DURHAM, N.C. Generations Community CU is teaming with Roanoke Electric Cooperative to offer low-cost loans for energy efficiency projects to electric consumers in underserved rural communities in North Carolina.
The loan will be paid back on the monthly utility bill, which the credit union said will reduce paperwork for homeowners and making repayment easier. Homeowners can borrow up to $4,000 for improvements, with interest rates as low as 3.5%.
The program represents a public-private partnership between the electric cooperative, the credit union and Environmental Defense Fund.
It is the first on-bill finance program in North Carolina to use private capital for energy efficiency retrofits. Existing on-bill finance programs in the state typically rely on utility funds or shrinking federal funding.
Unlike some other on-bill programs, this program does not tie the loan to the meter, allowing lenders with different underwriting criteria to participate. It also limits funding to energy efficiency improvements with expected energy savings paybacks over the five-year maximum loan period.
