Speeding Up Equity in Clean Energy
What a game changer it would be for the economy, for the climate and for the country, if underserved communities and businesses could get the financing they need to make clean energy truly accessible.
E2 is working to get us closer to that reality. Part of that effort is our ongoing support for the National Clean Energy and Sustainability Accelerator (H.R. 806) (S 283).
This legislation would provide a one-time $100 billion infusion of funds into a national clean energy accelerator finance institution. Based on the incredible success of the state-based green banks, the accelerator would provide communities and businesses critical technical support and supportive financing terms for climate-smart projects including renewable energy, building efficiency, transportation, grid infrastructure, industrial decarbonization, forestry and agriculture and climate resilience. The accelerator would also directly finance major national projects such as high-capacity grid transmission lines between states. It would help to set up and capitalize more state green banks to support local projects.
Critically, the bill requires that 40 percent of investments to go communities most impacted by climate change including low income communities, communities of color, rural areas, and those transitioning away from fossil fuels. This could make a huge difference for minority and disadvantaged communities and business-owners currently underserved (or not served at all) by traditional financing.
If you missed it, please watch E2’s webinar on Equity & Access to Green Bank Financing from May 25 for more on how green banks can help improve access to climate-smart-project financing for underserved communities. E2 was pleased to host Jeff Schubb of the Coalition for Green Capital (CGC) and Ajulo Othow of the Black Owners of Solar Services (BOSS) for a lively and practical discussion.
The great news is that this policy has real legs. President Biden’s budget released last week includes the Clean Energy Accelerator. In Congress, H.R. 806 has bipartisan support in the House and S. 283 has received a hearing in the Senate. This week, Rep. Debbie Dingell (D-MI), Rep. Don Young (R-AK), Rep Paul Tonko (D-NY) and Rep. Brian Fitzpatrick (R-PA) sent a bipartisan letter to Speaker Pelosi and Republican Leader McCarthy urging them to include the accelerator in recovery legislation.
There is more work to be done, but the idea of a clean energy accelerator is definitely accelerating right now.
