Solar for All: Solar for Affordable Housing Highlights

Highlights from the $7 billion Solar for All selected applicants  

Background: The Solar for All program is a $7 billion investment to enable low-income and disadvantaged communities to deploy and benefit from solar energy. The program is designed to deliver on the Biden-Harris Administration’s commitment to reduce greenhouse gas emissions and other air pollution, save American families money on their utility bills, create high-quality jobs, reduce costs and increase the climate resilience of affordable housing properties around the country. It will mobilize financing to deploy residential solar projects, dedicating 100% of the $7 billion in funding to low-income and disadvantaged communities, exceeding President Biden’s Justice40 commitment.

Each of the Solar for All selectees has developed a robust and thoughtful program. The plans highlighted below are a sampling of the strategies and approaches focused on affordable housing, and include proposals specifically targeted to overcoming unique challenges to deploying solar in federally supported housing. The plans are designed to provide meaningful household savings to households in low-income and disadvantaged communities, reduce energy costs and, when combined with battery storage, increase resilience for low-income households by delivering electricity during grid outages.

Please note the examples featured below, while not comprehensive or exhaustive, are intended to highlight key features of programs proposed and details may change as the programs are implemented.

Disclaimer: The summaries are based on information provided in the application packages that selected applicants submitted to EPA and that were reviewed and selected in accordance with the evaluation criteria in Section V.A: Evaluation Criteria of the Notice of Funding Opportunity. Note that EPA will work with the selected applicants to refine their application packages into detailed workplans that are subject to final approval from the EPA Award Official. Note that selections are contingent on resolution of all administrative disputes relating to the competition.

GRID Alternatives: GRID Alternatives is a national nonprofit leader in helping economic and environmental justice communities nationwide access affordable renewable energy, transportation, and jobs. It recognizes the need to bring partners to the table with affordable housing at the center of their mission in order to truly distribute the benefits of distributed solar energy to residents in all communities. GRID Alternatives’ Solar Access for Nationwide Affordable Housing (SANAH) coalition will implement its GGRF-funded projects across the country. The coalition will draw on its key partners’ extensive experience deploying solar generation systems on affordable single-family and multi-family housing, including in traditionally challenging solar markets. These partners include several nationally-recognized housing-focused organizations such as Habitat for Humanity, NeighborWorks, National Housing Trust, Housing Partnership Network, Enterprise Community Partners and Loan Fund, National Equity Fund, and the Local Initiatives Support Corporation as well as Rewiring America and World Resources Institute. GRID Alternatives’ program commits to offering technical assistance services for affordable housing providers that will address their unique and complex challenges. The program will support a range of third-party owned, direct install and community solar options in the affordable housing sector and takes advantage of virtual net metering and other solutions to maximize direct benefits to residents.

Hope Enterprise Corporation: Hope Enterprise Corporation (HEC) is a nonprofit community development financial institution (CDFI) with a decades-long track record of investing in affordable housing, schools, grocery stores, small businesses and other investments in low-income and disadvantaged communities in economically distressed areas of the South. Drawing on its strong partnerships with affordable housing developers in Arkansas and Mississippi, HEC plans to offer innovative low-cost financing for leased residential rooftop solar for low-income homeowners, as well as low-interest construction and permanent loans to owners of multi-family buildings tied to guaranteed energy savings for tenants. To ensure buildings receiving these low-cost financial products deliver meaningful benefits to residents, HEC plans to facilitate the creation of agreements that distribute energy and cost savings benefits (which would reduce bills at least 20%) between the building owners and residents.

North Carolina Department of Environmental Quality: The North Carolina Department of Environmental Quality (NCDEQ), the state’s environmental agency, consulted a broad group of stakeholders including nonprofit housing developers to understand the most pressing barriers to solar deployment in the state in the development of their application. These consultations informed NCDEQ’s preliminary plans for a behind-the-meter solar installation program specifically for affordable multi-family and supportive housing owned and operated by nonprofit and public organizations, which will comprise about 21% of NCDEQ’s Solar for All funds. The program will be further refined in tandem with affordable housing stakeholders such as Mountain Housing Opportunities, DHIC, and Raleigh Housing Authority. NCDEQ also plans to provide technical assistance support to recipients of financial assistance while implementing accountability mechanisms to ensure that financial benefits flow to residents. This program will lay the groundwork and build internal capacity at these organizations to incorporate solar benefits into housing projects well into the future.

Massachusetts Department of Energy Resources: As part of its Massachusetts Coalition, the Massachusetts Department of Energy Resources (DOER) brings together a proven team of energy and housing agencies, including the Massachusetts Clean Energy Center, the Boston Housing Authority and MassHousing, to implement solar for low-income and disadvantaged communities across the state. Of the Coalition’s five initiatives, two will focus on solar deployment in multifamily housing: the Solar on Public Housing Initiative (targeting state and federal public housing across the state) and the Solar on Affordable Housing Initiative (targeting regulated affordable housing such as Low-Income Housing Tax Credit properties). Through the Solar for All program, the Coalition intends to provide the technical assistance, subsidies and financing needed to enable affordable public housing and multifamily property owners to overcome the capital and operating barriers to installing solar PV.

Tanana Chiefs Conference: The Tanana Chiefs Conference will work closely with the Alaska Native Tribal Health Consortium and Housing Finance Corporation, along with a wide range of partners in housing authorities, regional nonprofits, electric utilities, and more, to provide access to solar for every Tribal community in Alaska. A share of the program will be administered by the Alaska Housing Finance Corporation, which will fully subsidize solar projects benefiting qualifying Alaska Native households. These households will own the systems outright, receiving the self-sufficiency and cost savings benefits of solar ownership.

Vermont Department of Public Service: The Vermont Department of Public Service is the state’s agency charged with representing the public interest in matters related to energy, telecommunications, water and wastewater. The Department will direct about one-third of its Solar for All award to its Managed Affordable Solar Housing Program, which will offer the benefits of rooftop solar to residents of permanently designated affordable housing. The Department will provide subsidies and low-interest loans alongside other housing and energy resources to developers and property owners of subsidized housing projects. By partnering with local affordable housing organizations using existing and trusted pathways, the Department will be able to deliver on-site solar to multi-family affordable rental housing more efficiently.

Wisconsin Economic Development Corporation: Wisconsin Economic Development Corporation (WEDC) is a public-private agency focused on advancing business development and innovation for Wisconsinites through loans, grants, tax credits, and technical assistance programs. WEDC plans to provide financial assistance to multi-family affordable housing building owners and developers via several types of funds, including credit-enhanced loans for owners of naturally occurring affordable housing, a revolving loan fund for subsidized affordable housing, and other grants (to be combined with loan products). Through its proposed Single Family Solar Pathway, WEDC will partner with nonprofits to deploy solar on affordable housing constructed or rehabilitated since 2000, as well as new affordable housing projects that will be constructed in the future. This pathway will provide grants to households below 60% of the area median income to cover the upfront costs of installing solar, which will deliver immense cost savings in the long run.

Together these seven selected applicants, along with the 53 other highly qualified selected applicants, will serve over 900,000 households in the next five years and help EPA deliver on the Biden Administration’s promise to reduce utility cost burdens, create job opportunities, and transition to a clean energy economy.