After months of advocacy, the PA House and Senate have expanded C-PACE financing to be utilized for multifamily buildings and projects addressing resiliency and indoor air quality (IAQ).
C-PACE is a financing tool that helps developers and building owners finance energy efficiency and clean energy projects. It’s unique financing structure ties the loan to the property – not the owner. These are long-term (30 year) loans with low interest rates that help cover the full cost of eligible energy and water conservation measures, as well as some soft costs for participation. With the expansion of the legislation, eligible measures will now include projects such as ventilation system upgrades, battery backup storage, and more.
Following passage from the state legislature, the bill now moves to the Governor’s desk to be signed. Once the Governor signs, it will become effective in 60 days. Additionally, the program administrators, Sustainable Energy Fund (SEF) and Philadelphia Energy Authority (PEA), will finalize updates to the program guidelines. It is up to these program managers to determine how IAQ and resiliency measures will be implemented, both agencies are seeking feedback from key stakeholders to inform the process.
Over the past few months, SEF and PEA have been facilitating a stakeholder engagement process to gather feedback from real estate developers and project managers. So far, they have sought feedback on IAQ and resiliency implementation. They will continue this feedback effort throughout the next 60 days to address the addition of multifamily buildings into C-PACE regulations. Philadelphia C-PACE is seeking information from multifamily building owners who intend to use this funding mechanism.
Stay tuned for more information on how to provide feedback on C-PACE expansion!