New York’s green bank to support renewable energy and energy efficiency projects committed $250 million into a total of 13 transactions in 2016. Those investments are being met by $677 million in private sector investments, amounting to $927 million in clean energy projects, like solar power, that are creating jobs in the Empire State.
The bank, a specialty financing institution with a $1 billion charter, is designed to provide state funding to help attract clean energy projects to the state. Since launching in late 2015 it’s closed 18 transactions valued at a total of $305 million, which are expected to help fund clean energy projects totaling $1.26 billion in total value. The New York State Energy Research and Development Authority (NYSERDA), which operates the NY Green Bank, said the invested 52 percent more than its goal for the year showing that the demand for clean energy projects is even greater than expected.
“Private sector developers, investors and financial institutions are expressing a strong, ongoing interest in working with NY Green Bank to develop solutions that address financing gaps and barriers, and our 2016 transactions demonstrate the breadth and scope of our work,” said NY Green Bank President Alfred Griffin. “This is an exciting time for the clean energy industry, as capital providers and developers look to advance opportunities for all New Yorkers.”
In 2016 NY Green Bank’s funds helped launch a commercial solar project on a brownfield site, issued a $25 million loan to Sunrun to support its solar rooftops in the state and funded energy efficiency upgrades at schools on Long Island. It’s also financing up to 1,300 fuel cell systems to replace lead-acid batteries in forklifts at distribution centers across the state.
The solar brownfield is the first in a planned, portfolio of commercial and industrial solar projects. They will help standardize financing for such projects in the state making them less risky by private sector standards. That will make it easier for investors to offer financing at lower costs.
“NY Green Bank is doing the job it was created to do—filling financing gaps to spur private sector investment in clean energy in the state,” said New York State Chairman of Energy and Finance Richard Kauffman said. “It is achieving this by making renewable energy resources easier to finance Statewide, reducing costs for residents and businesses.”
The bank’s financing is part of the state’s $5 billion Clean Energy Fund. Through that fund ,the state is working to source 50 percent of its electricity from renewable sources by 2030 and, during the same time frame, cut its greenhouse gas emissions to 40 percent of what they were in 1990.Tweet