U.S. Energy Secretary Steven Chu today announced the Energy Department finalized a $1.2 billion loan guarantee to Mojave Solar LLC for the development of the Mojave Solar Project (MSP). When complete, the 250MW solar generation project located in San Bernardino County, California will increase the nation’s currently installed concentrating solar power (CSP) capacity by approximately 50 percent. Abengoa Solar Inc., the project sponsor, estimates it will fund more than 900 construction and permanent operations jobs.
The Mojave Solar Project will avoid more than 350,000 metric tons of carbon dioxide annually and is anticipated to generate enough electricity to power more than 54,000 homes. An estimated 80 percent of total costs, including both capital equipment and labor, are expected to be sourced in the U.S. MSP will purchase all of the receiver tubes from a facility in New Mexico, the parabolic trough mirrors from a new facility in Arizona and other key equipment from different suppliers in several states across the country. The project is supported by a power purchase agreement with PG&E, one of the country’s largest electric utilities, to sell the energy produced by MSP for a 25-year contract period.
To date, the Department has issued loans, loan guarantees or offered conditional commitments for loan guarantees totaling nearly $40 billion to support more than 40 clean energy projects across the United States, including several of the world’s largest solar generation facilities, three geothermal projects, the world’s largest wind farm, and the nation’s first new nuclear power plant in three decades. (DOE)