Eligibility

Each of the three programs within the Loan Programs Office has its own eligibility requirements. Below is a general overview of each program’s requirements.

ATVM Eligibility

ATVM loans may be made to applicants who are technically and financially eligible to finance the cost of:

1. Reequipping, expanding or establishing manufacturing facilities in the United States to produce ATVs or qualifying components or
2. Engineering integration performed in the United States of ATVs or qualifying components.

In order to be technically eligible for an ATVM loan, an applicant must be either:

1. An automotive manufacturer satisfying specified fuel economy requirements or
2. A manufacturer of qualifying components.

In order to be financially eligible for an ATVM loan, an applicant must be financially viable without the receipt of additional federal funding for the proposed project.

Please see Section I of the “Updated Guidance for Applicants to Advanced Technology Vehicles Manufacturing Loan Program” for more information on general eligibility requirements.

If you are not eligible for the ATVM Loan Program, click here to learn about several other government programs that offer support for clean energy projects.

1703 Eligibility

The Section 1703 Loan Program authorizes loan guarantees made to support innovative clean energy technologies that are typically unable to obtain conventional private financing due to high technology risks. In addition, the technologies must avoid, reduce, or sequester air pollutants or anthropogenic emissions of greenhouse gases. Commercial technologies (i.e., technologies with more than three implementations that have been active for more than five years) are NOT eligible for the Section 1703 Loan Program.

Technologies LPO considers include:

• Biomass,
• Hydrogen,
• Solar,
• Wind and hydropower,
• Nuclear,
• Advanced fossil energy coal,
• Carbon sequestration practices/technologies,
• Electricity delivery and energy reliability,
• Alternative fuel vehicles,
• Industrial energy efficiency projects; and
• Pollution control equipment.

In order to be eligible for a Section 1703 loan, an applicant must:

• Be located in the U.S. (Foreign ownership or sponsorship of the project is permissible as long as the project is located in one of the fifty states, the District of Columbia or a U.S. territory);
• Employ a new or significantly improved technology that is NOT a commercial technology;
  • A commercial technology means a technology in general use in the commercial marketplace in the U.S. at the time the term sheet is issued by the Department;
  • A technology is in general use if it has been installed in and is being used in three or more commercial projects in the U.S. in the same general application as in the proposed project, and has been in operation in each such commercial project for a period of at least five years by the time the term sheet is issued; and
• Meet Davis Bacon requirements.

1705 Eligibility

The Section 1705 Loan Program authorized loan guarantees for certain renewable energy systems, electric power transmission systems and leading edge biofuels projects that commenced construction no later than September 30, 2011. The Section 1705 Loan Program expired on September 30, 2011. LPO will continue to actively monitor projects that previously received loan guarantees under the program, but no new loan guarantees will be issued under the Section 1705 program.

In order to be eligible for a section 1705 loan, an applicant must:

• Be located in the U.S.;
• Have begun construction on or before September 30, 2011;
• Meet Davis Bacon requirements; and
• Meet all applicable requirements of the Recovery Act.