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The Hawaii Green Infrastructure Authority said Thursday it is looking for proposals to use roughly $146 million of state loan money that has been left largely unused.
HGIA said it is seeking proposals for clean-energy projects to use the funds of the Green Energy Market Securitization program, or GEMS, which established loan options in 2015 where consumers and nonprofits could apply for financing of rooftop solar systems. HGIA is the state agency created to run GEMS.
Now HGIA is calling for proposals from clean-energy developers, financiers and other industry participants seeking to use the money for clean-energy projects.
State lawmakers approved the GEMS program in 2013 and raised $150 million in a November 2014 bond sale. The program had a goal of lending all the money for solar and other renewable-energy systems by November 2016.
After a year of offering loans for rooftop solar systems, only 12 have been installed — loaning only $385,000. To accomplish these results, the program has spent $21.5 million of ratepayers’ money.
Hawaii residents have made $6 million in interest payments to bondholders; paid $1.22 million to Goldman Sachs & Co. and Citigroup Global Markets Inc. for underwriting the bonds; spent $1.7 million on attorneys, accountants and rating agencies; paid $761,649 to California consultant Renew Financial; and covered about $188,000 in salaries to the executive directors overseeing the program.
HGIA said the failure of the GEMS program to lend more than a small fraction of its bond proceeds is due to changes in the solar marketplace.
HGIA said information on how to submit a proposal can be found on the GEMS website at gems.hawaii.gov. It said the solicitation will remain open as long as GEMS funds remain available.
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