The Alliance to Save Energy recently asked Matthew Brown to address its EE Global conference this year, and to answer the question: Did the federal stimulus really stimulate anything that’s long-lasting? Matthew’s short answer: “Absolutely.”
HB&C was involved in the structuring of many ARRA based financial instruments that leveraged scarce public funding in order to entice the flow of private dollars. The result was that public funding spurred private capital investment in EE, not in the thousands but in the millions of dollars, in programs across the United States.
It’s safe to say that an entire industry has cropped up since the stimulus. Financial institutions from local banks and credit unions to large capital providers are looking at EE/RE lending as a growth industry. It’s impossible to know just how much can be directly attributed to the stimulus itself, but what we can say is that market transformation in the EE lending industry is happening at a confidence-inspiring pace.
Here we offer just a few examples of programs that have been “stimulated” to provide significant levels of private capital investment in EE lending products.
- Toledo Port Authority
- Boulder County and City and County of Denver Colorado
- Michigan Saves
- NYSERDA in New York
- Efficiency Maine
- CEWO in Oregon
Here we have examples of two large private investments in EE lending, both have occurred since the end of ARRA.
- Citibank – just closed on two $100 million warehouse lines to fund EE loans.
- Kilowatt Financial- multiple millions now dedicated to financing EE
Stay tuned as we explore features of some of the more novel programs that have pushed boundaries of what EE lending can do in the commercial sector.