1. The U.S. DOE’s Loan Programs Office has announced a $72.8 million partial loan guarantee for a solar and energy storage microgrid on Tribal lands.
2. The project, owned by Indian Energy and supported by the Viejas Band, will create jobs and benefit the community through lower energy costs.
3. The project is part of the Tribal Energy Financing Program, which supports Tribal investment in energy projects and is aligned with President Biden’s Justice40 Initiative.
The U.S. Department of Energy’s Loan Programs Office (LPO) has announced a conditional commitment for a partial loan guarantee of up to $72.8 million to finance the development of a solar and long-duration energy storage microgrid on the Tribal lands of the Viejas Band of the Kumeyaay Indians in California. This project, the first under the Tribal Energy Financing Program, will provide the Tribe with renewable energy generation and storage infrastructure to lower energy costs and redirect resources to community investments.
The Viejas Microgrid project includes a 15-MW solar PV system and a 38-MWh battery long-duration energy storage system. It is expected to create 250 construction jobs and eight permanent operations jobs, with a focus on hiring Tribal-, minority-, and veteran-owned contractors. The project supports President Biden’s Justice40 Initiative by ensuring benefits flow to disadvantaged communities, like the Viejas Tribal Lands.
This project demonstrates collaboration between state and federal resources for large-scale Tribal energy projects. The Tribal Energy Financing Program supports Tribal investment in energy projects, with changes in funding and loan authority made permanent by recent legislation. While the conditional commitment shows intent to finance the project, additional steps and conditions must be met before final financing decisions are made.