Property Assessed Clean Energy tax financing mechanisms, which pay off energy upgrades through a surcharge on real estate taxes, came of age several years ago. Known as PACE, they got their start with “the Berkeley model” for residential home financing of energy improvements and have now spread across the country. With the infamous Federal Housing and Finance Authority (FHFA) “letter” of a few years ago, most of these programs came to a grinding halt. But to paraphrase Mark Twain – reports of their death have been greatly exaggerated.
Recent Posts
Topics: State Policy
In New Mexico, the legislature just passed House Bill 267 - legislation that changes the method for determining cost effectiveness from a "Total Resource Cost" test or TRC to a "Utility Cost" test (UC). The difference is significant and one that is frequently overlooked or not well understood.Topics: State Policy
Many states throughout the country have Energy Efficiency Resource Standards (EERS), which require a certain percentage of electricity demand to be met by energy efficiency resources rather than generation. It is the EERS that forces utilities to fund and administer energy efficiency programs that deliver energy (and cost) savings to customers rather than sell them more electricity.
In some places around the country, utilities are beginning to push back on these standards. In New Mexico, a state utility commissioner was leading a legislative effort to reduce the standard, thereby cutting back efficiency investment. AEE’s partner, the New Mexico Green Chamber of Commerce, working with the Southwest Energy Efficiency Project, negotiated a compromise that should actually expand the energy efficiency offerings to New Mexico businesses and consumers.
Topics: State Policy
Many state legislatures follow a four-to-six month schedule beginning in January. That puts us right about at the mid-way point – a good time to check in on the progress of advanced energy legislation in state houses all over the country.
Topics: State Policy