Usec joins loan guarantee bidders

19 June 2007

[Usec, Reuters 15 June] Companies hoping to buildnuclear power plants in the USA have asked the Department of Energy to increase theportion of government-guaranteed project loans to 100% from 90%originally proposed in the Energy Policy Act 2005. The final figureshould be decided late this year. Some $9 billion could be available toguarantee up to 90% of a project's debt, as long as that debt does notexceed 80% of the total project cost. The measure is meant to encourageinvestment in new low-carbon power generation projects. However, Usec,a uranium enrichment company, has put forward its American Centrifugeplant as a possible 'pilot' loan guarantee project. "In addition tohelping Usec fund the plant's construction, the experience gained couldassist utilities later who apply for loan guarantees," said UsecPresident and CEO John Welch.

Further information


Department of Energy

WNN: Guarantees for $9 billion in clean-energy loans