Locally Powered, Federally Funded

The passage of the Inflation Reduction Act in 2022 — the largest investment in climate action in US history — provided unprecedented incentives for clean energy projects. While some grants are competitive and limited, tax credits are available to all and newly applicable to tax-exempt entities. This means that with more organizations taking advantage of these clean energy incentives, the greater the progress we’ll see in the transition to cleaner, less polluting energy sources.

Your local neighborhood hospitals, schools, and nonprofits are using these dollars for system upgrades and renewable energy investments. They are participating in RMI and America Is All In’s Clean Energy Academy to receive technical assistance to leverage federal funding for their projects. Check out folks you might recognize and the clean energy projects and investments they’re planning.

Story highlight: Loyola University Chicago

Between two campus buildings and with Lake Michigan as a backdrop, twenty-two geothermal wells lay hidden underground at Loyola University Chicago. Though not the only geothermal system on campus, these wells came about recently as a “project of opportunity”— while undertaking a stormwater management project that uncovered this area of campus, the university realized it was a perfect place to add additional wells. Set to power two buildings and produce 135,000 kWh, the project also qualifies for Inflation Reduction Act funding, which the university is applying for with help from the Clean Energy Academy. With the wells hidden from view, Loyola has found other ways to make the project visible to students, so the floor of the School of Environmental Sustainability reveals the inner workings of another part of their geothermal system, with educational signs to show what’s happening under their feet.

Story Highlight: Big Sky Sustainability Network Organization (SNO) and Big Sky Community Housing Trust

Solar panels can provide affordable housing with greater energy efficiency and lower electricity bills for residents. Big Sky SNO knew this and approached Big Sky Community Housing Trust to power the new Riverview apartment complex with solar energy—but they didn’t realize how much they could get back in federal tax credits until they participated in the Clean Energy Academy and learned they could leverage Direct Pay incentives to offset the upfront cost of the project. And with annual resident savings of $600, this partnership shows that future opportunities could yield similar benefits.

Story Highlight: University of New Mexico

The rooftop of the Student Union Building at the University of New Mexico provides a perfect place for solar panels to soak up the strong New Mexico sun and power the buildings below. With an array on part of the rooftop and plans for panels to cover the rest of it, the university has big goals for the future of renewable energy at the school. The university is taking advantage of not just the 30% Investment Tax Credit for the project, but also the low-income adder, which adds an additional incentive for projects located in low-income communities.

The future of our communities is in our hands. These stories show us what’s possible when federal incentives and community-driven initiatives come together. With some of these incentives expiring in 2032, now is the time to start planning projects and leveraging funding. By following the lead of these organizations and taking advantage of resources like the Clean Energy Academy, we can revitalize our neighborhoods with smarter, more resilient solutions that benefit everyone.

This work was made possible thanks to the generous support of Bloomberg Philanthropies. Please contact Jasmine Chiu at jchiu@rmi.org with any questions or for more information.