VEDA, IN COOPERATION WITH EFFICIENCY VERMONT, LAUNCHES NEW BUSINESS ENERGY EFFICIENCY
LOAN PROGRAM
$1 Million in Low-Interest Loan Funds Available
Montpelier, VT - Effective immediately, the Vermont Economic Development Authority (VEDA), in cooperation with Efficiency Vermont (EVT), is accepting applications from eligible Vermont businesses for loans to fund the cost of energy conservation projects certified as cost-effective by EVT. Up to $1 million is available in the new, low-interest Vermont Business Energy Conservation Loan Program.
"Today's high energy costs are forcing Vermont businesses to make immediate infrastructure changes that will increase energy efficiency, and improve the bottom line," said Jo Bradley, VEDA's Chief Executive Officer. "VEDA is committed to making low-cost financing available to help businesses in their work. And, to make the best use of these funds, we've asked Efficiency Vermont to evaluate proposed energy conservation projects for cost-effectiveness prior to final loan approval."
Mick Hilbert, Efficiency Vermont's Business Energy Services Manager, added, "Vermont businesses face serious financial challenges as energy costs in their operations have reached record levels. Efficiency Vermont's technical knowledge and incentives, together with VEDA's financial expertise, will provide Vermont businesses with comprehensive support to achieve enduring financial benefits through smart energy efficiency investments."
Among the Vermont businesses eligible to borrow under the Vermont Business Energy Conservation Loan Program are those engaged in the manufacturing, processing or product-assembly, hospitality, service, farming and retail industries. Non-profit businesses are also eligible. Multifamily properties are not eligible.
Vermont Business Energy Conservation Loan Program funds may be used to purchase and install thermal envelope improvements; power, heating, ventilation and cooling system improvements; and lighting and new HVAC equipment certified as energy-efficient. Loans also may be made to fund the purchase of APU's (Auxiliary Power Units), and equipment necessary to conduct energy audits for businesses and residences.
The new program may make loans ranging from $5,000 up to a maximum of $150,000, and may fund up to 75% of the cost of a project. For loan requests in excess of $20,000, applicants will work with Efficiency Vermont to ensure that projects meet cost-effectiveness requirements. If a loan request exceeds $150,000 applicants may review the program guidelines and loan application for VEDA's Direct Loan Program at www.veda.org.
For the first three years of a loan through the new Program, the interest rate will be the Prime Rate as published in the Wall Street Journal, minus 3%, adjusted as WSJ Prime Rate changes. Thereafter, the interest rate on the loan will be fixed for the remainder of its term (five years, and in certain cases, as long as ten years) at the then-prevailing index rate of VEDA's Vermont Small Business Loan Program.
Program applications may be downloaded from VEDA's website, or obtained from VEDA's office at 58 East State Street, Montpelier, Vermont. For more information about the program, visit www.veda.org or call 802-828-5627.
VEDA's mission is to promote economic prosperity in Vermont by providing financial assistance to eligible businesses, including manufacturing, agricultural, and travel and tourism enterprises. Since its inception in 1974, VEDA has made financing commitments totaling over $1.4 billion.
Efficiency Vermont provides technical assistance and financial incentives to Vermont households and businesses to help them reduce their energy use and costs. It is operated by the Vermont Energy Investment Corporation, an independent non-profit organization under contract to the Vermont Public Service Board.
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