First deal closed with Longroad Energy. New products are key to meeting the bank’s environmental goals and meeting the growing needs of its customers.
US Bancorp Community Development Corporation (USBCDC) – one of the nation’s most active renewable energy investors – has introduced a debt product and completed its first loan. We are working with Longroad Energy on Three Corners Solar, a $200 million, 152 megawatt solar project in Kennebec County, Maine. The transaction, which also includes an investment in tax equity, marks an important milestone in expanding US Bank’s commitment to the environment and supporting its customers.
“We believe everyone has a role to play in creating a sustainable future and tackling climate change, and this expands our ability to do just that. For USBCDC: “The renewable energy market continues to grow, and this new product not only meets the needs of our customers and the industry, but also fulfills the environmental commitments that US Bank has made. helps you to.”
The USBCDC, the tax credit and community investment arm of the US Bank, has awarded renewable energy tax incentives to projects that provide clean energy options for U.S. homes, towns, and businesses through wind, solar, and other renewable energy projects. We invest in equity. Since 2008, the company’s investments have totaled more than $15 billion, bringing its total renewable capacity to 20.21 gigawatts. This is enough for him to power more than 3,800 homes. Adding loans means that their number will only increase.
Bill Gallagher, Director of Environmental Project Finance Lending at USBCDC, said: “Not only will it help us deliver on our own commitments, it will create an opportunity to support customers across the bank, from utilities to developers, in their transition to a greener economy.”
USBCDC has completed a $100 million loan and made an $80 million tax equity investment in the Three Corners Solar project. This is the bank’s fourth equity deal with Longroad and the first involving debt.
Tait Nielsen, Longroad’s vice president of project finance, said: energy. “U.S. Bank’s support in both tax equity and financing will enable Longroad to raise capital more efficiently and with greater confidence. I look forward to going.”
USBCDC account manager Rod Granados says Three Corners is a great first project to launch. New England is a strong market for solar and utility-scale projects. He has a long-term power purchase agreement with EDF Energy Services, LLC. “All technology for this project is also sourced domestically, avoiding recent supply chain issues and delays experienced by the industry,” said Granados. Expected to be completed in late 2023 or early 2024, it will be the largest solar project in Maine.
A new environmental project finance platform is also a key element in meeting the environmental commitments made by US Bank. Last November, we set a $50 billion environmental finance goal by 2030 to advance the transition to a low-carbon economy by funding more clients and projects with a positive environmental impact. I’m here. It also has a goal of net zero greenhouse gas emissions by 2050.
