DOE Completes Initial Loan Under Climate Law’s Tribal Program

TL/DR –

The US Department of Energy has announced the allocation of a $72.8 million loan guarantee to fund a microgrid on tribal lands in California. This microgrid, to be located in the Viejas Reservation, will incorporate a 15-megawatt photovoltaic solar system and a 70-MW long-duration battery system, providing the community with a reliable source of renewable energy. This initiative constitutes the first loan through the Department of Energy’s Tribal Energy Financing Program.

Department of Energy Closing $72.8 Million Loan for Tribal Lands in California

The Department of Energy (DOE) has confirmed the closure of a $72.8 million loan guarantee for a Tribal Energy Financing Program on tribal lands in California, drawing from the expanded funding pool provided by the 2022 Inflation Reduction Act.

This loan supports a microgrid for the Viejas Group of Capitan Grande Band of Mission Indians with a 15-megawatt photovoltaic solar system paired with a 70-MW long-duration battery system. The solar-plus-storage system is aimed at providing more reliable renewable energy to the Viejas Reservation. The reservation is approximately 30 miles east of San Diego in Alpine, California. The venture is also backed by Starbucks, U.S. Bancorp Impact Finance, and a grant from the California Energy Commission.

First Loan through DOE’s Tribal Energy Financing Program

According to the department’s Chief Investment Officer Chris Creed, this represents the initial loan through the DOE’s Tribal Energy Financing Program. Energy Secretary Jennifer Granholm affirms President Biden and Vice President Harris’s commitment to ensuring every community benefits from clean energy advancements.

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