A new innovative tool that allows MCE customers to pay for energy efficiency investments through their PG&E bills is now widely available across Marin and Richmond. First Community Bank, based in Santa Rosa with a branch in Corte Madera, will provide financing to single-family homeowners. River City Bank, based in Sacramento, will provide financing to eligible multi-family and small commercial property owners wishing to participate in the program.
Qualifying multi-family and small commercial properties may apply for Green Biz Loans between $10,000 and $265,000 through River City Bank at a 5.0% interest rate for 5-10 year terms*. Qualifying single-family properties can apply for Green Home Loans between $2,500 and $30,000 through First Community Bank at 6.5% interest for 5-10 year terms. These loans can then be repaid over time on the customer’s standard electric bill.
Financing is a critical step towards accomplishing energy efficiency upgrades, which ultimately save customers money on their utility bills. The initial costs associated with implementing an energy efficiency project can serve as a barrier for property owners who may be interested in making such improvements. The Green Loan program will help to alleviate this barrier.
MCE’s Green Loans create a strong link between the anticipated energy savings resulting from the project upgrades and the cost of financing the project by tying the loan to the utility bill. In many cases, energy savings are sufficient to cover the monthly payments for the financing so that the total monthly charge on utility bills is less than or equal to the pre-investment amount. There is also evidence to suggest that customers tend to prioritize the payment of utility bills, which contributes to low default rates.
If MCE’s program is successful in demonstrating lower default rates than anticipated, banks may become more likely to lend for energy efficiency improvements in the future and the cost of capital for these projects could drop over time. “Our Green Loan program will leverage our relationship with MCE customers improving access to funding for energy efficiency investment, especially for historically underserved markets such as middle income households, multifamily buildings, and small businesses,” said Dawn Weisz, Marin Energy Authority Executive Officer. “The financing tool is another part of our community-oriented energy efficiency program designed to help our customers save money and reduce the amount of energy they use – that’s good for their wallets and the environment.”
*Introductory rates are subject to change without notice; other conditions apply.
For more information about MCE’s energy efficiency program visit the MCE website or contact: Jamie Tuckey, Communications Director at 415.464.6024 or jtuckey@mceCleanEnergy.com.
About MCE: MCE is a public, not-for-profit electricity provider that gives customers the choice of having 50% to
100% of their electricity supplied from clean, renewable sources such as solar, wind, bioenergy, geothermal, and
small hydroelectric at competitive rates. By choosing MCE, customers help support new in-state and local
renewable energy generation. For more information about MCE, visit www.mceCleanEnergy.com or call 1 (888)
About Mill Valley and MEA: Visit the City of Mill Valley MEA page.