Property-assessed clean energy loan (PACE) programs
substantially grew in 2014. PACE programs allow investments in
energy-efficiency retrofits and distributed renewable generation to be paid
back through property taxes, which lowers the risk for both owners and lenders.
PACE programs can potentially open up a far larger swath of the
energy-efficiency market and are expected to grow even more in 2015.
While PACE is new to Michigan, it has been working
successfully in over 30 states. By eliminating one of the biggest barriers,
access to capital and financing, the program allows qualified property owners
to access 100 percent up-front financing using long-term loans in the form of a
‘special assessment property tax.’ This makes energy improvements and
efficiency significantly more affordable.
Since PACE projects qualify as an operating expense, owners
can finance improvements without incurring additional debt on their balance
sheet and while preserving capital and credit lines for core business
investments. Typical Energy Conservation Measures (ECM) financed by PACE
include insulation, certified energy audit and evaluation, energy control
systems, water use reduction or efficiency, solar PV energy systems and solar
thermal, wind and geothermal, and improved energy recovery systems.
PACE programs include substantial benefits. Benefits include
no charge to see if you qualify, no up-front costs, improved energy efficiency
that will pay off year after year, higher building value, and improved indoor
air quality which can result in improved productivity of people who work there.
With so many benefits and numerous ECM opportunities for people, it is easy to
see why PACE programs have seen such success in both residential and commercial
sectors.
For more information about PACE programs visit: http://www.pacenow.org/pace-programs/
Property-assessed clean energy loan (PACE) programs
substantially grew in 2014. PACE programs allow investments in
energy-efficiency retrofits and distributed renewable generation to be paid
back through property taxes, which lowers the risk for both owners and lenders.
PACE programs can potentially open up a far larger swath of the
energy-efficiency market and are expected to grow even more in 2015.
While PACE is new to Michigan, it has been working
successfully in over 30 states. By eliminating one of the biggest barriers,
access to capital and financing, the program allows qualified property owners
to access 100 percent up-front financing using long-term loans in the form of a
‘special assessment property tax.’ This makes energy improvements and
efficiency significantly more affordable.
Since PACE projects qualify as an operating expense, owners
can finance improvements without incurring additional debt on their balance
sheet and while preserving capital and credit lines for core business
investments. Typical Energy Conservation Measures (ECM) financed by PACE
include insulation, certified energy audit and evaluation, energy control
systems, water use reduction or efficiency, solar PV energy systems and solar
thermal, wind and geothermal, and improved energy recovery systems.
PACE programs include substantial benefits. Benefits include
no charge to see if you qualify, no up-front costs, improved energy efficiency
that will pay off year after year, higher building value, and improved indoor
air quality which can result in improved productivity of people who work there.
With so many benefits and numerous ECM opportunities for people, it is easy to
see why PACE programs have seen such success in both residential and commercial
sectors.
For more information about PACE programs visit: http://www.pacenow.org/pace-programs/