Financing Your Energy Efficiency Project
One of the biggest hurdles for businesses looking to increase energy efficiency is the upfront costs associated with energy efficiency projects. Not only is being conscious of energy usage forward-thinking, it helps lower monthly utility bills and saves you on overhead. The Comprehensive Energy Management Solutions (CEMS) program exists to connect San Diego Gas and Electric commercial customers with rebates and cash incentives to make installing new, high-efficiency equipment or systems more affordable. There are currently three types of financing options available that make energy-efficient upgrades more accessible to all.
1. On-Bill Financing
Helping qualified commercial and government-funded customers pay for energy-efficiency retrofit projects with zero interest and zero penalty loans, On-Bill Financing is a great choice for those looking to make big investments. The loan is paid back slowly over time and payments are calculated based on estimated annual energy savings, not to exceed the maximum loan term.
2. Efficiency-as-a-Service (EaaS)
The Efficiency-as-a-Service model works by providing off-balance sheet, turnkey efficiency upgrades that include materials, installation and maintenance, at no upfront capital cost. Once the energy-efficient equipment is installed, you’ll pay back a portion of what you save on your utility bill every month as a service fee. This financing option allows businesses to focus resources on what’s important while making facility improvements.
3. GoGreen Financing
GoGreen Financing’s Small Business Financing (SBF) program supports businesses looking to make improvements that have a positive impact on energy use. The finance companies SBF partners with offer quick approval on leases, loans, and service agreements with customized monthly payment plans. The program is administered by the State of California and supported by the state’s investor-owned utilities.
With these three financing avenues, there couldn’t be a better time to invest in the energy efficiency of your business. Get in touch to learn more about the CEMS program and which financing option is right for your project.