New Financing Option For Industrial Property Owners


Interested in upgrading your industrial facilities with energy/water efficiency and distributed generation technologies but lack the needed capital?

The Texas PACE program (Property Assessed Clean Energy), enables industrial site owners to obtain affordable, long-term financing covering up to 100 percent of the cost for energy efficiency, water conservation, and on site generation technologies. PACE secures private financing for a term as long as the projected useful life of the improvements, resulting in utility cost savings that exceed the amount of the repayment.

Download the Flyer for Industrial Property Owners

Typical Examples of Qualified Improvements
  • High efficiency chillers, boilers, and furnaces
  • Combustion and burner upgrades
  • Heat recovery equipment
  • Mechanical system modernization
  • Industrial energy system sensors and controls
  • Systems to capture, treat and use other on-site sources of water (condensate, rainwater, reverse osmosis reject water, etc.)
  • High efficiency lighting
  • Water conservation equipment
  • Building enclosure/envelope improvements
  • On site generation (resiliency benefits)
  • Fuel switching
  • Wastewater onsite reuse systems

Case Studies

R.J. Liebe Athletic Lettering Company, Navarro County, Texas

R.J. Liebe Athletic Lettering Company, a sewing manufacturing plant in southeast Corsicana, used Navarro County’s PACE program to finance $324,559 in high-efficiency retrofits for its 36,000 square foot building.

Case Study



Pacific Ethanol, Inc. (NASDAQ:PEIX), a leading US producer and marketer of low-carbon renewable fuels, used $10 million in PACE funding to purchase and install a 5 MW photovoltaic (PV) power system at its ethanol plant. This project is the first ever commercial solar electricity system at a US ethanol plant and the largest solar PV system to be funded through PACE.

The PACE project will save the facility more than $1 million annually and is cash flow positive from year one. The system also qualifies for the Energy Investment Tax Credit, displaces more than 30% of the grid electricity currently used, and drives premium pricing at the plant due to improvements in its carbon-intensity core.



Heller Machine Tools, a world-leading manufacturer producing state-of-the-art machine tools and production systems for metal cutting processes, used PACE to finance $978,607 in deep energy retrofits for its 100,000 sq ft production facility. Energy consumption and related costs were reduced by 23% – a savings of $1.6 million over 15 years.

Measures included:    Networked building controls   Partial roof replacement • Compressed air upgrades Lighting replacement • Server room cooling  HVAC


Cambridge Engineering, Chesterfield MO

Cambridge Engineering, Inc., a manufacturer of energy efficiency heating and ventilation technology used PACE to upgrade its facility.  A $610,500 comprehensive retrofit resulted in a 30% energy savings.

Measures included:  Lighting  Air volume distribution systems  Roof replacement Air conditioning upgrade


This example compares self-funding and conventional funding with PACE financing:

  • Industrial Facility
  • Project involves a $2.5M 1.3MW CHP system
  • Annual net savings of $473,000 (5.3 yrs simple payback)
  • The project does not pass the company’s hurdle rate for investment in energy efficiency (i.e. the ROI is probably not high enough)
  • Conventional Funding for 5 years at 4.0% (20% down payment)
  • PACE funding available for 20 years at 6.0%.
  • Energy prices held constant. NPV discount rate at 8%.


Compare financing options with the financial comparison calculator.


Your PACE Loan Assessment Can Include
  • Cost of materials and labor necessary for the installation of a qualified improvement
  • Permit fees
  • Inspection fees
  • Lender fees
  • Program application and administrative fees
  • Project development and engineering fees
  • Independent third party reviewer audit fees, including verification fees
  • Any other fees or costs that may be incurred by the property owner incidental to the installation, modification or improvement
  • Legal, consulting and other fees on an actual cost basis
  • Changes to the existing property incidental to the installation

Watch the PACE 101 Webinar

Watch the PACE 102 Webinar


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