Energy and Clean Tech Connections (January 2011)
1/13/2011
In the January edition of Energy and Clean Tech Connections, we’ve gathered recent information from a wide variety of sources in an effort to keep you abreast of what’s new in the world of clean energy. We draw your attention to the latest industry developments, news from local governments to Capitol Hill, grant opportunities, and upcoming events.
This month the Energy & Clean Technology Practice Group would like to congratulate Mintz Levin and ML Strategies client INEOS Bio for securing a $75 million loan guarantee from the U.S. Department of Agriculture’s 9003 Biorefinery Assistance Program. One unique aspect of the transaction is that it relies on an innovative bond program developed by Mark Riedy of Mintz Levin, John May of Stern Brothers, and John Kirkwood of Kreig DeVault.
The INEOS Bio loan guarantee is the first given covering a project that will utilize the bond finance route. This bond program is highly flexible and allows companies to borrow at a lower interest rate over a longer tenor than commercial debt. It is expected to open up a new and important channel of financing for the drive to commercial-scale biofuels. For more information on the bond program, please click here.
On Capitol Hill, with the beginning of the 112th Congress and the significant changes in the makeup of both the House and Senate, the Obama administration and Democratic leaders will look to collaborate with Republicans to advance clean-energy initiatives, such as a renewable-electricity standard, increased appropriations for various loan-guarantee programs, and the creation of a “green bank” to help support renewable-energy industries.
On the regulatory side, the EPA began to regulate greenhouse gas (GHG) emissions under the Clean Air Act on January 2, 2011. Under its new rule, companies that are large emitters of GHGs, and are planning to build new facilities or make major modifications to existing ones, must obtain air permits and implement energy-efficiency measures or, where available, cost-effective technology to reduce their GHGs emissions.
We hope that you enjoy this month’s edition of the newsletter. For the most up-to-date information on federal legislation and programs, please click here to find the most recent ML Strategies Energy and Environment Update. In addition, please click here to find our weekly California Energy and Environment Update, which provides reporting on energy- and environment-related legislative, regulatory, and legal issues in California.
