The Export-Import Bank of the United States (Ex-Im Bank), has declared that it is sanctioning a $9.2 million long-period loan to Loveland, Colorado, located Abound Solar to sustain the export of its thin-film solar PV modules to Punj Lloyd Solar Power, an Indian company.
In the first nine months of 2011 fiscal year up to 30th June Ex-Im Bank has sanctioned around $1.4 billion as financing support for 173 transactions (including the present one) to assist export from the USA to India. The loan sanctions will support over 10,000 job positions in the USA.
In the transaction related to Punj Lloyd Solar, the thin film solar modules exported by Abound Solar will be utilized for building a 5 MW solar power project over a 62.5 acre land close to the village of Bap, a place located around 145 km away from Jodhpur city in Rajasthan, state of India. The project is one among the firsts that are formulated under India’s Jawaharlal Nehru National Solar Mission. The mission aims to achieve 20,000 MW solar installations by 2022.
Ex-Im Bank happens to be the first global financing institution to sanction loan for solar projects performed under the National Solar Mission of India and the first to use the solar power policy of the state of Gujarat. During the 2011 financial year, the bank has sanctioned loan for four solar projects in India valued at around $75 million. In the pipeline, the bank has around $500 million worth solar projects in India anticipated to produce 315 MW of solar electricity.
The repayments for the 18-year loan will be made from the income generated by selling the power produced from the project to NTPC Vidyut Vyapar Nigam( NVVN) , an auxiliary of National Thermal Power Corporation of India. The government of India has sanctioned special power price inducements through NVVN