Energy Department announces $289.7 million loan guarantee for widespread VPPs

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The Department of Energy Loan Program Office (LPO) has announced a conditional commitment of up to $289.7 million to Sunwealth to finance Project Polo, a plan to deploy 1,000 solar and battery energy storage systems in a virtual power plant spanning 27 states. The project's aim is to create 3,700 jobs and avoid up to 4.07 million metric tons of carbon emissions over its lifetime by providing solar and storage solutions at commercial and industrial facilities. Sunwealth will be partnering with SYSO Technologies to manage the project as a virtual power plant.

Project Polo includes both behind-the-meter distributed energy resources and community solar projects, with an emphasis on commercial and industrial properties across the U.S. Sunwealth is committed to a Community Benefits Plan ensuring good-paying jobs, resident well-being improvement, and advancing the workforce. The company aims to deploy 20% to 50% of solar-plus-storage in disadvantaged communities, aligning with the Justice40 initiative's goals. The conditional commitment by the DOE signals the intent to finance the project pending completion of technical, legal, environmental, and financial requirements, as well as an environmental review.