Biden Administration Finalizes Financing for Rivian and Plug Power Amid Transition
Key Ideas
- The Biden administration is set to provide billions in financing to electric vehicle maker Rivian Automotive and hydrogen manufacturer Plug Power before the transition to the Trump administration.
- Plug Power will receive a loan guarantee of nearly $1.7 billion to build hydrogen plants crucial for its growth plans.
- Rivian is expected to receive a federal loan for the construction of a manufacturing plant in Georgia, with the exact amount close to the $6.6 billion commitment made by the Biden administration.
- The funding is part of the Energy Department's initiatives, facing potential threats from the incoming Trump administration, which may retool the finance programs to support fossil fuels.
The Biden administration is on track to finalize significant financing for Rivian Automotive and Plug Power, two key players in the electric vehicle and hydrogen markets, before the transition to the Trump administration. The Energy Department is expected to provide nearly $1.7 billion loan guarantee to Plug Power, based in Latham, N.Y., for the construction of essential hydrogen plants. Additionally, a federal loan for Rivian's manufacturing plant in Georgia is set to be closed soon, with the amount likely aligning with the $6.6 billion commitment previously made. This move comes amidst potential threats to the Energy Department's loan program under the upcoming Trump administration, which may shift the focus towards financing fossil fuel projects. The financing highlights the Biden administration's support for green energy initiatives and the growth of companies involved in the electric vehicle and hydrogen sectors.