Federal Loan Programs

Clean Renewable Energy Bonds (CREBs)
Clean renewable energy bonds (CREBs) may be used by certain entities—primarily in the public sector—to finance renewable energy projects. CREBs may be issued by electric cooperatives, government entities (states, cities, counties, territories, Indian tribal governments or any political subdivision thereof), and by certain lenders. CREBs are issued—theoretically—with a 0% interest rate. The borrower pays back only the principal of the bond, and the bondholder receives federal tax credits in lieu of the traditional bond interest.

More details on DSIRE.



Energy-Efficient Mortgages

Homeowners can take advantage of energy efficient mortgages (EEM) to either finance energy efficiency improvements to existing homes, including renewable energy technologies, or to increase their home buying power with the purchase of a new energy efficient home. This allows borrowers who might otherwise be denied loans to pursue energy efficiency and  secures lenders against loan default.

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Qualified Energy Conservation Bonds (QECBs)
QECBs are qualified tax credit bonds, and in this respect are similar to new Clean Renewable Energy Bonds or CREBs. With tax credit bonds, generally the borrower who issues the bond pays back only the principal of the bond, and the bondholder receives federal tax credits in lieu of the traditional bond interest. The tax credit may be taken quarterly to offset the tax liability of the bondholder.

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U.S. Department of Energy - Loan Guarantee Program

These loan guarantees are for projects that "avoid, reduce or sequester air pollutants or anthropogenic emissions of greenhouse gases; and employ new or significantly improved technologies as compared to commercial technologies in service in the United States at the time the guarantee is issued." The loan guarantee program has been authorized to offer more than $10 billion in loan guarantees for energy efficiency, renewable energy and advanced transmission and distribution projects.

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USDA - Rural Energy for America Program (REAP) Loan Guarantees
the REAP promotes energy efficiency and renewable energy for agricultural producers and rural small businesses through the use of (1) grants and loan guarantees for energy efficiency improvements and renewable energy systems, and (2) grants for energy audits and renewable energy development assistance. Of the total REAP funding available, approximately 88% is dedicated to competitive grants and loan guarantees for energy efficiency improvements and renewable energy systems. These incentives are available to agricultural producers and rural small businesses to purchase renewable energy systems (including systems that may be used to produce and sell electricity) and to make energy efficiency improvements.

More details on DSIRE.


Source: Database of State Incentives for Renewables and Efficiency (DSIRE)