California Alternative Energy and Advanced Transportation Financing Authority

Commercial Loans, Leases, and Energy Service Agreements

Designed to encourage energy efficiency financing for small
businesses and commercial entities of any size.

CAEATFA is launching its Small Business Energy Efficiency Financing program.

The Small Business Energy Efficiency Financing program features a credit enhancement to help financing companies mitigate risk. Eligible customers include for-profits and non-profits meeting one of the following requirements: fewer than 100 employees, annual revenues of less than $15 million or adhering to SBA size limitations. Products supported include loans, leases, equipment financing agreements, service agreements and savings-based payment agreements. An on-bill repayment option will be added to the program in 2020.

View graphical summary of commercial pilots

Regulation Development

CAEATFA is seeking public comments on proposed modifications to the regulations for the Small Business Financing Program as a part of the Emergency Rulemaking re-adoption process. Click HERE to see the proposed modified regulation text. CAEATFA will be holding a workshop on the proposed modifications on April 23, 2019 from 10:00 AM to 12:00 PM (or until public comments and/or questions are concluded). The workshop will be conducted as a webinar. To register for the workshop webinar, please click on the link below:

Webinar Registration

Stakeholders and interested parties can submit comments during the workshop or can submit written comments to by 12:00 PM PST on May 1, 2019.

For more information on the Small Business Financing Program, please visit

Program open for enrollment

Regulations for the Small Business Energy Efficiency Financing Program took effect on December 17th, 2018 and the Program is now open for finance companies, contractors, and project developers to enroll. The Program will be operational under a “Limited Launch” beginning April, 2019 with the full program launch expected in August/September 2019.

  • Click here to access the Regulation Text, Program Applications, Program Guide, list of pre-approved Energy Savings Measures and other resources

SBF Program Background

Program Features

The Small Business program includes these features:

  • Energy saving measures may qualify through a broadly inclusive list, professional certification, or utility rebate and incentive programs, allowing projects to be simple or highly customized.
  • Participating finance companies receive a credit enhancement in the form of a loss reserve contribution of 20% of the first $50,000 of financing and 5% of the next $950,000 of financing, allowing the program to scale from very small to very large projects.
  • A variety of financing products are supported: loans, leases, equipment financing agreements, service agreements and savings-based payment agreements.
  • Both building owners and building tenants may access financing.
  • A Project Developer role allows participation by entities which provide technical assistance and project management without engaging in installation.

Click here to access the current SBF regulations, a program guide, and other resources.

Additional information on the Small Business Program can be found at