Legislature passes C-PACE bill to turbocharge green energy efficiency financing
Environment New Jersey
Trenton – Following its passage through the New Jersey State Senate Environment and Energy Committee and the Senate Budget and Appropriations Committee, the Assembly and Senate passed on Thursday the Commercial Property Assessed Clean Energy (C-PACE) bill. A2374 passed the Senate with a 38-1 vote and 63-12-5 in the Assembly. The bill is on Governor Murphy’s desk and the legislation mirrors recommendations in the Governor’s Energy Master Plan.
The program would allow businesses, nonprofits, private institutions, agricultural producers and apartment building owners to borrow money to pay for energy efficiency and renewable energy improvements. The property owners would then pay back the loan through a property tax assessment. C-PACE has already been implemented in 24 states and makes it easier for businesses to access clean energy repairs and upgrades.
“C-PACE will help New Jersey to keep pace with its state energy efficiency mandates and climate goals. For too long, businesses, apartment owners and others needed to pay the full capital expense for energy efficiency investments. PACE legislation has languished in the Legislature for more than 5 years and we are deeply grateful to the leadership of Sen. Smith and Asm. Mukherji to get this bill to the Governor’s desk. This is a slam dunk win to reduce climate and air pollutants and we urge Gov. Murphy to sign this bill as quickly as possible,” said Doug O’Malley, Environment New Jersey Director.
“New Jersey has set bold energy efficiency goals to fight climate change and help consumers save money. C-PACE is one piece of the puzzle that’s needed to reach those goals,” said Emma Horst-Martz, NJPIRG Advocate. “After this year, many businesses are struggling, and tenants in multi-family apartment buildings can’t keep up with their monthly utility bills. This program expands access to energy saving improvements and will generate financial savings from the start. With this program, local energy and construction companies will have more opportunities to retrofit and upgrade buildings, which will lead to local job creation. This is the kind of practical policy solution we need in New Jersey. I am grateful to Senators Smith and Bateman, Assemblymembers Mukherji and Kennedy, and former Assemblymember Pinkin for their leadership on this issue. We encourage Governor Murphy to sign the bill so we can get started with helping commercial property owners take advantage of the program.”
“C-PACE Alliance thanks the bill sponsors for their leadership, and the advocacy community that supported the effort to enact C-PACE in New Jersey for many years,” said Cliff Kellogg, Executive Director of C-PACE Alliance. “We will need everyone’s continued help to launch the program and attract capital providers and property owners to take advantage of the program’s potential.”