The KfW banking group, backed by the German government, recently dedicated $130 billion for low-cost loans to renewable energy companies and investments.

The money is meant to cement Germany’s place at the helm of the solar and renewable energy industry.

While the country already has more installed solar capacity than any other and has established itself as the heart of the industry where innovators and manufacturers are already conglomerating, this new development is designed to encourage even greater growth in the German solar industry.

“The program does not give equity,” said Tobias Rothacher, with Germany Trade & Invest. “It gives capital. This program is there to support the renewable energy industry.”

Rothacher and others from Germany Trade & Invest were in Dallas, Texas, for the Solar Power International conference Oct. 18 to 20.

They were advertising the availability of low-interest loans to companies, inventors and entrepreneurs looking to develop, commercialize, manufacture or sell new solar technologies in Germany.

“This program really adds to the attractiveness of Germany for investors,” Rothacher said.

The German government authorized its banking arm to set this money aside for cash infusions into a growing industry at a time when much of Europe struggles financially and when the German people are protesting the country’s impending need to bailout nearly bankrupt Greece.

Germany Trade & Invest’s presence at Solar Power International was a strong reminder that the European debt crisis doesn’t include the whole continent.

Germany is still healthy and eager to invest in renewable energy technologies like solar. The country decided earlier this year to abandon nuclear power and replace all of its power plants with renewable power sources.

Access to low-cost loans is key to growth in the industry, Roathacher said.

All of the loans will be orchestrated, and projects will be vetted by private banks, but the KfW funds will allow those private lenders the ability to make low-interest loans, Rothacher said.

“It’s not like a subsidy system,” he said. “If you have a good project, and you are the first one to get there and ask, you’ll get the funding.”

Pictured: Sonnenschiff, a german solar village, built by solar architect Rolf Disch.