Financing your energy efficiency project just got a lot easier.
The Greater Cleveland Partnership and Council of Smaller Enterprises have created an Interest Rate Reduction Program for efficiency and renewable energy initiatives, working directly with KeyBank. The program allows businesses to reduce the interest rate on these projects by up to 4.25%.
Rate reduction details
How does it work? Businesses can obtain a minimum 1% rate reduction from projects that yield 15% in annual energy savings. The opportunity exists for further rate reduction from greater energy savings:
- 15% to 20%: A 1% reduction applied to the loan (total of 2%)
- 21% to 30%: A 1.5% reduction applied to the loan (total of 2.5%)
- 31% to 50%: A 2% reduction applied to the loan (total of 3%)
Businesses that implement more than one energy conservation measure are eligible to receive an additional 0.5% rate reduction. Also, use of a COSE Energy Contractor means the business can shave another 0.5% off the rate. And lastly, if green lease principles are integrated, another 0.25% will be taken off the rate.
To qualify for a rate reduction, you must be a FirstEnergy customer and you must also be a GCP/COSE member for the term of the loan. Loan terms are 24, 36, 48, 60 and 72 months. The final interest rate on the loan will not be lower than 2%. Terms are subject to change.
A myriad of projects are eligible for the Interest Rate Reduction Program, including:
- Mechanical systems and components, including HVAC
- HVAC controls/advanced thermostats
- Lighting and lighting controls
- Doors and windows
- Refrigeration upgrades
- Advanced energy projects
How to apply
Applying for a reduction in your interest rate can be done in five easy steps.
STEP 1: Go to cose.org/energyloanapp.
STEP 2: Complete the Interest Rate Reduction application, where you provide information about your project.
STEP 3: A referral is made to KeyBank for the loan application.
STEP 4: Loan approval and rate reduction is confirmed by KeyBank within two or three days.
STEP 5: Get started on your project and begin saving on energy costs. The loan is paid back via your energy savings earned each month.
Learn about additional opportunities to bring energy savings to your business through rebates and incentives, energy assessments and a network of local, vetted contractors. Questions? Contact the GCP/COSE Energy Team at 216-592-2205 or via email at email@example.com.