Energy Efficiency Revolving Loan Fund Capitalization Grant Program

In November 2021, Congress passed the Bipartisan Infrastructure Law, also known as the Infrastructure Investment and Jobs Act (IIJA). The law includes $65 billion for clean energy transmission and expansion of renewables and clean energy. Of this funding, $250 million is available to States to establish an Energy Efficiency Revolving Loan Fund under which the State shall establish programs to support audits, upgrades, and retrofits to increase energy efficiency and improve the comfort of buildings. 

The Tennessee Department of Environment and Conservation Office of Energy Programs (TDEC OEP) was awarded $10,052,220 in U.S. DOE formula funding. States may use up to 25% of their formula allocation for grants and technical assistance. TDEC OEP utilized the full 25% of its allocation to supplement the State’s IIJA Energy Efficiency and Conservation Block Grant Program. TDEC OEP will allocate 65% of the formula allocation to establish a new Local Government Energy Efficiency Revolving Loan Fund Program to provide loans for publicly owned buildings for energy audits, upgrades, and retrofits.