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Call for PACE clean energy programs across New York State

A coalition of companies and lobby groups has called for the state of New York to adopt a property tax-based clean energy incentives scheme.

The call comes after the US Department of Energy awarded the state $40 million this week towards energy efficiency and small-scale renewable energy projects.

The funding will go towards proposed Property Assessed Clean Energy (PACE) programs in New York City and 14 northern Westchester towns.

However, New York State law allows PACE programs only if they are federally funded. The coalition of pressure groups and clean energy firms want to see the state making funding available for PACE programs.

Already being used in states like California and Florida, and soon to be used across Louisiana (see this BrighterEnergy.org story), PACE programs allow homeowners to install renewable energy systems with little or no up-front costs.

There’s no reason to restrict the programs to municipalities receiving federal funds” - Shaun Chapman, Vote Solar

The programs work like a long-term loan, except that regular repayments are made via an extra addition to a building’s property taxes.

If the property in question is sold, the new owners will continue paying the higher property tax rate including the energy system repayments until the agreed term has been completed.

The extra repayments are often offset by energy savings from the equipment as well as the enhanced value of the property because of the clean energy improvements.

“We need innovative tools like PACE financing to help our communities save money, conserve our resources and improve our neighborhoods,” said Lee Roberts, Su pervisor of the Town of Bedford, which is leading the PACE program for 14 Northern Westchester Energy Action Consortium towns.

Coalition

The coalition of nearly 30 industry, environmental, academic and governmental organizations said New York State should amend its legislation to allow all cities, counties and towns in the state access to PACE programs.

Shaun Chapman, Director of East Coast Campaigns for Vote Solar, said: “PACE is a powerful tool for driving green job growth and making real progress in the fight against climate change. We want to see all New Yorkers have access to the many benefits of these clean energy finance programs.”

“There’s no reason to restrict the programs to municipalities receiving federal funds. I look forward to working with New York’s lawmakers to make a quick legislative fix that unleashes PACE’s full potential.”

Coalition members include Aeon Solar, Earth Kind Energy, Hudson River Sloop Clearwater, Inc., Hudson Valley Clean Energy, Johnson Controls, Inc., Jones Lang LaSalle Incorporated, Renewable Funding, Siemens Building Technologies, Inc., Simon Property Group, Inc., SOLARgeneration, Inc., Sollega, SunPower Corporation and Sustainable Energy Partners.

It also includes the Alliance for Clean Energy New York, Citizens Campaign for the Environment, Building Performance Contractors Association, Environmental Advocates New York, Environmental Defense Fund, Natural Resources Defense Council, New York League of Conservation Voters, New York Solar Energies Industry Assoc., New York Solar Energy Society, Pace Energy and Climate Center, PACENow.org, Renewable Energy Long Island, The Solar Alliance, Sustainable Hudson Valley, and the Vote Solar Initiative.

Jeffrey Tannenbaum, founder of PACENOW.org, said: “The initial NY PACE programs and DOE funding are the catalysts for a state wide roll-out of PACE finance which will accelerate deep building retrofits in New York’s dense cities, energy efficiency improvements in the suburban housing stock and colder upstate climate, and both efficiency and renewable energy power improvements across the commercial real estate sector.”

http://votesolar.org/explanation-of-pace/