Bloomberg the Company

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Follow Us

Industry Products

U.S. Bancorp, East West Bank Fund Borrego Solar-Energy Systems

Don't Miss Out —
Follow us on:

Feb. 14 (Bloomberg) -- U.S. Bancorp and East West Bancorp Inc. created a $47 million fund to finance renewable-energy projects that Borrego Solar Systems Inc. will install in California and Massachusetts.

The fund will be used to build 14 systems with direct current generating capacity of 11 megawatts, Bill Bush, chief financial officer of Berkeley, California-based Borrego, said by e-mail.

Borrego’s customers buy the electricity from systems it installs through a financing arrangement known as a power purchase agreement. The structure eliminates the need to pay upfront installation costs, and the power is bought at a fixed monthly rate that’s lower than a typical utility bill, according to the company.

Banks or other investors, including utilities, that create installation funds can take advantage of a 30 percent investment tax credit for solar energy.

U.S. Bank and East West Bank created a similar $46 million fund for Borrego in June and provided $56 million in project financing prior to that.

To contact the reporter on this story: Andrew Herndon in San Francisco at aherndon2@bloomberg.net

To contact the editor responsible for this story: Reed Landberg at landberg@bloomberg.net