 |
 |
 |
 |
|
 |
 |
|
 |
|
More Sample Grant Proposals |
Sample Grant Proposal: Low-Income Wind Energy Project
9
Establish status of transmission interconnection .
Determine whether any facilities construction is necessary.
Establish amount of available or reserved capacity.
Northwest SEED will provide technical assistance in all areas above.
Construction
(NOTE: REACh funds will not be used for construction, but only for staff time to secure
financing that will in turn pay for construction.)
Identify size and number of turbines.
Obtain turbines from manufacturer: Project partner Western S.U.N. (see Appendix J for
Memorandum of Understanding) will assist Coastal CAP in obtaining turbines and related
equipment at a discount. Western S.U.N. uses the purchasing power of its members (which
include PUDS, electric co-ops, and municipal utilities) to acquire and implement renewable
technologies at the lowest possible cost through market aggregation.
Prepare site: Lay down access roads, turbine foundations.
Install turbines.
Connect to “the grid”: Make connection to transmission lines.
Northwest SEED will provide technical assistance in identifying the appropriate turbines and
choosing a construction firm.
Financing
(NOTE: REACh funds will not be used for financing, but will be used to write grants, negotiate
loans, request bonds and pursue other financing mechanisms listedbelow and in Section II (c)
Holistic Program Strategies.)
Grant-based financing: This is the preferred method of financing. Potential grantors include
private foundations such as the Energy Foundation, and government entities such as the
Department of Energy.
Bond financing: Depending on final location of the project site, Coastal CAP may approach
the County of Grays Harbor, Grays Harbor PUD, and/or the cities of Aberdeen and Hoquiam
to sponsor a bond to cover upfront costs of the project, to be paid back with revenues
generated over the life of the power plant.
Loan-based financing: Potential sources include commercial banks. This is not a priority
resource because energy-generation projects are looked at sceptically since the Enron
bankruptcy. Also, renewables projects are seen as riskier than traditional power plants (e.g.,
natural gas fired turbines), with a proportionately high interest rate.
Sale of “Green Tags”: Green tags, also known as tradeable renewable energy credits (trc’s),
provide a way to buy and sell the environmental attributes of renewable generation separately
from the electricity generated. A market currently exists for green tags with wind power
valued at from 1 to 4 cents per kWh.
Power Purchase Agreements/Low-Income Credits
Enter into firm contract for sale of electricity generated: Grays Harbor PUD is eager to
purchase up to 6 MWh of power.
