Commercial Loans, Leases, and Energy Service Agreements
Designed to encourage energy efficiency financing for small
businesses and commercial entities of any size.
If you have any questions about the California Hub for Energy Efficiency Financing pilot programs, please contact firstname.lastname@example.org or (916) 651-8157.
- 4/19/18 Workshop: Flexible Financing for Commercial Energy Savings
- Slides: Affordable Multifamily Financing Pilot Design
CAEATFA is launching commercial energy efficiency financing pilots, targeted at small businesses and non-residential entities of any size.
The small business pilot features a credit enhancement to help financing entities mitigate risk. The option to make payments on the customer’s utility bill (on-bill repayments) will be available for loans, leases and energy service agreements. In addition, an off-bill option will be provided for leases and energy service agreements.
The non-residential pilot encourages energy efficiency for commercial entities of any size, as well as governments. Financing is supported for loans, leases and energy service agreements repaid on the customer’s utility bill (on-bill repayments).
4/19/18 Workshop: Flexible Financing for Commercial Energy Savings
CAEATFA held a public workshop to share the new proposed approach for the small business pilot program, which promotes energy efficiency financing for small businesses and non-profits. This program is designed to encourage growth in private market financing and will feature a credit enhancement to help financing entities mitigate risk. The small business pilot will be the second of the California Hub for Energy Efficiency Financing (CHEEF) pilots to launch. CAEATFA has developed a flexible approach to program eligibility which includes these features:
- Energy saving measures may qualify through a broadly inclusive list, professional certification, or utility custom programs, allowing projects to be simple or highly customized
- Participating lenders receive a 5% to 20% loan loss reserve contribution on up to $1 million in financing for each enrolled project
- 30% of the total eligible financing amount may support non-energy measures
- A variety of financing products are supported: loans, leases, equipment financing agreements and energy savings agreements
- Both building owners and building tenants may participate
- Planned to launch in late 2018
Seeking Input from External Stakeholders:
- Contractors, energy service companies and energy efficiency project developers
- Financing entities and energy savings agreement providers
- Local government staff with a mission to promote energy efficiency and reduce greenhouse gas emissions
- Utility program implementers and third party program administrators
- Small business advocates
April 19, 2018 Workshop Materials