City launches Clean Energy Improvement Program
Today, Medicine Hat residents have a new financial tool to support energy efficiency and renewable energy upgrades to their properties with the launch of the City’s Clean Energy Improvement Program (CEIP).
Medicine Hat – Today, Medicine Hat residents have a new financial tool to support energy efficiency and renewable energy upgrades to their properties with the launch of the City’s Clean Energy Improvement Program (CEIP).
The Government of Canada and the Federation of Canadian Municipalities invested $5.4 million to the local program (a $1,807,052 million grant and a $3,618,912 million loan) through the Green Municipal Fund’s Community Efficiency Financing (CEF) program.
CEIP allows homeowners to apply for low interest financing from the City (3.25 per cent interest rate), with repayment collected through property tax bills during a span of up to 20 years, depending on the expected life of the improvement. There is also an option to repay it in full at any time without penalty and the financing can be transferred to the next owner if the home sells.
Participants must install eligible upgrades with a minimum cost of $3,000 to qualify for financing. There is a maximum of $50,000 of eligible costs per property, but the annual Clean Energy Improvement Tax cannot exceed the property's annual municipal property tax levy.
“The Clean Energy Improvement Program removes the barrier of up-front costs of energy efficient home upgrades,” said Jonathan Linowski, strategic analyst for the City’s corporate planning and performance department. “The program is unique in that the loan is attached to the property, not the property owner, and can offer a long repayment term up to the effective useful life of the eligible upgrades.”
With the goal of creating a more climate resilient community and lowering energy costs, the list of eligible projects for CEIP includes upgrading light fixtures, windows, doors, adding solar panels, increasing insulation, installing a tankless hot water system, furnace, heat pumps, and more.
“Not only will this program help owners save money on their energy bill, it will also support local energy efficiency and renewable energy companies and contractors, and contribute to a greener environment,” adds Linowski.
Local contractors, who include energy efficiency and renewable energy in their services, are encouraged to apply to be listed as a qualified contractor on the program website in order to provide services for CEIP projects.
In addition to financing, Medicine Hat’s CEIP offers a rebate of 6.6 per cent of project costs for all completed CEIP projects. An additional SmartFit incentive of up to 3.6 per cent of financed project costs is offered on residential properties built before 1990 (for a total rebate of 10.2 per cent of project costs). Rebate availability is limited and will be provided on a first come, first served basis.
CEIP financing and rebates can be stacked with other rebate or incentive programs for energy efficient home upgrades like Medicine Hat’s HAT Smart program.
CEIP is administered by Alberta Municipalities in partnership with the City of Medicine Hat. Alberta Municipalities is a not-for-profit association founded in 1905. It represents Alberta’s 265 urban municipalities including cities, towns, villages, summer villages, and specialized municipalities.
To participate, the first step is to review the program terms and conditions and submit a pre-qualification application at myceip.ca/medicinehat.
Learn more about the program at medicinehat.ca/ceip.