1,000,000 for most applicants, but 500,000 for non-rate regulated gas and electric utilities
50% of financed project cost
The Alternate Energy Revolving Loan Program (AERLP) is administered by the Iowa Energy Center and funded by the state's investor-owned utilities.* The AERLP provides loan funds to individuals and organizations that seek to build renewable energy production facilities in Iowa. Loans from the AERLP were formerly not available to non-rate regulated utilities; however, [http://coolice.legis.state.ia.us/Cool-ICE/default.asp?category=billinfo&... S.F. 376] enacted in May 2009 amended the enabling statute to allow these entities to participate. Eligible renewable energy technologies include solar, biomass, wind and small hydro. Successful applicants will receive a single, low-interest loan that consists of a combination of AERLP funds and matching lender-provided funds.
The AERLP provides 50% of the total loan at 0% interest, up to a maximum of $1 million. Non-rate regulated electric and gas utilities are limited to 1 loan every 2 years with a maximum loan of $500,000. The remainder of the loan is provided by a lender at market rate. The maximum loan term allowed for the AERLP funds is 20 years. As the loans are paid back to the Iowa Energy Center, those funds are cycled back into the program and made available to new applicants.
Technical applications for projects with a total financed capital cost of $50,000 or less are reviewed on a continuous basis. Higher cost project are reviewed on a quarterly basis according to the following deadlines: Oct. 31, Jan. 31, Apr. 30 and July 31. As of May 2012, the AERLP has reportedly provided loans of more than $28.2 million in support of 193 renewable energy projects since its inception.
*''The loan fund was initially capitalized with a total of $5.9 million over a 3-year period of collections from the state's investor-owned utilities. In May 2009 S.F. 376 authorized an additional $5 million from the sale of state bonds for deposit into the fund. In April 2010 [http://coolice.legis.state.ia.us/Cool-ICE/default.asp?category=billinfo&... S.F. 2389] made a further appropriation of $5 million from the sale of state bonds for deposit into the fund.''