SAN ANTONIO–(BUSINESS WIRE)–Ecority, a nonprofit coalition of credit unions and state-chartered green banks, has applied to the EPA-administered Greenhouse Gas Reduction Fund (GGRF). The coalition will catalyze a network of 17,000 credit union community branches and $2 trillion of low-cost, federally insured capital to rapidly deploy clean energy projects at an unprecedented scale with a focus on low-income and disadvantaged communities (LIDAC).
By starting with regulated financial institutions that are already in place with strong community relationships, Ecority will deploy EPA funds to deliver immediate benefits to markets that are traditionally overlooked. Doing so will make financing of clean energy projects more affordable and more accessible to more individuals, businesses, and communities across the U.S. Accessing federally insured deposits entrusted to U.S. credit unions by more than 130 million members, Ecority’s program will enable scaling GGRF capital up to 30 times the taxpayer-funded investment.
“Leveraging these funds is key to achieving GGRF’s core objectives of decarbonization, building community capacity, and realizing environmental justice benefits,” said Chuck Purvis, Ecority CEO. “Ecority’s unique ability to facilitate access to the lowest cost financing, and with leverage to GGRF grants, assures more projects for more people who will benefit most.”
Ecority’s application received endorsements from the National Association of Federally-Insured Credit Unions (NAFCU), the Credit Union National Association (CUNA), and is supported by the Community Foundation Climate Collaborative, representing a national network of community foundations working together to help communities secure funding and respond to climate impacts.
Ecority’s coalition also includes regional and state credit union leagues representing thousands of community lenders in every U.S. state and territory, as well as the nation’s largest state green banks including NY Green Bank, a division of the New York State Energy Research and Development Authority (NYSERDA), and California’s IBank.
Ecority’s board includes a diverse group of individuals with a broad range of experience. Kimberly Llewellyn is senior product manager in emerging markets at Mitsubishi Electric Trane U.S. with extensive experience in energy-efficient building design. Chuck Purvis, Ecority’s CEO, previously served as the President and CEO of Coastal Credit Union. David Terry, President of the National Organization of State Energy Officials, brings a wealth of experience working with state energy offices on a range of energy issues for such organizations as the Governors’ Wind and Solar Energy Coalition. Mathew Verghese is a long-time Investment Banker focused on credit markets with diverse experience in energy investing. Robert Vitrano has a background in agriculture finance and developing regenerative agriculture with a focus on reducing GHG emissions. Ecority’s board and advisory committees continue to expand to support the initiatives of the organization.
NY Green Bank President Andrew Kessler said, “NY Green Bank was proud to partner with Ecority on their funding applications to the EPA’s Clean Communities Investment Accelerator and National Clean Investment Fund, which if selected, would allow us to accelerate clean energy investments, combat climate change, and equitably deliver both economic and environmental benefits to all New Yorkers. As the largest Green Bank in the nation responsible for originating over $2 billion in clean energy and sustainable infrastructure cumulative investments since inception, we are well-positioned to deploy these funds and continue to build strong relationships with national investors, lenders and developers, while working more closely with community financiers and the evolving green bank network.”
Ecority applied for an aggregate $14.87 billion from the National Clean Investment Fund (NCIF) and Clean Communities Investment Accelerator (CCIA) programs. Although each application was submitted on a stand-alone basis, synergies in administering both programs are expected to realize approximately $200 million in savings that can be directed to additional LIDAC-focused consumer programs. Nearly forty percent of Ecority’s grant funding request will be directed to commercial and industrial investment through Ecority’s green bank coalition partners to support a robust pipeline of clean energy projects. Ecority has previously encouraged EPA to cap pass-through charges for green banks to no more than administrative cost recovery. Ecority’s application caps pass-through charges, which shall not exceed a maximum of 10 basis points.
Ecority’s program is designed to achieve substantial climate benefits. The combined leverage of capital in Ecority’s NCIF program alone can result in over $100 billion of capital to fund GGRF-eligible projects during the initial program period. These investments will support over 5.25 million projects and are expected to reduce nearly 1.2 billion metric tons of GHG emissions. Ecority’s support of a national network of federally regulated, community-embedded lenders and state-chartered green banks assure local priorities will be aligned with access to the resources of GGRF. Through Ecority’s program, more households will have access to affordable financing resulting in more direct and immediate cost savings and GHG-reducing clean energy projects.
About Ecority
Ecority is an independent nonprofit established to specifically comply with the statutory requirements of the Greenhouse Gas Reduction Fund (GGRF). It’s a coalition of credit unions, state and regional credit union leagues representing thousands of community lenders in every U.S. state and territory, and the nation’s largest state-chartered green banks that will rapidly deploy clean energy projects at an unprecedented scale nationwide, with a focus on low-income and disadvantaged communities. Learn more at Ecority.org.
Contacts
Robbie Vitrano
(504) 615-9119
