Businesses can get energy efficiency upgrade loans and leases with zero interest under a state program funded by California utilities.
GoGreen Business Energy Financing is administered by the California State Treasurer’s Office and targeted at small and medium-sized businesses.
“California is home to more than 4 million small businesses, contributing over 7 million jobs to the state’s economy,” said Fiona Ma, California treasurer, in a news release. “Programs like GoGreen Financing are crucial in helping local businesses across the state enhance their business operations and possibly even help them save on energy costs while supporting the state’s green energy movement.”
The loans can be used to upgrade appliances, equipment, heating and air conditioning, lighting and food-service equipment, which can range from from stoves and ovens to refrigeration and freezers, said Christian Daly, external affairs manager with the treasurer's office.
The program is for efficiency upgrades, so it does not include the installation of solar panels.
The funding is limited to $300,000, and the applications are due by June 30. The $300,000 funding may not seem like a lot of money for a statewide program, but that money gets leveraged because it is only used to pay for the interest-rate buy-down for the loan for a project.
The program could get more funding starting in July.
Businesses still have to repay the loan or lease on the project, but up to 100% of the interest on that loan is paid by the state program. The interest-rate pay-down can be up to $10,000 per project.
Applications are on the GoGreen Financial website. That site has links to approved contractors working in the program and also to approved lenders.
In greater Sacramento, the approved lenders in the business program are Ascentium Capital, DLL Group and Verdant Commercial Capital.
The broader GoGreen site has four programs: GoGreen Home, GoGreen Business, GoGreen Multifamily and GoGreen Nonresidential. Nonresidential isn't currently active.
Treasurer Ma chairs the California Alternative Energy and Advanced Transportation Financing Authority, the state agency that administers GoGreen Financing.
The program is meant to spur private investment in energy efficiency projects that help businesses and non-profits save energy and money as well as to help meet California’s zero-carbon climate goals.
“We know this one-of-a-kind promotion can make an even bigger difference for businesses that are in need of upgrades but are deterred by the upfront costs,” said Traci Hukill, GoGreen Financing specialist, in a news release. “GoGreen Financing allows businesses to complete those upgrades without having to pay all at once. And now with interest rates as low as 0%, California’s small and medium-sized businesses have a real opportunity to make those upgrades and know they are operating as efficiently as possible.”
An earlier version of the story included an inaccurate list of approved lenders for the GoGreen Business program.
