Biden Administration Guarantees $72.8 Million Loan for Tribal Solar Project in California

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Biden Administration Guarantees $72.8 Million Loan for Tribal Solar Project in California
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The US Department of Energy announced a $72.8 million loan guarantee to finance a solar plus storage microgrid project on the Viejas Reservation in California. The project, supported by grants and investments from various sources, will provide the Viejas Band with renewable energy generation and storage infrastructure, benefiting their businesses and community services.

announced a $72.8 million loan guarantee to finance the development of a solar plus storage microgrid that will be located on the Tribal lands on the Viejas Reservation near Alpine, California. This project will be supported by a grant from the California Energy Commission, investments from U.S. Bancorp Impact Finance, and Starbucks.

“When President Biden and Vice President Harris say that every community deserves the opportunity to benefit from our clean energy future, they mean it,” said US Secretary of Energy Jennifer M. Granholm. “Thanks to game-changing new funding from the Investing in America agenda, DOE is making a first-ever announcement through our Tribal Energy Financing Program — reinforcing this Administration’s commitment to helping build stronger, more resilient Tribal and Indigenous communities.

The project supports President Biden’s Justice40 Initiative, which established the goal that 40% of the overall benefits of certain federal investments flow to disadvantaged communities that are marginalized by under-investment and over-burdened by pollution. Federally Recognized Tribes are considered disadvantaged communities.Alaska has become the latest US state to pass legislation approving community solar.

This comes at a crucial moment for Alaska’s energy transition. With growing concerns about methane gas suppplies, Alaskan utilities are looking to diversify their energy sources with renewables. Community solar also presents an opportunity to build a stronger and more resilient electric grid. The majority of Alaskans support solar energy development, but most have been unable to personally benefit from distributed renewable generation. Community solar stands to change that.

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