The board of directors of the Export-Import Bank of the U.S. (Ex-Im Bank) has approved an $80.32 million direct loan for the purchase of concentrating solar power (CSP) technology by Reliance Power Ltd. in Rajasthan, India.
The project company, Rajasthan Sun Technique Energy Pvt. Ltd., is a subsidiary of Reliance Power and is being co-financed by the Asian Development Bank and FMO, the Dutch development bank. The purchase will showcase a CSP technology known as compact linear Fresnel reflector (CLFR) from AREVA Solar Inc.
While accompanying President Obama on his trip to India in November 2010, Ex-Im Bank Chairman and President Fred P. Hochberg signed a $5 billion memorandum of understanding (MOU) with Anil Ambani, chairman of Reliance Power. The MOU proposed the purchase of 900 MW of renewable energy generating equipment. Since then, Ex-Im Bank has financed $760 million in three Reliance Power renewable energy transactions supporting 165 MW of solar, as well as other projects.
In addition to AREVA Solar Inc., U.S. companies potentially involved in the transaction include E.I. DuPont de Nemours and Co., Clifford Chance Rogers Wells LLP, 3M Co., Sika Corp., CCI Corp., Certainteed Corp., Huck International Inc. and Weed Instrument Co. Inc.