Home
About us
Projects
Publications
Newsletters
Conferences
Media
News
Contact
Search
Login
News
Search
Sign up for Newsletter
22 August 2011
GreenerBuildings: Show Me the Money: Energy Efficiency Financing Barriers and Opportunities
Source:
www.greenerbuildings.com
Energy efficiency represents a significant largely untapped opportunity for meeting the dual goals of financial return and environmental protection. By eliminating wasted energy, the U.S. can reduce its fossil fuel use, move toward energy independence, and reduce its greenhouse gas (GHG) emissions by almost forty percent by 2030 at a net savings to customers.
The investor stands to harvest an estimated $130 billion in annual energy savings according to 2009 research from McKinsey & Company. However, a host of barriers stand in the way of these cost savings and associated GHG emissions reductions being realized, including but not limited to:
• High upfront capital costs
• High development costs
• Long payback periods
• Uncertainty of savings and perceptions of risk
• Split incentives
• Limited capital availability
How real are these barriers? What progress has been made in developing business models that resolve them? Which are the key market failures that need to be addressed to motivate investors to be first movers in this marketplace? These are some of the questions that Environmental Defense Fund (EDF) and the Nicholas Institute for Environmental Policy Solutions (NI) set out to answer through delving into the literature on the space; collecting information from EDF partner companies; and interviewing a dozen investors, who have been actively conducting due diligence on energy efficiency deals.
This paper briefly characterizes energy efficiency market sectors; describes the major players in the energy efficiency financing market; describes the key barriers facing each market sector; reviews primary internal and external financing strategies used by each market sector; summarizes our investor discussions; and offers conclusions and recommendations for catalyzing large-scale deployment of capital to the energy efficiency sector.
News
24 May 2011
SocialFunds: Investors Call for End to Human Trafficking in Corporate Supply Chains
23 May 2011
SRI-Adviser: Guide to Auditing Is Designed to Help Investors
21 May 2011
SocialFunds: CalSTRS To Include ESG in Discussions with Asset Managers
20 May 2011
SRI-Advisers: CalPERS Will Integrate ESG Considerations Across all Asset Classes
19 May 2011
HFMWeek: Beyond the fundamentals
19 May 2011
SRI-Adviser: Genocide-Free Investing Proposal Wins Support at JPMorgan
18 May 2011
GreenerBuildings: Turner Construction Wins Big with Green Building
17 May 2011
SoocialFunds: Chevron's Disclosures to Investors on Risks Associated with Ecuador are Questioned
16 May 2011
SRI-Adviser: SEC Allows TIAA-CREF Omission of Shareowner Resolution on Israel Divestment
14 May 2011
SocialFunds: LeapFrog Investment in East African Microinsurer Is the Largest in African History
[
1
][
2
][
3
][
4
][
5
][
6
][
7
][
8
][
9
][
10
][
11
][
12
][
13
][
14
][
15
][
16
][
17
][
18
][
19
][
20
][
21
][
22
][
23
][
24
][
25
][
26
][
27
][
28
][
29
][
30
][
31
][
32
][
33
][
34
][
35
][
36
][
37
][
38
][
39
][
40
][
41
][
42
][
43
][
44
][
45
][
46
][
47
][
48
][
49
][
50
][
51
][
52
][
53
][
54
][
55
][
56
][
57
][
58
][
59
][
60
][
61
][
62
][
63
][
64
][
65
][
66
][
67
][
68
][
69
][
70
][
71
][
72
][
73
][
74
][
75
][
76
][
77
][
78
][
79
][
80
][
81
][
82
][
83
][
84
][
85
][
86
][
87
][
88
][
89
][
90
][
91
][
92
][
93
][
94
][
95
][
96
][
97
][
98
][
99
][
100
][
101
][
102
][
103
][
104
][
105
][
106
][
107
][
108
][
109
][
110
][
111
][
112
][
113
][
114
][
115
][
116
][
117
][
118
][
119
][
120
][
121
][
122
][
123
][
124
][
125
][
126
][
127
][
128
][
129
][
130
][
131
][
132
][
133
][
134
][
135
][
136
]
Sustainable Investment Research Platform
Provided by Webforum