FY2018 Special Energy Loan Cycle Announcement
The FY2018 Special Loan Cycle is now open with $2.5 million in low interest Energy Loan Program funds available. Fifty percent (50%) of the available funds are designated specifically for Combined Heat and Power (CHP) projects. CHP systems allow facilities to produce both heat and electricity on-site, and can cut utility costs by 20 to 25 percent. Loan applications are being accepted from May 15, 2018 to July 15, 2018. Loan amounts vary from $10,000 to $1 million and are repaid by energy savings with a maximum repayment term of 10 years including principle and interest.
Eligible Energy-Using Sectors: Combined Heat and Power Projects (CHP) – 50% of available funds:
- City/County-owned and operated nursing homes or assisted living facilities;
- Public and Private Higher Education Institutions;
- Public and Private not-for-profit Hospitals; and
- City/County-owned and operated correctional facilities
Any energy-saving project – 50% of available funds:
- Public and Private not-for-profit Hospitals
Applications will be reviewed on a competitive basis until all available funds are awarded. For further assistance, please contact the Energy Loan Program at 855-522-2796.
$2.5 Million Financing Available for Energy Improvements
Local governments, public and private higher education institutions and public and private not-for-profit hospitals will be able to apply to receive low interest energy loans from May 15 through July 15, 2018. Read more...
FY2018 Supplemental Energy Loan Cycle
The FY2018 Supplemental Energy Loan Cycle is now closed. Currently, loan applications are currently undergoing a technical review. Loan awards will be announced in June. For further assistance, please contact the Energy Loan Program at 855-522-2796.
Low-interest Loans to Schools and Governments for Energy Efficiency Improvements
The Division of Energy provides loans to public schools (K-12), public/private colleges and universities, local governments including public owned airport facilities (municipal, county, regional, and international), public water/wastewater treatment facilities and public/private not-for-profit hospitals to help reduce energy costs through the Energy Loan Program. This loan financing may be used for various energy-saving investments, including projects such as upgrading insulation, lighting systems, heating and cooling systems, windows and other items that affect your energy use.
Loan recipients benefit from increased occupant comfort in their buildings and reduced energy costs. The financing also frees up tax dollars that school districts, higher education facilities and local governments can use for essential services or other capital improvements. Loan recipients repay the loan with money saved on energy costs as a result of implementing the energy-efficiency projects.
According to Attorney General of Missouri opinion letter No. 136-85, these loans borrowed by public schools do not require electorate assent and are not considered as “debt” created. Therefore, the loan financing does not count against debt limits or require a public vote or bond issuance.
Since the Energy Loan Program’s inception in 1989, the Division of Energy has awarded more than 598 loans resulting in more than $106 million in completed energy efficiency projects and more than $198 million in estimated cumulative energy savings. There have been no loan defaults in the 29-year history of the Energy Loan Program.
Projects with energy cost savings are eligible with this Energy Loan Program. Examples of eligible projects include:
- High efficiency lighting fixtures and lamps
- High efficiency heating, ventilation and air conditioning systems
- Combined heat and power systems
- Renewable energy systems
- Waste heat recovery
- Energy efficient fine bubble diffusers and high efficiency pumps
- Building shell improvements such as insulation and other infiltration measures
- Other measures that reduce energy use and cost
Applications will be reviewed on a competitive basis until all available funds are awarded.