SolarCity US DOE loan approval fails

According to news reports, US-based  solar installation firm, SolarCity will not be able to complete and comply with documentation deadlines of September 30 to be considered for a US Department of Energy loan guarantee, previously announced.

Earlier this month, the DOE had made a conditional commitment for a partial loan guarantee to SolarCity for PV system installations on residential and other buildings at US military bases. The US$344 million loan would go towards 371MW of new solar power generation capacity.

The project, code named SolarStrong, will be led by SolarCity, with USRG Renewable Finance acting as lead lender in partnership with Bank of America Merrill Lynch.

Only last week, First Solar fell foul of the same deadline due to its inability to meet documentation deadlines.

The US DOE has come under the political spotlight since the collapse of CIGS thin film producer, Solyndra, and a loan of over US$500 million offered to the now-bankrupt company.