Energize Delaware and New Castle County officials announced the launch of an initiative that will allow commercial and industrial property owners to finance energy-efficient and clean energy projects.
Projects that qualify under the statewide Delaware Property Assessed Clean Energy (D-PACE) program will be financed through a voluntary assessment on property tax bills similar to a sewer or other benefit assessment.
D-PACE will use private capital to finance all projects; no taxpayer dollars will be used to finance projects. Additionally, projects must be located in a specific county that has opted into the program to be eligible for PACE financing. New Castle is the first county to opt-in. Complete background information is available at www.delawarecpace.org.
“The D-PACE program will be good for the economy and good for the environment,” said New Castle County Executive Matt Meyer. “This initiative will encourage green investment in our county, including solar, wind and geothermal energy production. In addition, it will help put people to work, while reducing carbon emissions and saving money.”
D-PACE is designed to help qualifying commercial, industrial, agricultural, nonprofit and multifamily (with five or more units) property owners access long term financing for the installation of qualifying energy improvements.
Improvements may include any construction, renovation or retrofitting of energy-efficient technology, clean energy systems, or qualifying waste heat recovery technologies that are permanently fixed to qualifying commercial property.
D-PACE financing is provided by private capital providers in an open market. The financing is secured through a voluntary benefit assessment and assignable lien that is levied against the owner’s property.
The financing term is based on the useful life of the improvements and can extend up to 25 years. The financing can cover up to 100 percent of a building’s project cost and often requires no money down. In many cases the project’s annual energy savings will outweigh the annual payments, creating positive cash flow for the owner.
“As we worked to develop the PACE program for Delaware, we placed a particular emphasis on minimizing the administrative hurdles that a county or businesses would face,” said Tony DePrima, Executive Director for Energize Delaware. “The result is a program that will allow each county to participate without adding a substantial administrative burden and makes it easy for interested business owners to finance energy efficiency and renewable energy projects. We welcome New Castle as the first participating county.”
Energize Delaware is a unique non-profit that helps Delawareans save money through clean energy and energy efficiency. Energize Delaware programs provide energy education and financial incentives to Delaware residents, businesses, nonprofits, government facilities, farms, faith organizations and schools. Find a program to fit your needs at www.EnergizeDelaware.org.
