Municipal Financing for Energy Efficiency Improvements – Babylon, NY

Date: 8 Jul 2009 | posted in: Energy | 0 Facebooktwittergoogle_plusredditpinterestmail

In August of 2008, the Long Island town of Babylon, New York approved the Long Island Green Homes (LIGH) program to finance energy efficiency improvements for any of the town’s 65,000 single-family homes to be paid back by the energy savings accrued from the improvements.

The Town pays the upfront costs for up to $12,000 per home, with the homeowner paying a monthly fee, called a benefit assessment, that is structured to be less than the monthly savings on the homeowner’s energy bill resulting from the improvements.  The Town includes a 3% administrative fee to cover the costs of administering the program.  The benefit assessment remains with the home in the case that the homeowner sells the property.   

To finance LIGH, the Town classified the carbon component in energy waste as solid waste, allowing the Town to draw $2 million from its solid waste reserve fund.  As of June 2009, Babylon has 108 projects in its queue with $1.6 million still available.  The Town has also committed another $500,000 for solar photovoltaic projects.


More Information:


Babylon’s Definition of Solid Waste (amended August 6, 2008)


Any discarded material or substances, including but not limited to garbage, refuse, sludges from air or water pollution control facilities or water supply treatment facilities, rubbish, ashes, contained gaseous materials, incinerator residue, demolition and construction debris, offal and other discarded materials and substances resulting from industrial, commercial, mining and agricultural operations and from community activities, but not including sewage and other highly diluted water-carried materials or substances or those in gaseous form or solid or dissolved materials or irrigation return flows or industrial discharges or source or any special nuclear or by-product materials within the meaning of the Atomic Energy Act of 1954, as amended, or the carbon component (or "content of") in energy waste.
[Amended 8-6-2008 by L.L. No. 20-2008]