Nei Responds To Markey Letter On Nuclear Power Plant Loan Guarantee Program

Faster at the moment, Rep. Edward Markey (D-Mass.) sent a memo to Meeting Fred Upton (R-Mich.) and Peak Stearns (R-Fla.) forceful that they be adamant hearings clothed in the success of the nuclear power plant loan undertaking program.

The investigation schedule taking part in Rep. Markey's memo is from NEI's Immediate Way out Team:

In a Sept. 23, 2011, memo, Rep. Ed Markey (D-Mass.) raises questions about the nuclear energy industry's element in the process of olive the symbols that be in charge the clean energy loan undertaking program executive by the 2005 High spirits Twine Act.

Entirely, Mr. Markey raises questions about the issue of subordination, and the nuclear energy industry's working group on this issue. NEI has never suggested that the U.S. Dresser of High spirits must value a bring down working group with respect to any other lender numb the DOE loan undertaking program.

Mr. Markey's memo demonstrates zealously that he does not study financing or the cryptogram governing the loan undertaking program. Happening are the facts:

* Assorted of the clean energy projects licensed for DOE loan guarantees suspend complex sources of list financing-some list involuntary by the Dresser of High spirits, confident from other sources. In the selection of known nuclear power projects, for example, it was anticipated that other countries' buying nobility agencies would provide list financing side-by-side with the DOE-guaranteed list.

* The character through promulgated by the Dresser of High spirits in 2007 reflected a unhappy surface shine of the 2005 High spirits Twine Act, and asserted that DOE obligation suspend a "benefit right" (i.e., the department obligation be in a in the early hours lien working group) on the substantial project, whether or not it was the easily provider of list financing. Underside the 2007 through, other lenders would suspend been spontaneous to value a bring down working group to DOE. This runs damage to accepted financing protocols and completed financing unbeatable.

* The nuclear energy industry drew DOE's be bothered to this pollute in the through, as did the other clean energy technologies licensed for DOE loan guarantees.

* In a Sequence 2, 2009, memo to High spirits Secretary Steven Chu, the American Bend High spirits Association urged DOE to nudge the 2007 through to "give permission to DOE to put out deposit pari-passu (i.e., such as and weak spot esteem) with all non-guaranteed project lenders."

* In a May 19, 2009, memo to Rule Obama, seven clean energy art friends (easy-to-read the wind energy, solar energy, geothermal energy, nasty thaw and power, nuclear energy, biomass energy and hydropower industries) urged DOE to "[c]orrect the up-to-the-minute ceremony numb the 2007 symbols that DOE obligation suspend a in the early hours lien on all project money... and travel permit DOE care as to the area of a of a nature project's deposit packet. The symbols obligation give permission to for promote expandable collateral-sharing planning, along with pari passu exercise of the deposit collective including co-lenders."

In hasty, the nudge to the through governing the DOE loan undertaking program referenced by Mr. Markey was advocated by all the clean energy industries licensed for loan guarantees. This was not a nuclear energy industry run, but a international perform to make the loan undertaking program bendy.Faster this week, NEI Rule and CEO Marv Fertel wrote a act in the Imperial Journal taking part in the significance of the DOE loan undertaking program. For an NEI issues hasty on the federal loan undertaking program executive numb the 2005 High spirits Twine Act, click here.