Chu: DOE remains committed to loan guarantee program

Ethanol Producer Magazine
By Kris Bevill October 11, 2011

Despite being caught up “in the most disappointing kind of politics,” Energy Sec. Steven Chu said recently that the U.S. DOE and the Obama administration remain firmly committed to the department’s loan guarantee program.

“We want to make very clear to everyone, in the building and across the country that we will not back down from our commitment to this program and the crucial work it does,” Chu wrote in an email to loan program staff on Sept. 30.

The DOE’s Loan Program has come under intense scrutiny from Congress following solar panel manufacturer Solyndra LLC’s Sept. bankruptcy filing. The company received a $535 million loan guarantee from the DOE in 2009. Some members of Congress are now claiming that the agency did not fully vet the company and rushed its application. The DOE has staunchly disputed those claims and has released an infographic detailing Solyndra’s application process, which dates back to 2007.

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