The City of Calgary has announced an expansion of its clean energy improvement program (CEIP) to include non-residential business owners. The program, which was previously exclusive to homeowners, offers financial assistance to promote energy efficiency upgrades in properties.
Since its inception in 2023, the CEIP has been successful in supporting Calgarians in enhancing the energy efficiency of their homes by facilitating upgrades like solar panel installations, furnace replacements with heat pumps, and insulation improvements. Justin Smale, the city’s corporate environmental specialist, highlighted the popularity of the program, with nearly 500 homeowners participating and implementing around 1,000 upgrades.
Homeowners can apply for low-interest loans of up to $50,000 from the city for eco-friendly upgrades to their properties. The loan amount can be added to their property tax bills and repaid over a maximum period of 20 years, with the flexibility to settle the balance at any time without penalties.
Responding to demands from the commercial building sector, the city is now offering up to $1 million in financing to a limited number of non-residential applicants for energy retrofitting projects. The repayment period for non-residential applicants is extended to 25 years due to the higher costs associated with retrofitting larger facilities.
New construction projects and properties classified as “industrial” or “farmland” on property tax bills are ineligible for the CEIP. The financing associated with the program is tied to the property, allowing for easy transfer to new owners if the property is sold.
Applications for the commercial loan program will open on March 24, while residential applications will open on March 31. Lloyd Suchet, executive director of the Building Owners and Managers Association, expressed optimism about the program’s expansion, noting that it will enable the commercial sector and non-profits to undertake more substantial energy retrofits.
The initial $15 million funding for the program came from the Federation of Canadian Municipalities and the city’s internal reserves. Alberta Municipalities is overseeing the program’s administration, with CEIP also being implemented in other cities such as Canmore, Edmonton, and Lethbridge.
Looking ahead, the city has secured $20 million in funding from external lenders to support the program. Smale emphasized that the costs of securing this funding are covered by program participants, highlighting the positive impact of the CEIP on the local economy with no cost to the city.
The program has witnessed significant contractor participation, with the number of registered contractors growing from 30 at its launch in 2023 to nearly 300 currently, indicating a strong industry response and economic stimulus.