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Financing Clean Energy

Introduction

Upgrading a chiller, installing a solar photovoltaic system, undertaking a deep whole-building retrofit—all these projects require large upfront investments, followed by long term paybacks through energy bill savings. Capital budgets may not allow for such large expenditures. The organization may be reluctant to take on debt, and lenders may balk at putting up the cash. Several new clean energy finance structures are emerging, however, that allow owners to plant the seeds of efficiency without going out on a limb.

Articles
DEEP Program Creates Incentives for Whole-Building Retrofits

DEEP Program Creates Incentives for Whole-Building Retrofits

Today’s energy efficiency incentives from utilities and governments support single measures and technologies and do little to encourage complete building retrofits that save much more energy. Under a proposed Deep Energy Efficiency Pays (DEEP) program, utilities could offer incentives based on the measured performance of entire commercial, institutional and industrial buildings. The program would benefit all three key groups of stakeholders: utilities, building owners, and third-party efficiency service providers.

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Financing Energy Efficiency in Existing Building Retrofits and International Policy

Financing Energy Efficiency in Existing Building Retrofits and International Policy

Energy efficiency policy in recent years has returned to the full attention of Governments as the financial crisis forces focus on cost efficiency measures to help building owners save and reduce emissions. In a recent paper developed by the Climate Strategy & Partners Group, policy initiatives underway in the U.S., U.K. and Spain are explored.

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Major U.S. Cities to Launch Commercial PACE Programs

Major U.S. Cities to Launch Commercial PACE Programs

Several major U.S. cities are set to launch programs and test whether PACE can be a scalable solution for local governments looking to increase efficiency upgrades in the private sector. Achieving scale may take some time, and large scale adoption of PACE will rest in part on an ability to pool individual assessments and those of multiple programs to create a PACE asset class among investors.

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Institute for Building Efficiency Welcomes Peter Sweatman

Institute for Building Efficiency Welcomes Peter Sweatman

Peter Sweatman, Chief Executive of Climate Strategy & Partners, a strategic consultant in Clean Energy, Clean Technology, Energy Efficiency and Climate Change Strategies, is the newest member of the Institute for Building Efficiency Network of Experts in Europe.

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Driving Efficiency Through Innovative Financing: Diversey’s Model

Driving Efficiency Through Innovative Financing: Diversey’s Model

A recent article published by the GreenBiz Executive Network explores how organizations seek innovative financing mechanisms and models to enable energy efficiency within their building portfolio, as many cite lack of available capital as a large barrier to implementing efficiency projects.

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Energy Saving Certificates: Trading the way to Efficiency

Energy Saving Certificates: Trading the way to Efficiency

Tradable energy savings certificates driven by government programs can help boost global demand for energy efficiency improvements. Programs in place or taking shape around the world show best practices that can help the ESC market grow, saving fuel and reducing greenhouse gases.

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Institute for Electric Efficiency Releases Energy Efficiency Survey Results

Institute for Electric Efficiency Releases Energy Efficiency Survey Results

The Consortium for Energy Efficiency, in coordination with the Institute for Electric Efficiency and the American Gas Association collected industry-wide data on ratepayer-funded energy impacts, expenditures, and budgets for energy efficiency programs from utility and non-utility administrators in the U.S. and Canada. The full results of this joint data collection were released by CEE in December 2010.

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Commercial Building Energy Retrofits: PACE Financing Could Help Unlock a $12 Billion Annual Market

Commercial Building Energy Retrofits: PACE Financing Could Help Unlock a $12 Billion Annual Market

Property assessed clean energy (PACE) financing would remove traditional barriers to energy efficiency retrofits in commercial buildings – unlocking a new market, creating jobs, cutting energy usage across the nation’s building stock, and reducing greenhouse gas emissions. Here’s a look at policy prescriptions and best practices that can help commercial PACE flourish.

