Massachusetts Community Climate Bank Launches First Consumer Loan Product

FOR IMMEDIATE RELEASE
Boston, MA. – April 29, 2024

Massachusetts Launches $20 Million Energy Saver Home Loan Program to Advance Clean Energy in Residential Sector

Governor Maura Healey announced today the launch of the $20 million Energy Saver Home Loan Program by the Massachusetts Community Climate Bank (MCCB). This innovative initiative is designed to help low- and moderate-income homeowners make clean energy improvements to their homes, reducing energy usage and greenhouse gas emissions.

The Massachusetts Community Climate Bank (MCCB), the first green bank in the U.S. focused on decarbonizing affordable housing, has introduced the Energy Saver Home Loan Program as its first consumer product. By lowering barriers to clean energy adoption, the program provides affordable financing and personalized customer service to support property owners in reducing reliance on fossil fuels.

We are proud to partner with MassHousing to further our shared goals of promoting a just and equitable energy transition. Through this collaboration, we will not only accelerate decarbonization but also empower individuals and communities to thrive for years to come.”

Ashley Muspratt

CET President & CEO

The housing stock in Massachusetts is among the oldest in the United States

Massachusetts has some of the oldest homes in the nation, many heavily reliant on oil heating. Residential and commercial buildings account for 30% of the state’s greenhouse gas emissions, with single-family and small multi-family homes responsible for 60% of that total. Transitioning these homes to clean energy plays a crucial role in achieving the state’s goal of net-zero carbon emissions by 2050. Helping the Massachusetts Community, the Climate Bank’s Energy Saver Home Loan Program is instrumental in this transition.

Accelerating Clean Energy Adoption

The Energy Saver Home Loan Program offers flexible financing for a wide range of residential projects, including weatherization, heat pumps, solar panels, battery storage, and EV charging stations. To qualify, home improvements must reduce energy usage by at least 20%.

Flexible Financing to Support Homeowners

Unlike other programs, this initiative allows homeowners to finance up to $100,000 in improvements, including costs eligible for clean energy rebates and incentives. Loans feature no upfront cash requirements, with rebate proceeds and tax credits used to pay down the loan. Interest rates range from 0.5% to 2%, depending on household income, with a 240-month term for lower monthly payments, making the Massachusetts Community Climate Bank more accessible to residents.

Unmatched Customer Support

The program stands out for its high-touch customer service, connecting homeowners with resources like contractors and rebate programs. Service providers such as Cape Light Compact, All In Energy, and CET will offer concierge services, while Abode Energy Management will oversee energy services statewide. This highlights the commitment of the Massachusetts Community Climate Bank to provide excellent support.

Eligibility and Reach

The program is open to all income-qualified Massachusetts homeowners, supporting energy improvements in single-family homes and small multi-family residences. Homeowners earning less than 135% of the area median income are eligible, with limits ranging from $190,775 in Greater Boston to $124,875 in Berkshire County.

The MCCB has allocated $20 million for the program, aiming to commit up to 1,000 loans over the next two years. Leveraging federal Inflation Reduction Act resources, the Massachusetts Community Climate Bank program is poised to scale even further.

A Bold Vision for Climate Leadership

Since its inception in 2023, the MCCB has championed clean energy solutions for low- and moderate-income households. By addressing energy inequities and advancing decarbonization, the Climate Bank is a cornerstone of Massachusetts’ climate strategy.

About MCCB Partners

• Cape Light Compact: Provides award-winning energy efficiency and renewable energy programs to Cape Cod and Martha’s Vineyard residents.
• All In Energy: A nonprofit advancing energy efficiency in underserved communities while promoting clean energy careers.
• Abode Energy Management: An energy consulting firm specializing in residential decarbonization and contractor management.
• MassHousing: A quasi-public agency offering financing for affordable housing in Massachusetts, with decades of expertise in supporting low- and moderate-income households through the efforts of the Massachusetts Community Climate Bank.

Governor Healey’s administration continues to lead with initiatives that make Massachusetts a global climate innovation hub. From establishing the nation’s first Climate Chief to proposing a $1 billion investment in climate technology, Massachusetts is paving the way for a sustainable future.