Fresno County, CA, will use the YgreneWorks PACE program. PACE, which stands for Property Assisted Clean Energy, is a financing strategy designed to promote energy efficiency projects by homes and businesses.
Under PACE financing, the charge to the end user is included in the tax bill. Ygrene has $785 million in committed capital to such projects.
PACE financing is growing in use, but still have not hit critical mass. A key problems is that they are frowned upon by some lending institutions. The approach also must be approved at the local and state level to be offered. Despite the problems, the nature of the loans is seen as enticing and the financing structure is making some progress.