Two federal agencies are trying to sink Property Assessed Clean Energy programs, which finance energy-efficiency changes for homes and businesses, the Natural Resources Defense Council claims in Federal Court. The NRDC says it has spent 2 years supporting development of PACE programs, but the Federal Housing Finance Authority and Office of the Comptroller of the Currency issued misguided directives this summer that could stop the programs in their tracks.
"Defendants' actions, which have the effect of terminating existing PACE programs and curtailing the development of new PACE initiatives, will significantly set back efforts to address air pollution and global warming pollution from the electric generation sector," according to the complaint.
Energy efficiency is important to combating global warming, making the electric grid more reliable, and reducing consumers' energy bills, but Americans need financing so they can afford to pay for better energy or to retrofit their homes and businesses, the NRDC says.
"If PACE programs were to achieve a 3 percent penetration rate nationwide over the next decade, 3.3 million homes would be retrofitted, resulting in approximately 320 million metric tons of avoided carbon dioxide emissions," according to the complaint. "Assuming an average job cost of $15,000, these retrofits would also result in just under $50 billion of construction activity."
The NRDC claims that PACE projects such as installing new windows or improving insulation can increase property value in the long term and bring many short-term benefits, such as decreasing a building's energy bills, increasing a property owner's cash flow and reducing the risk of default and foreclosure.
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