Act 30 – Commercial Property Assessed Clean Energy

A new energy efficiency law for Pennsylvania

On June 12, 2018, Pennsylvania Governor Wolf signed SB 234 into law, creating Act 30 and making Pennsylvania the 34th state to enable Commercial Property Assessed Clean Energy (C-PACE). KEEA members and partners played a major role in ensuring the bill’s passage through the legislature, and the bill represents a major step forward for energy efficiency in Pennsylvania.

Opportunity for investment and growth

C-PACE is a financing tool for local governments to help facilitate energy efficiency and clean energy loans. Nationally, half a billion dollars has been invested through C-PACE loans, and many industry experts expect that number to double in the next few years. In Pennsylvania, C-PACE investment could help retrofit one of the nation’s oldest building stocks and accelerate growth in a local energy efficiency industry that already accounts for 65,000 jobs and counting (click here for more on the 2018 PA Clean Jobs Report).

How C-PACE works

Now that it has been enabled through state legislation, C-PACE must be adopted and implemented at the local government level. Once a county or municipality establishes a C-PACE program through ordinance, energy efficiency and clean energy projects may be financed through a C-PACE loan that is repaid as an assessment on the property tax bill. This innovative financing mechanism allows long-term loans with low monthly payments that convey with the property after sale. These features reduce or remove significant barriers that many property owners face to making energy efficiency investments.

A C-PACE program is run by an administrator, which can be either the local government itself or, more commonly, a third-party non-profit organization. The administrator facilitates C-PACE financing by connecting project developers to qualified contractors and lenders, as well as coordinating remittance of the loan from the property tax bill back to the C-PACE lender.

What’s next in Pennsylvania?

KEEA and our partners, including the Philadelphia Energy Authority, Sustainable Energy Fund, the Pennsylvania Department of Environmental Protection, and National Electrical Contractors Association, are working to develop a model program that can be easily adopted and implemented, at little to no cost, for local governments across the state. The goal of the process is to create a program that works for C-PACE lenders, project developers, property owners, local governments, and mortgage holders. Once this model C-PACE program is finalized, KEEA will work with local governments across the state to pass ordinances to adopt the program and get C-PACE up and running statewide!


To learn more about this stakeholder process, please contact KEEA Policy Director Julian Boggs at jboggs@keealliance.org

For more resources on C-PACE, click on these links:

PACE Nation 

US Department of Energy 

American Council for an Energy Efficient Economy