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Achieving Energy Efficiency: Interview with Clay Nesler

Achieving Energy Efficiency: Interview with Clay Nesler

VP Global Energy & Sustainability for Johnson Controls, Clay Nesler speak to the need to expand the scope of building retrofits, increase scale and financing, the importance of measuring and demonstrating value and other perspectives on trends around the world.

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Reduce CO2 Emissions in Europe: Interview with Armin Mayer

Reduce CO2 Emissions in Europe: Interview with Armin Mayer

Program Manager, Armin Mayer discusses a number of measures recently adopted to reduce CO2 emissions in the EU through building efficiency and innovative ways to achieve energy goals including performance contracting and financing policies.

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Allocating Capital for Energy Efficiency in Corporate Budgets

Allocating Capital for Energy Efficiency in Corporate Budgets

Decades of experience show that investments in energy efficiency projects in buildings carry low risks and bring a strong return on investment, especially when undertaken in energy savings performance contracts. Now is an opportune time to invest in energy efficiency to save money, reduce greenhouse gas emissions, and demonstrate environmental responsibility.

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Property-Assessed Clean Energy Financing: Alive and Well in the Commercial Sector

Property-Assessed Clean Energy Financing: Alive and Well in the Commercial Sector

Proposed changes in accounting standards that affect the off-balance-sheet treatment of leases could seriously chill the market for energy efficiency retrofits in buildings, especially in the private sector. Here is a look at the proposed changes, their impacts, and the steps that should be taken to address the accounting standard changes and keep off-balance-sheet funding mechanisms available to building owners.While property-assessed clean energy (PACE) financing has stalled in the residential sector, the concept remains viable for commercial buildings. It has support from property owners and lenders alike, enabling legislation is in place in 25 states, and interest is spreading to other countries.

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Melbourne’s New Environmental Upgrade Agreement

Melbourne’s New Environmental Upgrade Agreement

The City of Melbourne has launched a clean-energy retrofit financing program similar to the PACE model used in the United States. Targeting larger commercial property owners and focusing on major renovations in portfolios of properties rather than single buildings, it is part of a 1200 Buildings Program that is projected to create up to 8,000 green jobs and generate up to $2 billion of private-sector investment over 10 years.

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Protecting the Market for Energy Efficiency Retrofits – Mind the GAAP

Protecting the Market for Energy Efficiency Retrofits – Mind the GAAP

Proposed changes in accounting standards that affect the off-balance-sheet treatment of leases could seriously chill the market for energy efficiency retrofits in buildings, especially in the private sector. Here is a look at the proposed changes, their impacts, and the steps that should be taken to address the accounting standard changes and keep off-balance-sheet funding mechanisms available to building owners.

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New Financing Models Overcome Capital Barriers to Energy Efficiency

New Financing Models Overcome Capital Barriers to Energy Efficiency

Several financing structures are emerging to offer clean energy capital to property owners in pursuit of energy efficiency, water efficiency, and distributed renewable energy projects. With these new models, property owners can roll out efficiency projects without turning over the bankroll.

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PACE:  Providing Owners with Opportunities Through Tax Lien Financing

PACE: Providing Owners with Opportunities Through Tax Lien Financing

Property assessed clean energy (PACE) financing attaches financing payments to a property’s tax bill. Doing so overcomes several well-documented market barriers to the adoption of cost effective energy efficiency retrofits in buildings. PACE finance programs are spreading across the U.S. as more states give local communities the green light to create programs.

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Third Party Ownership: Getting the Benefit without Buying the Equipment

Third Party Ownership: Getting the Benefit without Buying the Equipment

Does a property owner care who owns the solar array on the roof, so long as it provides clean energy to the building? Third party ownership structures help property owners soak up efficiency project benefits without buying the goods.

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Energy Efficiency for All: Clean Energy Financing in Developing Nations

Energy Efficiency for All: Clean Energy Financing in Developing Nations

Getting clean, reliable energy to more people in developing economies is a challenge. Innovative financing programs helps launch efficiency projects and distributed renewable generation to meet the need.

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