ST. PAUL, Minn. (AP) — The city of Minneapolis is seeking permission to launch what would be one of the nation’s largest on-bill financing programs for energy efficiency.
City officials are pressing state regulators to approve the $50 million pilot program as part of a natural gas rate case by CenterPoint Energy.
Under the proposal, customers would be able to borrow money for energy efficiency improvements and repay it through a line on their monthly utility bill. Unlike conventional loans, they wouldn’t face income requirements or credit checks, and the obligations would stay with properties.
City leaders call it “inclusive financing” — the concept is also known as Pay As You Save — and they say it will help offset proposed rate increases for some low- and middle-income residents. The city anticipates being able to assist around 10,000 households who would each spend an average $5,000 on projects.
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