8/2/2019 Summary of Credit Subsidy Fee Documents

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Summary of Credit Subsidy Fee Documents

The Credit Subsidy Fee documents are a series of three short (two- to three-page) letters from

DOE to Georgia Power, Municipal Electric Authority of Georgia, and Oglethorpe Power. In these letters,

DOE explicitly states the upper and lower bounds for the credit subsidy fee for each applicant. This fee,

however, is redacted under FOIAs trade secret exemption.

The credit subsidy fee, which must be paid by the applicants before receiving the loan

guarantees, represents the net present value of the estimated long-term cost to the U.S. government of

the loan guarantees. Remarkably, DOE claims that this fee was provided by the applicants themselves.