On-bill repayment programs

On-bill repayment (OBR) offers an opportunity for residential and commercial property owners to finance energy efficiency and renewable electricity generation projects through cost-savings loans from third-party investors. The loans are repaid through customers’ utility bills and financed at no additional cost to ratepayers. OBR allows for longer term loans with lower interest rates.

EDF has been building a coalition of environmental groups, financial institutions, contractors and project developers to help develop OBR programs.

The program can work for single-family, multi-family and commercial buildings. The on-bill repayment can be structured for a variety of financing techniques, including loans, leases, Energy Service Agreements, and Power Purchase Agreements.

Benefits of OBR include:

• No direct costs to taxpayers or ratepayers
• Job creation
• Customer access to low-cost capital
• Acceleration of clean energy investments and emissions reductions
• Reduced program costs through a scalable platform and standardized processes
• Avoided cost of new generation capacity and reduced use of higher-cost generation for ratepayers

Most significantly, OBR provides a new route to funding clean energy investments at attractive terms.

EDF is building coalitions and securing the necessary regulatory and legislative changes to enact and/or expand OBR programs in California, North Carolina, Ohio and Texas.