PACE Energy Finance Program Gets a New Chance
Starting today, the Property Assessed Clean Energy (PACE) program has a chance for revival. Moreover, over the next 60 days, a bipartisan coalition of business leaders, environmentalists, property owners, and policymakers can speak up. They can tell federal regulators why PACE makes both economic and environmental sense. Therefore, this is a critical moment to support clean energy financing.
Understanding the PACE Model
PACE programs run locally through towns or counties. Moreover, they let property owners finance energy efficiency upgrades or small-scale renewable projects. Homeowners pay back the cost in small amounts added to their property taxes over up to 20 years. In addition, participation is completely voluntary. Therefore, many homeowners save more on energy bills than they pay for the improvements.
Upgrades eligible under PACE include better insulation, efficient windows, upgraded heating and cooling systems, and solar panels. Moreover, this financing tool delivers clear benefits. It cuts energy use and saves money. Therefore, it helps build cleaner, more efficient communities.
Broad Support for the PACE Energy Finance Program
PACE earned support from many groups. Moreover, labor unions, Fortune 500 companies, and environmental organizations all backed it. Starting in 2008, over 27 states and the District of Columbia passed PACE-enabling laws. In addition, many municipalities began or prepared to launch local programs. Therefore, PACE was poised to deliver real economic and environmental results.
The 2010 Halt and Its Consequences
However, things changed in July 2010. Federal agencies ordered Fannie Mae, Freddie Mac, and major banks to freeze PACE financing. Moreover, this move stalled nearly all existing programs. As a result, millions in stimulus funds sat unused. Thousands of jobs vanished before work began. In addition, cities and states had to pause development plans and climate goals. Therefore, the freeze caused widespread frustration and legal battles.
A Chance to Revive PACE
Now, a court order forces the Federal Housing Finance Agency (FHFA) to restart the rulemaking process. Moreover, FHFA must post an “advanced notice of proposed rulemaking” and invite public comment for 60 days. This step turns back the clock on their earlier move. Therefore, supporters can share why PACE is vital for the economy, jobs, and the environment.
How to Get Involved
NRDC, PACENow, and many allies are rallying to make sure regulators hear from PACE supporters. Moreover, this is not another surprise move behind closed doors. Instead, the public now has a real chance to shape the future of PACE. Therefore, your voice matters.
For details on submitting comments and supporting PACE’s revival, visit PACENow and see the FHFA’s Federal Register posting. Make sure you speak up to help bring back this important tool for clean energy, the economy, and our communities!
FINALLY! My company can help get you a PACE loan (residential or commercial).
For more information on how PACE financing works and where it’s available, visit the U.S. Department of Energy and PACENation.
