A government watchdog has been called upon by a leading Senate Republican, John Barrasso, to examine the recent $1.66 billion financing extended to Plug Power, Inc. (NASDAQ:PLUG), citing concerns about potential conflicts of interest and risks to U.S. taxpayers.
"Given the significant financial implications and the need to maintain public trust, a thorough investigation into the LPO's conditional commitment to Plug Power is essential to ensure transparency and accountability within the LPO," Barrasso wrote in the letter to Energy Department Inspector General Teri Donaldson made public Wednesday.
Last month, Plug Power received a conditional commitment from the Biden administration for $1.66 billion in loan guarantees to construct up to six facilities.
"Earlier this year, Plug successfully demonstrated our innovation and technical ability by launching the first commercial-scale green hydrogen plant in the country in Woodbine, Georgia. This loan guarantee will help us build on that success with additional green hydrogen plants," said Plug Power CEO Andy Marsh in a press release dated May 14.
Senator John Barrasso, the leading Republican on the Senate energy committee and a critic of the Energy Department loan program, has urged the agency's inspector general to scrutinize "any potential impropriety" by the program and its director, Jigar Shah, an experienced clean-tech entrepreneur, Bloomberg reported.
The report noted that the company's shares initially soared, reflecting its significance for growth plans, but they have since retraced much of those gains.
Expressing concern, Barrasso highlighted the relationship between Shah and a Plug Power lobbyist, purportedly described as Shah's "longtime friend."
He also questioned Plug Power's financial stability following a reported loss of over $1.3 billion in 2023.
According to Benzinga Pro, PLUG stock has lost over 29% in the last six months.
"It also appears that Plug Power only resolved its November 2023 going concern warning in March of this year," Barrasso said.
"Such significant losses raise questions about DOE's prior decisions to provide Plug Power with tens of millions of dollars in grants as well as DOE's conditional commitment to provide a $1.66 billion loan guarantee," Barrasso added.
As Republicans target the Energy Department's loan program, aiming to uncover a Solyndra-like failure in an election year, the letter underscores their scrutiny, Bloomberg added. President Biden's climate legislation granted the program substantial new loan authority, amounting to hundreds of billions of dollars.
Price Action: PLUG shares are trading lower by 6.21% to $3.02 at last check Wednesday.
參議院主要共和黨人約翰·巴拉索呼籲政府監管機構審查最近向Plug Power, Inc.(納斯達克股票代碼:PLUG)提供的16.6億美元融資,理由是擔心美國納稅人面臨的潛在利益衝突和風險。
巴拉索在週三公開的給能源部監察長泰瑞·唐納森的信中寫道:“鑑於重大的財務影響以及維持公衆信任的必要性,對LPO對Plug Power的有條件承諾進行徹底調查對於確保LPO內部的透明度和問責制至關重要。”
上個月,Plug Power收到了拜登政府的有條件承諾,提供16.6億美元的貸款擔保,用於建造多達六個設施。
“今年早些時候,Plug在佐治亞州伍德拜恩啓動了該國第一座商業規模的綠色氫氣工廠,成功展示了我們的創新和技術能力。這項貸款擔保將幫助我們在成功的基礎上再接再厲,建造更多的綠色氫能發電廠。” Plug Power首席執行官安迪·馬什在5月14日的新聞稿中說。
彭博社報道,參議院能源委員會的主要共和黨人、能源部貸款計劃的批評者約翰·巴拉索參議員敦促該機構的監察長審查該計劃及其董事、經驗豐富的清潔技術企業家吉格爾·沙阿的 “任何潛在的不當行爲”。
報告指出,該公司的股價最初飆升,這反映了其對增長計劃的重要性,但此後他們收回了大部分漲幅。
巴拉索表示擔憂,強調了沙阿與Plug Power遊說者之間的關係,據稱該遊說者被描述爲沙阿的 “長期朋友”。
他還質疑Plug Power的財務穩定性,此前據報道,Plug Power在2023年虧損超過13億美元。
根據Benzinga Pro的數據,PLUG的股票在過去六個月中下跌了29%以上。
巴拉索說:“看來Plug Power直到今年3月才解除了2023年11月的持續經營警告。”
巴拉索補充說:“如此重大的損失引發了人們對美國能源部先前向Plug Power提供數千萬美元補助金的決定以及美國能源部提供16.6億美元貸款擔保的有條件承諾的質疑。”
彭博社補充說,共和黨人將目標對準能源部的貸款計劃,旨在揭露選舉年中類似索林德拉的失敗,這封信強調了他們的審查。拜登總統的氣候立法授予該計劃大量新的貸款授權,總額爲數千億美元。
價格走勢: 截至週三收盤,PLUG 股價下跌 6.21%,至 3.02 美元。