First Solar stated that it will not meet its federal funding program deadline for its big solar power facility in California. As a result, its shares came crashing down to their worst level in the last four years.
In response, the announcement that was made by First Solar has been highlighted by the Obama administration once again in its advocacy of solar energy. It has been the center if Republicans’ rage since the shutdown of Solyndra, a solar company that was situated in Silicon Valley. Solyndra has earned about $500 million worth of funding but still crashed down.
Last June, First Solar has acquired the approval of the U.S. Department of Energy for a loan that sum up to $1.9 billion. It will guarantee the establishment of the 550-megawatt Topaz plant. However, they said that it was not able to process all the needed documents under the loan program of the energy department before its September 30 deadline. Experts stated that the energy department’s effort to process the loan was burdensome and thorough than what banks suggested. It has set-up the Republicans’ claim that the Obama administration tends to hasten the approval of funding.