• New Resistance Imperils the Future of PACE Financing for Clean Energy
  • July 15, 2010 | Author: Elias B. Hinckley
  • Law Firm: Venable LLP - Washington Office
  • Property Assessed Clean Energy (“PACE”) financing has been widely touted as a innovative program that can provide easily-accessed financing for millions of homeowners and businesses to make clean energy investments like installing solar panels or energy-efficiency upgrades. While still geographically limited to areas with strong incentive programs or relatively high energy prices, these programs offer easy access to money for making what can be a large initial investment. But in order for these PACE programs to continue, two evolving issues must be first be resolved: (1) the debt and credit rating concerns raised by some local governments; and (2) concerns from mortgage holders about dilution of mortgage security interests by PACE assessments.