Imperial County approves loan extension for ethanol and power plant

California Ethanol & Power LLC will hope to bring alternative fuel and renewable energy to the state after the Imperial County Board of Supervisors approved an extension to a loan that was over $600,000.

Board members approved the measure 3-2 and District Supervisor Ray Castillo said it was a close vote because several were not on board with the approval.

“It’s taken so long to come online. The other concern is a lack of collateral for the loan and that’s understandable,” Ray Castillo said.

Having the facility would also help the state meet its zero carbon emissions goal, according to Castillo.

“Assisting on that is a big, big factor for them,” Castillo said.”This facility can help the state of California reach those goals. So not only is this good for the environment it’s good for the valley.”

With Imperial County having one of the highest unemployment rates in the state, the ethanol and power plant could bring 300 jobs to the valley.

“People working at this facility at the plant is only a fraction of the jobs that could be ultimately created once the project come online,” Castillo said. “Plus it gives an opportunity to open up and start developing the Keystone Industrial park.”

California Ethanol and Power LLC will now be paying an interest rate of $2,000 a month on the loan.

Larry Gilbert, Executive Vice President Agricultural Operations for California and Ethanol and Power LLC, said the road to get the project off the ground wasn’t easy.

“The main challenge has been getting the people, the engineer and the construction firms to give us a price that’s realistic to build the project,

Gilbert hopes the project will be fully financed later this fall.

“A lot of our time table depends on other people. So we cannot give you an exact date. But our projections are that by September maybe early September we should be able to have the project financed and that would be the financing to get the whole project up and running,” said Gilbert.

Castillo said that if the loan isn’t paid after the six months, another vote from the Board of Supervisors would be needed for another possible extension.