CHAM Conference, June 26, 2024
With increasing operational costs and a rising frequency of costly natural disasters, it’s crucial for asset managers to identify resources to improve energy efficiency in aging portfolios. This plenary serves as an excellent introduction to decarbonization and the available funding to support this process. The session also offers a detailed discussion on how to access these funds.
You’ll learn the necessary steps to prepare your portfolio for decarbonization—reducing or eliminating emissions that contribute to climate change—and discover what others in the field have already accomplished. The session includes case studies showcasing successful initiatives in this space.
Adam Meier from Housing Partnership Network (HPN) kicked off the plenary by highlighting the critical role of asset managers in the decarbonization of existing buildings. He explained that decarbonization involves reducing or eliminating the use of fossil fuels to minimize greenhouse gases. This includes making buildings more energy efficient by adding insulation, electrification, replacing boilers with heat pumps, using renewable energy sources like solar, and optimizing energy use throughout the day.
Panelists also discussed the Inflation Reduction Act (IRA), which authorized $369 billion for clean and energy-efficient buildings. The Environmental Protection Agency (EPA) has implemented the Greenhouse Gas Reduction Fund (GGRF), the largest non-tax credit program, including $27 billion for clean energy programs and proven technology. Funds are to be paired with private capital, and initiatives include the National Clean Investment Fund (NCIF) to bring new financing products to market, with 40% of expenditures directed to low-income and disadvantaged communities. The Clean Communities Investment Accelerator (CCIA) allocates $6 billion to enhance the capacity of community lenders to invest in green financing. Solar for All focuses on funding for emission reductions.
Saun Rai from Community Housing Partners suggests benchmarking your portfolio using tools from companies such as Yardi Energy Solutions, MRI, Bright Power, Wegowise, and RealPage. He recommends building a pipeline of eligible properties, conducting capital needs assessments, analyzing funds, and developing a scope of work for necessary improvements. Asset managers should incorporate energy reduction planning into their capital improvement plans, understand net-zero emissions, and collaborate with development and acquisitions teams to apply for GGRF.
Moderator:
Madeline Fraser Cook LISC
Panelists:
Adam Meier, Housing Partnership Network
Elizabeth Richards, Sr. Program Director, Enterprise Community Partners
Shaun Rai, Community Housing Partners
Thanks to Sabrina Waytes, Managing Advisor, Community Reinvestment Advisors, for writing up the summary.