US DOE provides US$72.8 million loan guarantee for Tribal solar-plus-storage project

Facebook
Twitter
LinkedIn
Reddit
Email
A solar project belonging to the Karuk Tribe in California.
The new project will consist of a 15MW solar project, with a co-located 70MWh battery energy storage system (BESS). Image: Office of Indian Energy Policy and Programs.

The US Department of Energy (DOE) has closed loan financing for a 15MW solar-plus-storage project to be built in California, on lands owned by the Viejas Group of Capitan Grande Band Mission Indians.

Indian Energy, a developer owned entirely by Native Americans, will develop the project for the band, which describes itself as a “sovereign government recognised by the US government”. The project will consist of a 15MW solar project, with a co-located 70MWh battery energy storage system (BESS), backed by a US$72.8 million loan guarantee provided by the DOE’s Loan Programs Office (LPO).

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

The money will be provided by a grant from the California Energy Commission and investments from US Bancorp Impact Finance and Starbucks and could total up to US$100 million.

“Amid surging energy demands, the Viejas Microgrid project is a win-win for the Viejas Band of Kumeyaay Indians and California’s clean energy goals,” said California senator Alex Padilla. “California Tribes deserve energy independence and security as they adapt to the climate crisis, and the Inflation Reduction Act (IRA) is making that priority a reality.”

While the DOE did not put a timeline on the project’s construction or commissioning, it noted that once the project is completed, members of the Viejas Band will purchase electricity generated at the project through a power purchase agreement (PPA) to “help operates various commercial businesses”. The investment is part of president Biden’s ‘Justice40’ initiative, which aims to deliver 40% of the “overall benefits” of federal investments, including those supported by the LPO, to “disadvantaged communities”, such as Native groups.

The DOE noted that across all of the LPO’s programmes, the department has received 211 applications for financing, totalling over US$295 billion.

The news follows advancements at other solar-plus-storage projects on Tribal land, including in the state of New Mexico. Such decentralised power generation and storage projects have emerged as an alternative means of supplying power as grid connectivity issues continue to plague the US, with figures from the Lawrence Berkeley National Laboratory (LBNL) suggesting that there was around 2.6TW of power generating capacity waiting for grid connections at the end of 2023.

2 February 2027
London, UK
Returning in 2027 for its 14th edition, Solar & Storage Finance Europe will bring together the brightest minds representing funds, banks, developers, utilities, government and industry across Europe and the UK on a programme that is solutions-focused from top to tail. The event is designed to enable leaders at the forefront of solar and storage investment and deployment in Europe to scale, learn and land themselves industry defining partnerships.

Read Next

Premium
November 13, 2026
As US voters backed data centre moratoriums in the midterms, this raises questions over solar PV's AI-linked growth in the years ahead.
November 13, 2026
Teraco has selected JA to deliver n-type solar PV modules to its 120MW Sediba solar PV project in Parys, Free State province, South Africa.
November 13, 2026
Rezolv Energy has announced its partners for the construction of Dama Solar, its 1.36GWp solar PV project in Arad County, western Romania.
November 12, 2026
Terra-Gen completes PV park in California, Duke Energy Florida plans four new solar arrays, and Altus Power acquires another 92 projects.
November 12, 2026
Investing in a portfolio that includes solar PV projects and BESS is a key tool to reduce exposure to price risk, according to Pexapark.
Premium
November 12, 2026
Module testing challenges, the role of BESS and the procurement landscape were key topics of conversation at PV ModuleTech Europe 2026.

Upcoming Events

Solar Media Events
November 24, 2026
Warsaw, Poland
Solar Media Events
February 2, 2027
London, UK
Solar Media Events
April 20, 2027
Istanbul, Türkiye