New York Green Bank celebrates 10 years of supporting building decarbonisation, clean energy, energy storage and sustainable transportation.
New York Governor Kathy Hochul announced that New York Green Bank, a division of the New York State Energy Research and Development Authority and the largest green bank in the country, has made a cumulative financial commitment of more than $2 billion to support the state’s drive toward clean energy and sustainable infrastructure. transition as it celebrates its 10th anniversary. The state-sponsored financing entity has a growing portfolio of deals supporting the decarbonization of buildings, clean energy, energy storage, sustainable transport and other sustainable infrastructure, and is expected to mobilize up to $5.5 billion in public and private investment. These investments advance the Climate Leadership and Community Protection Act’s goal of reducing emissions by 85% by 2050, with departments committing to support the Climate Act’s goal to ensure at least 35% and 40% of clean energy investment gains are directed to disadvantaged Community.
“New York is proud to be one of the nation’s leading green banks, which was instrumental in providing early support for the clean energy sector, including community solar, energy storage and building electrification,” Governor Hochul said. “The New York Green Bank’s financial commitment of more than $2 billion underscores the state’s commitment to a renewable and clean energy transition that will create a greener New York for all.”
NY Green Bank became self-sufficient earlier than expected in July 2017, with revenue exceeding operating expenses. Projects supported by the New York Green Bank to date are estimated to have avoided more than 41 million metric tons of greenhouse gas emissions over their lifetime, the equivalent of taking more than 416,600 cars off the road for 24 years.
New York State Energy Research and Development Authority President and CEO Doreen M. Harris said, “As we commemorate these financial and organizational milestones, we recognize the catalytic impact the New York Green Bank has had on the decarbonization of New York State’s economy over the past decade. Through these commitments, the New York Green Bank is advancing a clean energy future, and the transition to private development Businesses and investors are sending a clear signal that New York State is a strong market for green infrastructure and economic development.”
New York Green Bank President Andrew Kessler said, “New York Green Bank is proud to celebrate our 10th anniversary by sharing that we have invested more than $2 billion in clean energy and sustainable infrastructure across the state, including meeting our investment goals three years ahead of schedule. The significance of this The achievement reinforces the New York Green Bank’s critical role in advancing New York State’s ambitious climate goals, addressing funding gaps and galvanizing private sector activity in clean energy markets.”
As of May 2023, NY Green Bank has closed 123 transactions that address the financing gap by creating replicable and scalable precedents, attracting private and institutional lenders and investors into less familiar asset classes and project types . Their closing of some of the earliest deals in the community solar market is a prime example of how the New York Green Bank is working to expand private sector activity in this important asset class.
Major recent transactions include:
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The Arlington at Poughkeepsie – A $21 million construction period loan to support the first phase of the rehabilitation and electrification of a former school development into a new all-electric development in Poughkeepsie, New York, featuring apartments and commercial space. -
Frederick Samuel Apartments, New York City – $12 million to fund upfront development costs associated with the restoration of the New York City Housing Authority’s (NYCHA) Frederick Samuel Apartments in Harlem, New York. The transaction, NY Green Bank’s first pre-development loan for NYCHA’s Permanent Affordability Affordability Shared Commitment (PACT) program, will help preserve 664 affordable housing units in 40 buildings. -
Hecate Energy LLC – $60 million in a $250 million term loan that will fund the development of solar and battery storage projects in New York State. By supporting Hecate’s development across the state, the transaction sets a good precedent for further financing of a large development pipeline. -
Sunrun Inc. – Committed an additional $19 million to support a $160 million revolving credit facility to finance the purchase of eligible solar and energy storage equipment. This innovative loan product provides access to capital early in the lifecycle of residential solar and storage projects to support the development and growth of solar/renewable energy in New York State. -
Tenet Energy, Inc. – $10M Electric Vehicle Loan Revolving Warehouse Facility Originated in New York State Helps Make Electric Vehicles More Affordable for New Yorkers While Setting the Stage for Capital Market Participants Seeking to Expand Sustainable Mobility Activities set a precedent.
Public commitments include: $100 million for electrification and energy efficiency projects in buildings located in and/or serving disadvantaged communities; $150 million to improve clean energy for affordable housing; $200 million for energy storage-related investments; and $100 million in financing to help clean transportation businesses establish or expand in New York State, with the goal of achieving these investment goals by 2025.
New York Green Bank will continue its 10th Anniversary Celebrate throughout 2023 by sharing market sector case studies of key deals from the past decade on social media and highlighting areas of the state where investments benefit communities.Visit NY Green Bank’s website Learn more about its mission, recent deals and clean energy financing products.
New York State’s National Leading Climate Program
New York State’s nationally leading climate agenda calls for an orderly and just transition that creates sustaining jobs, continues to foster a green economy across all sectors, and ensures at least 35 percent (with a target of 40 percent) of the Benefit energy investments target disadvantaged communities. Guided by some of the most aggressive climate and clean energy initiatives in the U.S., New York is on a path to a zero-emissions electricity sector by 2040, including 70 percent renewable electricity generation by 2030 and an economy-wide carbon neutrality within. A cornerstone of this transition is New York’s unprecedented clean energy investment, including more than $35 billion in 120 large-scale renewable energy and transmission projects across the state, $6.8 billion to reduce building emissions and $1.8 billion to scale up solar , more than $1 billion for clean transportation initiatives, and more than $2 billion in New York Green Bank commitments. These and other investments support more than 165,000 jobs in New York’s clean energy industry in 2021, and the distributed solar industry has grown 2,100 percent since 2011. To reduce greenhouse gas emissions and improve air quality, New York also passed zero-emission vehicle regulations, including requiring all new passenger cars and trucks sold in the state to be zero-emission by 2035. Partnership continues to advance climate action in New York with nearly 400 registered and 100 certified climate-smart communities, nearly 500 clean energy communities and the state’s largest air monitoring program in 10 disadvantaged communities across the state, to help with interventions against air pollution and the fight against climate change.
