Boston-based New Generation Energy (NGE), a nonprofit organization that aims to directly support community-based alternative energy projects, has announced that it will be launching the renewable energy investment note (REIN) program. The REIN program enables individuals, businesses and foundations to directly finance the creation of renewable energy and energy efficiency projects.
REINs are fixed interest, fixed term, debt notes that will be offered in denominations of $1,000 to more than $1 million. Proceeds from REINs will be used to provide loans that support renewable energy projects including, wind, solar, biomass and geothermal, and energy efficiency projects. The interest rates for these project-support loans may be as low as 3%, significantly reducing the cost of developing new renewable energy projects for nonprofits, municipalities and community-based, for-profit organizations, according to the organization.
NGE plans to launch the REIN program in 2009 in New England and New York. For this regional launch of the program, the company plans to sell $50 million REINs, enabling an equal level of support, through low interest loans, for financially sound, community-based renewable energy and energy efficiency projects. A national rollout of the REIN program will occur after the regional launch is completed.
SOURCE: New Generation Energy