NASHVILLE – Gov. Phil Bredesen on Wednesday announced the launch of a $50 million energy efficiency loan program to help Tennessee businesses reduce costs.
Bredesen said at a news conference that the program will be administered by Pathway Lending, a community development financial institution that provides loans to businesses lacking access to traditional financing.
He said the company will offer below-market-rate loans, financing up to 100 percent of improvements aimed at reducing energy consumption, lowering overall costs and improving profitability. The loans can be repaid with the energy cost savings derived from each project.
The loans – ranging from $20,000 to $1 million – will be offered at a 5 percent rate with terms extending to 10 years and will support projects that include building retrofits, equipment replacements or upgrades, lighting and renewable generation projects.
Officials said the program is available to any Tennessee business seeking to reduce energy consumption.