Details seem to look good so far. . .

Here is the most fascinating part so far of the Bill that just got through Congress. Yes, I finally got through the overloaded server and downloaded it to my desk top. This little thing below may be bigger than I thought.

o Provides grants/(energy tax credit?) of up to 30 percent of the cost of building a new renewable energy facility to address current renewable energy credit market concerns.

Above is the summary: Here is what it actually says:

IN GENERAL.-For purposes of section 46, the qualifying advanced energy project credit for any taxable year is an amount equal to 30 percent of the qualified
investment for such taxable year with respect to any qualifying advanced energy project of the taxpayer.

Well SkunK, does it pertain to GERS????

You Decide:

"(A) IN GENERAL.-The term 'qualifying advanced energy project' means a project-
(i) which re-equips, expands, or establishes a manufacturing facility for the production of-

"(IV) property designed to capture and sequester carbon dioxide emissions, (BioReactor?)
"(V) property designed to refine or blend renewable fuels. . . (COES & NEXTDiesel & Sustainable Systems?)

Does BIG OIL get all the money?? NO.

"(B) EXCEPTION.-Such term shall not include any portion of a project for the production of any property which is used in the refining or blending of any transportation fuel (other than renewable fuels).

Is this a one time shot? NO.

"(C) PERIOD OF ISSUANCE.-An applicant which receives a certification shall have 3 years from the date of issuance of the certification in order to place the project in service and if such project is not placed in service by that time period, then the certification shall no longer be valid.

I BET GERS will not be selected!! Here is the Criteria - Although we may not score the highest in EVERY category, the SkunK sees no insurmountable roadblocks to a decent overall criteria score - do you?

"(3) SELECTION CRITERIA.-In determining which qualifying advanced energy projects to certify under this section, the Secretary- shall take into consideration only those projects where there is a reasonable expectation of commercial viability, and "(B) shall take into consideration which projects-
(i) will provide the greatest domestic job creation (both direct and indirect) during the credit period, "
(ii) will provide the greatest net impact in avoiding or reducing air pollutants or anthropogenic emissions of greenhouse gases,''
(iii) have the greatest potential for technological innovation and commercial
deployment, "
(iv) have the lowest levelized cost of generated or stored energy, or of measured reduction in energy consumption or greenhouse gas emission (based on costs of the full supply chain), and
(v) have the shortest project time from certification to completion.

I bet it will not start for YEARS! It already started . . .

(b) EFFECTIVE DATE.-The amendments made by this section shall apply to facilities placed in service after December 31, 2008.

It sounds good, but I bet not enough money to go around!!! Here are the numbers!

"(B) LIMITATION.-The total amount of credits that may be allocated under the program
shall not exceed $2,300,000,000.

I think that is $2.3 BILLION. . . To give you an idea on how much that is. GERS used to have a goal of 150M to finance 50mmgy in COES extraction. If we did that today and applied for 30% or $45 million in grants/(energy tax credits?), that would be less than 2% of the total amount available. I am not saying it is gonna happen. But I see no reason why at least a portion of our present and mid-term financing needs could not become facilitatable under this and/or another one of these economic recovery programs.

Seems to me that lenders might look at that 30% (energy tax credits?) as additional collateral in case of default. Lenders are afraid to lend. A thirty percent cushion should make 'em all start scratch'in where it itches and talk'ng like John Wayne again. . .

Good Hunting,
SkunK