Energy Project Financing Options

With the right financing options, an energy project can be affordable to businesses of all sizes

Our financial analysts provide you with the best energy funding sources available to finance your project

Our financial analyst team prepares several financing options for our customers allowing for flexibility in the project. We provide a variety of options, several involving no out-of-pocket expense, each offering different terms and rates. Here is a list of several options we work with:

Financing options available to your organization

PACE Financing

Provides 100% funding for energy efficient and renewable energy improvements. PACE funding is an off-balance sheet funding tool that adds an annual assessment to your property taxes and doesn’t utilize any of your existing lines of credit. PACE is designed to help businesses and property owners make improvements that result in positive annual cash-flows.

Asset 22

Energy Performance Contract

An energy financing option EnergyLink exclusively offers to customers which allows your company to install the project with no money down. A portion of your monthly savings will finance the project costs, and leave the customers with 5-20% monthly savings.

Rebates

Various government departments and utility providers across the United States offer substantial rebates which can provide an instant financial incentive for starting an energy project. These typically subsidize costs for: building automation systems, lighting retrofits, HVAC upgrades, solar panels, energy efficient water heaters, and more. Rebates can help reduce system costs by 10-20%. Learn more about rebate programs your company could qualify for.

Federal tax credits

The Investment Tax Credit, which covers 30% of project costs for renewable energy, was recently extended until 2020. After that, tax credits will not remain the same and will change beginning in 2020:

  • 2020: 26% tax credit
  • 2021: 22% tax credit
  • 2022 onward: new commercial solar energy systems can deduct 10%. No federal credit for residential solar

State tax credits

Some states offer an additional state tax credit that varies by state, but is typically about 15% of project costs. With a state solar tax credit, managers can deduct a portion of their solar system’s cost from their state tax bill.

USDA REAP grants & loans

The USDA Rural Development Office offers a grant of up to 25% of total project costs anda loan of up to 75% of total project costs which can be used for eligible projects. This is agreat financing option for those looking to save money on their energy consumption.

  • Terms: For a renewable energy grant, the grant will apply to projects in the $2,500-$500,000 threshold. For energy efficiency grants, the threshold is $1,500-$250,000.
  • Click here to view USDA REAP eligible towns and cities.
  • Click here for more information on how to contact local USDA Rural Development Offices.

Traditional Bank Loans

Bank loans offer low, 10-15 year financing options for building upgrades. Energy savings produced from building upgrades generate positive cash flows, decreasing investment risk, and hasten the payback period for projects.

  • Terms: For a renewable energy grant, the grant will apply to projects in the $2,500-$500,000 threshold. For energy efficiency grants, the threshold is $1,500-$250,000.
  • Click here to view USDA REAP eligible towns and cities.
  • Click here for more information on how to contact local USDA Rural Development Offices.

Let EnergyLink set up financing for your energy project

We know how to get the best financial setup for your organization without creating any hassles on your end.

Get funding for your next energy project today

Fill out the form below and an EnergyLink representative will contact you shortly for a free consultation.