For Immediate Release: April 15, 2010
Media Contact: Susanne Garfield - 916-654-4989
Loan Applications for Clean Energy Business Financing Program Available
California Clean Energy Manufacturers May Receive Up to $5 million
SACRAMENTO - The California Energy Commission today released the applications for the Clean Energy Business Financing Program (CEBFP) making available more than $30 million in low-interest loans to eligible California clean energy manufacturing businesses. The CEBFP will use American Recovery and Reinvestment Act (ARRA), State Energy Program (SEP) funds for 2.75 percent interest rate loans to private companies to reduce energy use, increase renewable energy generation, and create and retain California jobs.
"What these clean energy entrepreneurs require is affordable capital - private and public funding that keeps jobs and manufacturing in California and strengthens the state's economy," said California Energy Commission Chairman Karen Douglas "These low interest loans will help manufacturers to produce their renewable or energy efficient products, benefiting Californians and recouping some of our state's lost manufacturing jobs."
The Energy Commission is working with the California Business, Transportation and Housing Agency, and four Financial Development Corporations (FDCs) located statewide that will evaluate applicants' financial qualifications and manage the loans. The participating FDCs are Pacific Coast Regional Small Business Development Corporation and San Fernando Valley Small Business Financial Development Corporation in Southern California, State Assistance Fund for Enterprise, Business and Industrial Development Corporation (SAFE-BIDCO) in Northern California, and Valley Small Business Development Corporation in San Joaquin Valley.
Loans to qualifying applicants will range from $50,000 to a maximum of $5 million and may be used to expand existing or retool facilities or the manufacturing of eligible energy efficiency or renewable energy products, components, systems, and technologies. Loan funds are also available to successful applicants for projects generating either new production or expanded production of biomethane gas from biomass that is direct-injected into natural gas transmission lines.
Successful applicants will meet program requirements as well as lending qualifications. Projects must demonstrate program success, leverage other project funds, demonstrate profitability, and show California job creation and/or retention.
To be considered for review, all applicants must submit their completed applications to the California Energy Commission by 5 p.m. on May 6, 2010.
The CEBFP Announcement, Application, Application Instructions, and participating FCD are available on the Energy Commission www.energy.ca.gov/recovery/cleanenergy.html or the FDC websites.
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