Commercial Property-Assessed Clean Energy (C-PACE) is a financing tool that allows commercial property owners to borrow money for energy efficiency, water conservation, renewable energy projects, indoor air quality (IAQ) and resiliency projects. C-PACE provides long-term, competitive terms that can help Philadelphia’s commercial property owners save money while reducing their carbon footprints, improve indoor air quality and make buildings more resilient.
C-PACE in Philadelphia
Pennsylvania authorized the creation of Commercial Property-Assessed Clean Energy (C-PACE) finance programs with the passage of Act 30 of 2018, signed into law by Governor Tom Wolf on June 12, 2018. As a result, a Pennsylvania county or municipality with an established community or economic development authority can establish a C-PACE program. No statewide program or administrator was assigned, and no startup funding was allocated.
C-PACE was updated by Act 43 of 2022 to include multifamily commercial buildings of 5 units or more, indoor air quality and building resiliency improvements.
With the leadership of Councilmember Derek Green (At-Large), Philadelphia City Council authorized C-PACE for the City of Philadelphia on June 20, 2019 and assigned the Philadelphia Energy Authority (PEA) as Program Administrator. The bill was signed into law by Mayor Jim Kenney on August 14, 2019. The Ordinance was amended by Ordinance No. 220293 expanding the Commercial Property-Assessed Clean Energy Program in Philadelphia consistent with Pennsylvania Act 43 of 2022.
Philadelphia C-PACE is a completely voluntary program. It allows commercial property owners to obtain financing for eligible projects, typically through private capital providers, and to repay the financing through a special assessment similar to a property tax assessment.
- September 2022: Multifamily buildings, resiliency and IAQ eligible for C-PACE financing in Philadelphia.
- September 2022: Expanded C-PACE Philadelphia Ordinance 190412 signed in law.
- July 2022: Expanded C-PACE signed into law as Act 43 of 2022.
- July 2020: First Philadelphia (and Pennsylvania) C-PACE financing completed.
- October 2019: Philadelphia C-PACE is launched. PEA officially launched the Philadelphia C-PACE program and started accepting applications.
- August 2019: Bill No. 190412 signed into law. Mayor Jim Kenney signed Bill No. 190412 into law, enabling C-PACE in Philadelphia and appointing the Philadelphia Energy Authority to be the Program Administrator.
- June 2018: Pennsylvania authorizes C-PACE finance programs. Pennsylvania authorized the creation of C-PACE finance programs with the passage of Act 30 of 2018.
C-PACE can help property owners achieve significant savings on their utility bills while reducing their carbon footprints.
IAQ improvements including COVID mitigation can also be financed with C-PACE.
Building resiliency is increasingly important as storms intensify and become more frequent. C-PACE financing can help manage stormwater and harden against floods.Learn More
About the Program Administrator
The Philadelphia Energy Authority (PEA) is an independent municipal authority established by Philadelphia City Council. PEA is authorized to facilitate, develop and finance energy efficiency, storage and generation projects; to purchase or facilitate energy supply and energy services on behalf of the City of Philadelphia, government agencies, institutions and businesses; to educate consumers; and to promote the clean energy sector by undertaking efforts to strengthen the energy efficiency, storage and generation markets in Philadelphia. Philadelphia City Council appointed PEA as Program Administrator for the Philadelphia C-PACE Program.
As Program Administrator, PEA reviews and approves applications, manages the billing and lien processes, engages in market education and supports the growth of the C-PACE program.
Learn more about PEA at philaenergy.org.
For information on Pennsylvania C-PACE outside of Philadelphia, please visit pennsylvaniacpace.org.