Property Assessed Clean Energy, or PACE, is a program that offers long-term private financing for renewable energy and energy efficiency upgrades to homes and businesses. I have been following the progress and setbacks for years, because I firmly believe that it is a critical—and often overlooked—asset to our industry.

For a little background, R-PACE (residential) and C-PACE (commercial) funding can pay for a variety of upgrades, including energy-efficient windows, heating and cooling systems, lighting improvements, solar panels, water pumps, insulation, and more for almost any property. It pays for 100 percent of project costs and is repaid through an assessment that’s added to the property’s tax bill over a 20-year period and may be transferred upon sale.

To enjoy the benefits, PACE programs must be sponsored by state and local governments, which is not often a hard sell because they are known to create jobs, promote economic development, and protect the environment.

Why should you care?

  • PACE is growing. R-PACE has surpassed $5 billion and has helped fund more than 220,000 home upgrades. C-PACE is steaming ahead at $728 million and more than 1,700 projects. And, important to you, 50 percent of the projects completed were for energy-efficient upgrades, such as doors and windows. (see all data).
  • PACE presents a marketing opportunity. Projects that might not otherwise get off the ground because of a lack of funds can now be realized. You can use this as an opportunity to show prospects that their projects can be affordable now, rather than waiting for another day (meaning more potential sales for you).
  • PACE creates jobs. As of May 2018, R-PACE and C-PACE have collectively added nearly 60,000 jobs to the economy.

How to get in on the action.

PACE-enabling legislation is active in 36 states, plus D.C., and PACE programs are now active (launched and operating) in 20 states, so there might already be opportunities you are missing.

The View from Here is that if you haven’t already, you should check out PACENation.us to:

  1. See what PACE programs are already available in your area;
  2. Contact organizers to see if there’s an initiative underway;
  3. Start a PACE program if one isn’t available; or,
  4. Simply learn more about tools and PACE opportunities for your business.

What’s your view? Email me directly at eric.jackson@quanex.com.

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