Depending on the specific needs of their customers, CGE Energy utilizes many financial mechanisms to make sustainable energy a financially smart decision. The company encourages a prudent examination of the available financial structures for an organization to best choose from.
A federally backed loan program known as PACE (Property Assessed Clean Energy) has become a popular financing method over the past few years. The program attaches the cost of an energy improvement to a building owner's property tax roll for up to 20 years. CGE Energy is a certified contractor for Michigan PACE, but they have been developing their own financing solution to fill the gaps that PACE does not address.
"PACE opens doors for energy projects that wouldn't have happened otherwise, but it still requires positive cash flow each year of the loan. The only way to achieve this is a long-term lien at 7-8% interest, which significantly reduces the energy savings experienced," said Bryan Zaplitny, President/CEO of CGE Energy. "They might not have cash out of pocket, but it may not be the wisest way to get an energy improvement done."