Financing Energy Improvements on Utility Bills: Market Updates and Program Design Considerations for Policymakers and Administrators

Financing Energy Improvements on Utility Bills: Market Updates and Key Program Design Considerations for Policymakers and Administrators provides an overview of the current state of on-bill programs and provides actionable insights on key program design considerations for on-bill lending programs. States and utilities are increasingly turning to on-bill financing to stretch their limited efficiency program dollars and to overcome a number of barriers to the uptake of energy improvements in residential and non-residential properties.

The report describes the historical evolution of on-bill programs and draws on data collected from 30 on-bill programs (including 13 in-depth case studies which are discussed in the technical appendices) to review and analyze key trends in on-bill programs, including their geographic reach, loan volumes, loan performance, and four important program design features.

• How is the loan product structured?
  • Power disconnection and meter attachment
     
• Where does loan funding come from?
  • Selecting sources of capital
     
• Who is eligible?
  • Assessing customer creditworthiness, underwriting criteria
     
• What can participants finance?
  • Eligible energy, and non-energy, improvements.

Financing Energy Improvements on Utility Bills: Market Updates and Key Program Design Considerations for Policymakers and Administrators is available as a full report below. The executive summary, a summary of the report in presentation form, and technical appendices (which include 13 in-depth case studies) are also available individually. 

To view the report and related documents, click here.