Energy Efficiency Revolving Loan Fund (RLF) Capitalization Grant Program (State Energy Program)

Federal Agency

Sub-Department

Office of State and Community Energy Programs (SCEP)

Purpose

To provide capitalization grants to states to establish a revolving loan fund under which the state shall provide loans and grants for energy efficiency audits, upgrades, and retrofits to increase energy efficiency and improve the comfort of buildings.

Applicant and/or Project Eligibility Requirements

Eligible uses include residential and commercial energy audits, upgrades, and retrofits. 40% of capitalization grants will be allocated, by formula, to states eligible for funding under the State Energy Program. 60% will be allocated to the 15 states with highest per-capita residential and commercial sector energy consumption or the highest annual per capita energy-related carbon emissions.

Decarbonization Considerations

Many of the programs funded through this program (namely, energy audits) are essential to ensure that retrofits are necessary and effective.

Equity Considerations

A state that receives a capitalization grant may use up to 25% of funds to provide grants or technical assistance to eligible entities. Eligible entities include businesses with fewer than 500 employees and low-income owners of residential buildings.

Helpful Tips

N/A

Other Notes

See Program Year (PY) 2024 SEP state formula allocations here: https://www.energy.gov/sites/default/files/2024-04/state-energy-program-notice-24-02.pdf