On August 23, 2024, the Biden-Harris Administration announced that 17 states and territories will receive a total of $66 million from the Energy Efficiency Revolving Loan Fund (RLF) Capitalization Grant Program. The U.S. Department of Energy (DOE) revealed that this funding, part of the Investing in America agenda supported by the Bipartisan Infrastructure Law, aims to establish or enhance revolving funds for energy efficiency audits, upgrades, and retrofits.
The RLF program is designed to provide capital for energy efficiency projects in public buildings and encourage financial institutions to help American families and small businesses reduce their energy costs. This initiative supports President Biden’s climate goals of reducing emissions by 50-52% by 2030 and achieving a net-zero economy by 2050.
"Increased opportunities for low-cost financing will help states and territories expand access to the money-saving clean energy tools that will benefit the residential, commercial and public sectors," said U.S. Secretary of Energy Jennifer M. Granholm. "We are excited to see states and territories take advantage of targeted and impactful financing options to transform their communities."
A study produced by Lawrence Berkeley National Laboratory, the State and Local Energy Efficiency Action Network, and DOE indicates that each federal dollar invested in a state or local revolving loan fund can attract up to $20 in private capital.
This announcement marks the third round of awards from the RLF Capitalization Grant Program. The DOE plans additional awards later this year as part of a total $242 million allocation for energy efficiency revolving loan funds.
Successful programs under this initiative aim to leverage private capital across various sectors, maximize energy savings, create jobs, and advance the President's Justice40 Initiative which seeks to ensure that 40% of federal investments benefit disadvantaged communities.
Among grantees:
- Arizona will use $1,690,280 for grants and loans targeting low-income communities.
- Georgia will allocate $2,453,810 primarily towards low-income residential sectors.
- Iowa plans to invest $7,068,920 in multi-family housing upgrades.
- Puerto Rico will implement a loan loss reserve fund with its $1,070,490 award.
- Texas received $22,365,890 for its new revolving loan fund mirroring an existing program.
- U.S. Virgin Islands obtained $576,170 for lower interest rate loans in renewable energy projects.
Additional recipients include Colorado ($1,631,220), Delaware ($746,400), Kansas ($6 706 230), Maine ($863 110), Massachusetts ($1 894 760), Minnesota ($1 884 300), Nevada ($1 043 290), New Jersey ($2 383 510), New Mexico ($5 692 530), Oklahoma ($7 592 300), Rhode Island ($762 790).
The RLF Program also offers technical assistance through resources such as an updated Resource Library containing foundational information on designing and managing RLF programs along with real-world case studies.
For more details about the Energy Efficiency Revolving Loan Fund Capitalization Grant Program: visit [Energy Efficiency Revolving Loan Fund Capitalization Grant Program | Department of Energy](https://www.energy.gov/eere/slsc/energy-efficiency-revolving-loan-fund-capitalization-grant-program).
