 years old and mature. Then why still they are consuming more help from the government and producing less power(16% of total installed capacity.)?