Property Assessed Clean Energy (PACE)

PACE is a new financing model to finance energy efficiency and renewable energy products on residential and commercial buildings. Its primary purpose is to enable the mass adoption of energy efficient, renewable energy, and water efficient products.

PACE legislation is based on 100-year old, land-secured municipal financing which enables local governments to finance improvements. Bonds are issed and secured by special taxes or assessments. Property owners receive money to fund eligible energy efficiency or renewable energy products and voluntarily agree to pay an annual special tax or assessment to repay the amount borrowed.

Today, the following states have adopted PACE legislation:


  • California
  • Colorado
  • Florida
  • Illinois
  • Louisiana
  • Maryland
  • Michigan
  • Minnesota
  • Missouri
  • Nevada
  • New Hampshire
  • New Mexico
  • New York
  • North Carolina
  • Ohio
  • Oklahoma
  • Oregon
  • Texas
  • Vermont
  • Virgina
  • Washington, D.C.
  • Wisconsin


Other states have either introduced or are considering adopting PACE legislation as well.

In order for PACE financing to be available within your community, a city or county must form a "special tax district" or "assessment district" under authorization legislation.

See Getting Started for more information about implementing your PACE program.