The state of California has launched a clean energy program called PACE.
Many commercial property owners across 140 cities across California will be able to upgrade energy and water products with no upfront cost. The program will be the largest property energy program in the United States.
The program is called California First and is managed by the CSCDA (California Statewide Communities Development Authority).
The program is accessible to residential, office, industrial and retail properties across nearly 126 cities across California.
Some of the eligible improvements include:
- HVAC Systems
- Wind Turbines
- Fuel Cells
- Rooftop PV
- Greywater Systems
- Low Flow Plumbing Fixtures
In order for financing to be approved, the projects must be worth more than $50,000 dollars. Many property owners see the main benefit as no upfront cost is needed in order to properly install the upgrades. If there is a water or energy saving opportunity, the property owner can pursue financing as a contract is made with the CSCDA. There is also a stipulation tied with the contract as the cost of the improvement is paid through the annual property tax over a time period of 20 years. If the building is sold than the PACE contract will stay connected to the property.
Many of the projects will be funded through private capital such as bond issuances. The municipal bonds will ultimately be issued by the California Statewide Communities Development Authority. The PACE program has received many energy and solar projects which are ultimately backed by nearly $250 million dollars in private capital. The state of Connecticut also has a PACE program as Governor Malloy recently signed the bill authorizing the legislation. A Senior Advisor for Clean Energy elaborates on how the PACE program will be officially launched by the end of 2012.
The demand for energy efficiency projects is nearly endless in the state of California. Billions of dollars in projects are still awaiting approval across the United States.