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Financing a linchpin in residential clean energy deployments

Posting in Energy

Homeowners would be more into clean energy projects if they would work out the financing part of the equation, according to Pike Research.

Homeowners would be more into clean energy projects if they would work out the financing part of the equation, according to Pike Research.

Pike Research reports that 42 percent of respondents in a recent survey said they would be interested in Property Assessed Clean Energy (PACE) financing programs. PACE financing means that the cost of clean energy home improvements---solar panels, insulation and the like---is paid back as part of annual property taxes based on an assessment of the home.

In other words, if you want residential clean tech projects to get rolling toss the cost into the tax bill. Note that the majority of people 56 percent didn't want an additional financial liability. Pike Research surveyed more than 1,000 U.S. adults and 669 single family homeowners in that sample.

PACE programs have largely been put on ice due to worries over Fannie Mae and Freddie Mac, two government mortgage agencies that may ultimately be phased out.

Respondents said the two most popular home energy efficiency projects would be tankless hot water heater and solar panels (63 percent of respondents) followed by high efficiency air conditioners and insulation (58 percent).

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Larry Dignan

Editor-in-Chief

Editor-in-Chief Larry Dignan is editor-in-chief of SmartPlanet and ZDNet. He is also editorial director of TechRepublic. Previously, he was an editor at eWeek, Baseline and CNET News. He has written for WallStreetWeek.com, Inter@ctive Week, New York Times and Financial Planning. He holds degrees from the Columbia University Graduate School of Journalism and the University of Delaware. He is based in New York but resides in Pennsylvania. Follow him on Twitter. Disclosure