The Commission is in the process of updating some of the content on this website in light of the withdrawal of the United Kingdom from the European Union. If the site contains content that does not yet reflect the withdrawal of the United Kingdom, it is unintentional and will be addressed.

Unlocking the Building Retrofit Market: Commercial PACE Financing

Share this Post:
Energy efficiency retrofits in existing commercial buildings help the environment, communities, and building owners and occupants. A robust market for such retrofits would create $12 billion in business annually over the next decade, while producing energy savings of 22 percent, creating 240,000 new jobs, and avoiding 128 million metric tons of CO2 emissions – roughly the annual emissions from 28 coal-fired power plants. For building owners, the benefits include increased net cash flow and a property with greater appeal to tenants seeking green space. A concept called property assessed clean energy (PACE) financing removes barriers to existing-building retrofits – chiefly difficulty in securing capital for the up-front costs. Twenty-five states in the U.S. now enable PACE financing, and similar models are gaining acceptance in other countries.