U.S. Treasury Secretary Tim Geithner and Energy Secretary Steven Chu have announced US$502 million in the first round of awards from an American Recovery and Reinvestment Act (Recovery Act) program that provides cash assistance to companies for clean energy projects in place of earned tax credits.
The new funding creates additional upfront capital, enabling companies to create jobs and begin construction that may have been stalled until now due to slow economic conditions.
Geithner said, "This renewable energy program will spur the manufacture and development of clean energy in urban and rural America, allowing us to protect our environment, create good jobs and revitalize our nation's economy."
Chu commented, "These grants will help America's businesses launch clean energy projects, putting Americans back to work in good construction and manufacturing jobs. The initiative will help double our renewable energy capacity over the next few years and make sure America leads the world in creating the clean energy economy of the future."
Created under Section 1603 of the Recovery Act, the program is expected to provide more than US$3 billion in financial support for clean energy projects by providing direct payments in lieu of tax credits. These payments will support roughly 5,000 biomass, solar, wind and other types of renewable energy production facilities in all regions of the country over the life of the program.
Around 2,000 jobs are estimated to have been created as a result of this first round of funding, primarily in construction and manufacturing related to the renewable energy industry.
The Treasury Department opened the application process for the 1603 program on July 31. Additional awards under the program will be announced in the coming weeks.
The new funding creates additional upfront capital, enabling companies to create jobs and begin construction that may have been stalled until now due to slow economic conditions.
Geithner said, "This renewable energy program will spur the manufacture and development of clean energy in urban and rural America, allowing us to protect our environment, create good jobs and revitalize our nation's economy."
Chu commented, "These grants will help America's businesses launch clean energy projects, putting Americans back to work in good construction and manufacturing jobs. The initiative will help double our renewable energy capacity over the next few years and make sure America leads the world in creating the clean energy economy of the future."
Created under Section 1603 of the Recovery Act, the program is expected to provide more than US$3 billion in financial support for clean energy projects by providing direct payments in lieu of tax credits. These payments will support roughly 5,000 biomass, solar, wind and other types of renewable energy production facilities in all regions of the country over the life of the program.
Around 2,000 jobs are estimated to have been created as a result of this first round of funding, primarily in construction and manufacturing related to the renewable energy industry.
The Treasury Department opened the application process for the 1603 program on July 31. Additional awards under the program will be announced in the coming weeks.
