GREENFIELD — Additional financing options for energy efficiency projects may soon be available to businesses in the city.
The city could get businesses to improve energy efficiency through the Property Assessed Clean Energy Program from MassDevelopment. The program lets business owners finance energy efficiency upgrades to their properties and pay for them over 20 years.
According to Carole Collins, Energy and Sustainability manager for Greenfield, commercial property owners can get 20-year financing from local banks for the energy efficiency projects, which is facilitated through MassDevelopment.
The financing is considered a betterment assessment on the property, which Collins said is paid back through property taxes. The assessment also stays on the property, so if the location is sold, the next owner would continue to pay.
The projects must be approved by the state’s Department of Energy Resources before the financing is available, Collins said.
Eligible projects include lighting improvements, heating system upgrades and solar energy installation, according to Collins. Eligible properties include commercial, industrial, nonprofit and multifamily locations.
Collins said state-funded programs improving energy efficiency have benefited residents, but this is a first for businesses in the state.
“What’s been missing was addressing the needs of commercial properties and larger multi-families,” she said.
To be eligible for the program, Collins said the city must first pass an ordinance supporting the program, which must be done through City Council. The council’s Economic Development Committee is expected to discuss the program during its meeting today at 6 p.m.
According to Collins, the program is expected to start in July or August, and that “it behooves us to get ahead of the curve” to make certain the city is eligible.
Legislation for PACE was signed by Gov. Charlie Baker in August 2016.
You can reach Dan Desrochers at:
ddesrochers@recorder.com
413-772-0261, ext. 257