Pennsylvania Energy Development Authority (PEDA) - Loans and Loan Guarantees

Summary

Note: As of June 15, 2007, the PEDA solicitation has closed, but future funding may become available in Spring of 2008. For more information on future funding opportunities, see the program website or the Department of Environmental Protection's newsletter. The Pennsylvania Energy Development Authority (PEDA) issues funding solicitations to support advanced energy research and deployment projects, and to assist businesses interested in locating or expanding advanced energy operations in Pennsylvania. This program offers a combination of grants, loans and loan guarantees to support in-state projects, manufacturing or research involving solar energy; wind; low-impact hydropower; geothermal; biologically-derived methane gas, including landfill gas; biomass; fuel cells; coal-mine methane; waste coal; integrated gasification combined cycle, and; demand management measures, including recycled energy and energy recovery, energy efficiency and load management. PEDA jointly administers the loan program with the Pennsylvania Department of Community and Economic Development (DCED). Loans awarded under this program have had a maximum term of 10 years, or the life of the asset, whichever is less. The interest rate on PEDA loans is 50% of the prime interest rate (as specified by Bloomberg), but no less than 3.25%. Loan guarantees for corporations, partnerships and other legal business entities have also supported by this program. Loan terms are determined by the lending institution, and they have had a loan guarantee maximum of $500,000. PEDA was established in 1982 to promote applied energy research, provide financial incentives for the deployment of clean, alternative-energy projects and promote investment in Pennsylvania's energy sector.