innovation keynote€¦ · consumer protections equity environmental justice. leverage 20:1...
TRANSCRIPT
Innovation Keynote
Kerry O’Neill
President
Inclusive Prosperity Capital
https://www.youtube.com/watch?v=5q_NHN2ttPg
spins out…
We believe everyone should have access to the benefits of clean energy:
A cleaner, more resilient environment in the face of climate change
Healthier communities & buildings that create positive social externalities
Sustainable economic value creation: reduced energy burdens, increased household/business savings, and enhanced community productivity
We can change the conversation in underinvested neighborhoods and underserved markets, helping to deliver Inclusive Prosperity.
The “Why”
Investment Track Record & Success
$75 MMCLOSED7.5:1
Residential SolarCommercial Solar
$50+ MMOPEN9:1
C‐PACE
$60+ MMOPEN6:13
Green Bank Solar PPA
$3 MMOPEN100%4
Residential andCommercialStorage
$55 MMOPEN4:1
Solar for All
$55 MMOPEN20:11
Residential Energy
$65 MMCLOSED10:1
Grid‐Tied Multifamily
Energy
$5 MMOPEN100%2
$9 MMCLOSED9:1
Green Bank Solar PPA
$3 MMCLOSED3:1
Archimedes Screw Hydroelectric
Project
City of Meriden CT
5 MWWind Project
$22 MMCLOSED8:1
Colebrook Wind
REFERENCES1. LLR yields high leverage – and it is 2nd loss and thus with no to low defaults, we haven’t used to date. IRB’s not considered in the leverage ratio.2. Foundation PRI is to HDF, guaranteed by the CGB in the case of MacArthur Foundation.3. Onyx Partnership has no upper limit and CGB currently has authorization to commit up to $15mm. 4. Foundation PRI’s are backed by CGB balance sheet
Credit Enhance Warehousing Tax Equity Finance Project
Finance PRI
$30 MMCLOSED4:1
C‐PACEResidential
Solar
$6 MMCLOSED6:1
Tax Credit Bonds
We’re INTENTIONAL
about EQUITY
Gaps Intersections Ecosystem
or…
credit building
financial stability
building wealth
housing insecurity
energy burden
preservation of affordable housing
social determinants
of health
economic development
community development
credit invisible
neighborhoodrevitalization
transit-orienteddevelopment
resiliency
decarbonization
public health
early childhood
aging in place
workforce development
consumer protections
equityenvironmental
justice
Leverage
20:1
SMART‐E FLEXIBLE FINANCING FOR HOMEOWNERS
JobsPolicy Impact
Energy Efficiency and Home Performance
Solar + Storage + EV Chargers
Strategic Electrification of Heating & Cooling
Green and Healthy Homes
Resilience
Low‐to‐Moderate Income and Credit‐Challenged
Local Lenders and Contractors as Advocates
Smart‐E mobilizes the lending capacity of local lenders, a vetted contractor network, and the relationships of program sponsors to scale clean energy home upgrades in a national residential loan platformusing a standardized product that also supports underserved borrowers.
National Residential Loan Platform
Low‐to‐Moderate Income and Credit
Challenged Expertise
Best‐in‐Class BackersConnecticut Green Bank, Michigan Saves and Hewlett Foundation
Sustainable and Cost‐Effective
NationalPlatform
SMART‐E FLEXIBLE FINANCING FOR HOMEOWNERS
Too hard for owners
Individual agency goals and drivers differ
We share info, but processes not integrated
Not designed to achieve desired outcomes
We don’t speak a common language
We operated in silos
So what’s the ecosystem problem?
AFFORDABLE MULTIFAMILY HOUSING
12
Insert Picture
Table VSM. The activities and steps, both valued and non‐value added, in the current process and future desired state.
What we did… LEAN’ed
AFFORDABLE MULTIFAMILY HOUSING
Integrated process to incorporate utility incentives into state funded projects
Changes to LIHTC Qualified Allocation Plan
New pre‐development/ technical assistance loan and unsecured energy loan to plug financing gaps
Strong partners in the housing sector for outreach and implementation
Our successes…
AFFORDABLE MULTIFAMILY HOUSING
Unlocking Cash Flows with Unsecured Energy Loan
AFFORDABLE MULTIFAMILY HOUSING
East Meadow Condo Association, Manchester, CT
Description: Lighting, boilers, roofreplacement, insulation
Total Project Costs:Utility Incentives: Financed:
$654,000$34,000$620,000
Estimated Annual Savings: $79,000
Annual Debt Service: $53,000, 1.48 DSCR
Financing Terms: 20 years, 6.00%
Payback Period: 7.8 yearsEnergy improvements yield significant savings, unlocking cashflows that cover debt service –
often for additional improvements such as needed structural, health or safety work.
www.ctgreenbank.com/our-stories/ - multifamily
From Surviving to Thriving
SINGLE FAMILY SOLAR + EFFICIENCY
Solar for All for Low‐to‐Moderate Income Homeowners
Weatherization Deferrals
1/3
CONNECTICUT GREEN AND HEALTHY HOMES PROJECT
Asthma Prevalence
Strong state agency buy‐in and stakeholder capacity in energy, housing and health sectors are the foundation of a statewide collaboration
Vision
“Any family across Connecticut ‐ whether they come to a health facility for treatment of asthma, contact their utility for energy efficiency services, or seek housing
repairs from a local social service nonprofit – would get the package of interventions needed to make their
home green, safe and healthy.”
CONNECTICUT GREEN AND HEALTHY HOMES PROJECT
Shared PROSPERITY
For an INCLUSIVE ECONOMY
We can be heroes…
#EEFusion
ENJOY THE CONFERENCE!
www.SEEAConference.com