Transaction Takeaway: Solar for All
Connecticut Green Bank believes that access to solar and energy efficiency should not be precluded by lack of affordable financing, inability to use federal tax credits, or low credit scores. It is important to make rooftop solar and energy efficiency (EE) accessible to low- to moderate income (LMI) homeowners, not only because it is a traditionally underserved market that has been excluded from participating in the overall growth of distributed clean energy measures, but in particular because LMI homeowners can disproportionately benefit from utility cost reductions, due to their relatively high energy burdens (household energy costs relative to annual income).
As the result of a request-for-proposal process initiated by CT Green Bank in December 2014 to address market barriers related to LMI household uptake of clean energy installations, PosiGen, a Louisiana-based solar company, has been offering a rooftop solar PV lease product with an option for the installation of EE measures since 2015 with Green Bank support. Specifically, the program:
- Offers solar PV installations to single-family homeowners (including residences with up to four units).
- Incentivizes deployment in the LMI market through the use of elevated performance-based incentives for qualifying LMI households.
- Offers PV systems that are leased to the homeowner (and require no up-front homeowner investment).
- Couples a basic energy efficiency package offered through the local utility’s Home Energy Solutions (HES) program with an EE installment option called an Energy Savings Agreement (ESA).
The Green Bank Network’s “Transaction Takeaways” series highlights notable features of Green Bank deals