Kentucky lawmakers approve PACE financing to support clean energy and efficiency
Kentucky is the latest state the approve a Property-Assessed Clean Energy (PACE) financing initiative. PACE is a financing tool that states can use to develop new renewable energy projects. The tool has become somewhat popular in the United States, as they have proven to be an effective way to finance new energy projects that can be a benefit to a state. PACE allows cities to use property taxes to fund new clean energy projects.
PACE will help fund the adoption of renewable energy
In Kentucky, businesses and commercial property owners can now apply for PACE financing. This funding can be used to adopt energy efficient technologies and policies, embrace renewable energy systems, and improve their water efficiency. Approval for PACE comes after a two-year legislative battle, where lawmakers and energy organizations have been working to find ways to support clean energy in the state. Many lawmakers hope that the PACE initiative will help the state establish more energy security and reduce the barriers associated with adopting renewable energy.
New initiative may be good news for energy companies operating in Kentucky
PACE approval may be a boon for clean energy companies in the state. Though Kentucky does offer subsidies to the clean energy sector, these subsidies are limited. The state will not have to introduce new subsidies in order to support clean energy thanks to PACE approval. Energy prices are relatively low in the state, but businesses are continuously look for ways to reduce their energy expenditures. Renewable energy and energy efficiency could be a good way to accomplish this goal.
Lawmakers are showing more support for renewable energy
The renewable energy sector is heavily reliant on government support. Without the efforts of lawmakers, initiatives like PACE would not be able to take form. Some lawmakers believe that clean energy holds a great deal of economic promise, as new energy projects will create jobs. Others have shown concern for the environment and climate change, hoping to reduce emissions through new regulations and by supporting the adoption of clean energy.