The Commission's action plan would use funding programs and policies, capital to support billions of dollars in savings to unleash hundreds of billions of dollars.
According to the Commission, energy savings contracts for services and utility energy service contracts, focusing on government buildings, are the most important energy efficiency of financing methods on the market involved. Although these models work well, its scope is not wide enough, to nationwide have far-reaching effects on energy efficiency.
To open the door to new energy efficiency funding, the Commission recommends:
Create a secondary market for efficiency Loanssetting State and local programs to resell loans to investors in secondary Marketsinitiating on Bill-repayment and on-Bill financing Programsimproving federal regulations financing efficiency through property taxes and Trustsattaching energy efficiency incentives for Mortgagessetting, control strategies for the promotion of investment of in Efficiencyincreasing the industry real estate buyers to assist customers with their energy use data awareness through ratings and Informationproviding
Creating a secondary
Since there is no uniform system for the evaluation of these loans, there are no robust secondary market for energy-efficiency loans. On the secondary market, investors purchase loans have already been issued. When institutional investors could buy large amounts of energy-efficiency loans, would create a market for energy efficiency loans.
To remove this barrier and investors, access to the market, recommends that the Commission produced consistent underwriting guidelines, contract, language and data requirements for energy efficiency investments.
The report also recommends that State and local governments set up programs, sell to groups of loans to investors on the secondary market. These programs would be similar to the new camp for energy-efficiency loans (wheel)-program.
Revision of guidelines and to initiate programs
New State and local programs can on invoice refund or taxes to finance energy efficiency. On-Bill-repayment programs offer customers the option to pay improvements in energy efficiency in the course of time through their utility bills. Third lending figures for the investment costs. On invoice financing programs programs are similar to the repayment account, but by the utility or taxpayer capital financed.
Revision of federal regulations could develop energy efficiency financing easier. In real terms, for example, a possible tool for efficiency are estate investment trusts.
Improvement of federal regulations, that of residential property assessed clean energy the current roadblocks would remove (PACE), which interfere with these programs. There are no federal restrictions to commercial speed.
Federal regulations can build energy efficiency incentives in mortgage programs. If programs of incentives for energy efficiency include mortgage, would the housing market towards more efficient decisions draw. It would also people their homes upgrade before selling them stimulating.
Federal tax rules change could encourage industries to make investments that could support energy efficiency. This policy could also target specific energy efficiency improvement measures.
Efficiency to visualize information
The Commission recommends that awareness of the energy efficiency at national level. A step towards improving public understanding of energy use is to make energy data transparent, available and easy to understand. It is also important for the financial markets, which require high-quality data on the actual energy savings, associated with different types of energy-efficiency projects.
Energy efficiency rating systems for building real estate buyers and sellers to a Visual stimulus energy can give attention. Manufacturers can also reviews for appliances and other products.
Utility customers and third can track access to standardised energy data customers authorize their energy savings. For this approach, to succeed State agencies would have to set up rules to ensure the privacy of our customers.
This story was originally published by the Energy Finance Center (CEFC) clean. You can subscribe future stories from the clean energy source for financial services by visiting the CEFC-news page.
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