Property Assessed Clean Energy (PACE)
PACE financing is available in many areas. While it is a relatively new form of Financing for energy-related projects, it uses a very established way of funding improvements in a municipality. Pace financing creates an energy special improvement district or ESID to fund the solar improvement or other energy-related improvements. More traditional special improvement districts (SIDs) have long been used to fund projects like sewer upgrades that benefit a specific district or area. Bonds finance the project and those bonds are paid back with a special property tax that is applied to any property affected by the improvement. With the ESID, the special improvement district can apply to just one building instead of a full district. The special tax is also applied to just the one building and is attached to the building itself. If the company sells the building with the attached solar system, the tax remains on the building for the new owners until the 20-25 year period is up.