| Implementing Sector | State |
|---|---|
| Category | Financial Incentive |
| State | Delaware |
| Incentive Type | Loan Program |
| Web Site | https://www.energizedelaware.org/nonresidential/business/low-interest-commercial-loan/ |
| Administrator | Delaware Sustainable Energy Utility |
| Funding Source | Regional Greenhouse Gas Initiative (RGGI) |
| Eligible Renewable/Other Technologies | Solar Water Heat, Solar Space Heat, Solar Photovoltaics, Wind (All), Biomass, Geothermal Heat Pumps, Wind (Small), Other Distributed Generation Technologies |
| Eligible Efficiency Technologies | Yes; specific technologies not identified |
| Eligible Electric Vehicle Technologies | Zero Emission Vehicles, Level-2 Electric Vehicle Service Equipment |
| Applicable Sectors | Commercial, Industrial, Local Government, Nonprofit, Schools, State Government, Federal Government, Tribal Government, Agricultural, Institutional |
| Maximum Loan | $2,000,000 maximum per borrower |
| Loan Term | The lessor of simple payback plus one year, or 10 years for amounts above $25,000; five years for amounts less than $25,000. A term that is justified by the projected cash flow where an energy savings performance contract model is used up to 20 years. |
| Interest Rate | Interest rates will be determined by the Loan Committee and shall range between 50 and 120% of Municipal Bond Yields for 20 year bonds with AA rating. |
The Revolving Loan Fund Objective is to encourage the adoption and installation of end-user energy efficiency measures and customer-sited renewable generation that result in savings that can lower customers’ bills and reduce the environmental impacts of energy production, delivery, and use.
Program financing is available to all credit-qualified businesses, local governments, school boards, and non-profits located in existing facilities in the State of Delaware (see complete guidelines). Eligible activities include: installation of eligible measures in or on a building or site owned or leased by the applicant; conducting an energy efficiency audit; code-related repair and health and safety measures that are required to secure the energy savings of the projections.
Contractors must meet requirements for the SEU’s Responsible Contractor Policy and the State of Delaware prevailing wage rates for mechanics and/or laborers for contracts greater than $50,000. Applicant must demonstrate the ability to repay the loan or lease as evidenced by review of credit history, financial statements and bank and trade references. For energy efficiency projects, savings over the weighted useful life of the measures must be greater than the cost of the measures including financing.
Equipment must be justified by an energy assessment from an approved auditor. Savings must exceed costs of energy efficient measures over their useful life, including financing.
