This document discusses financing innovations for energy efficiency projects in Sonoma County, California. It describes the Property Assessed Clean Energy (PACE) program, which provides low-cost financing for both residential and commercial energy upgrades that is paid back through property taxes. Common energy efficiency upgrades funded by PACE include solar PV, HVAC, insulation, and lighting. To date, PACE financing has reduced greenhouse gas emissions by over 9,500 metric tons annually and generated $85 million in total local economic impact through $68.4 million in financing and use of local contractors for over 80% of projects.

1. Financing Innovations in Sonoma County
1
Business of Local Energy Symposium
October 23, 2014

2. 2

3. 3

4. 4

5. Advantages of PACE Instrument
Property Assessed Clean Energy – AB811, 2008
• Available for residential and non-residential properties
• Low upfront costs
• The minimum amount of financing is $2,500
• The financed amount is an assessment attached to the
property, not the owner, paid back through the property
tax system over a term of 10 or 20 years at a fixed 7%
simple interest rate (SCEIP terms, others vary)
• For non-residential projects the property assessment
preserves capital for core business investments
• Knowledgeable staff to assist in the process

6. Improvement Types using PACE
>80% of All Sonoma Projects are Completed by Local Contractors
20%
2%
Generation: 39% Energy Efficiency: 59% Water Conservation: 2%
9/24/14, CC 6
39%
6% 10% 2%
3%
12%
2%
2% 2% Solar PV
Solar Thermal
HVAC
Cool Roof
Water Heater
Sealing & Insulation
Windows & Doors
Lighting
Ventilation
Water Cons.
Other Energy Efficiency

7. Greenhouse Gas Reduction Results
Total of 9564.2 MTCO2E Reduced Annually
Solar PV Installed: 1349 systems totaling 9.57MW of generation

8. SCEIP Local Multiplier Effect
$68.4 million
JOBS CREATED/RETAINED
FINANCING
TOTAL LOCAL
IMPACT
IMPROVEMENTS BY
LOCAL CONTRACTORS
>80%
1368
$85 million