Montgomery County’s “Green Bank” Program Working Through Funding Glitch

Montgomery County plans to have its “Green Bank” infrastructure  financing program up and running by next summer, but the D.C. Public Service Commission’s rejection of a merger between Exelon and the local utility provider, Pepco, has left funding for the bank questionable.

As reported by the Washington Post,

When Exelon announced plans last year to take over Pepco in a $6.4 billion merger, the county saw an opportunity. For the two utilities to merge, they need an approval from regulatory commissions everywhere the acquired company would provide service. Montgomery County negotiated a $27 million payment for energy efficiency programs in exchange for signing off on the merger, and in June the Montgomery County Council passed a law calling for the establishment of a green bank.

But the D.C. Public Service Commission threw a wrench in the plans in August when it unanimously voted against the merger. Exelon appealed the decision and the mayor’s office said on Monday that they were working on a settlement.

Connecticut established the first “green bank” four years ago and five other states have some form of a “green bank” in place. Maryland is exploring the establishment of a “green bank.”

 …the green bank would use public money to support investments in alternative energy projects, such as providing low-interest loans for residential solar panels or credit enhancements for efficiency upgrades in multi-family housing.