Weaving Inflation Reduction Act Funding Opportunities Together!

Laura Combs + Leaders of LRDA

(Lumbee Regional Development) at their 2022 system commissioning.

There is a lot to be excited about as we celebrate the Inflation Reduction Act’s (IRA) one-year anniversary in August 2023. The IRA is a whole bunch of life changing grant, direct payment and tax-incentive funding opportunities, especially impactful for Historically Marginalized or Underserved Communities (UCs). If you represent a business, stay tuned because there is a lot of money for you too!

I am going to roll this IRA discussion out in a series of North Carolina-focused blog posts, which will apply to other states too. This first post highlights opportunities for nonprofits particularly from UCs. The number of opportunities is overwhelming and I am only going to cover the ones that impact the types of clients that ESL works with. That said, I am working with a wonderful group of nonprofits who are creating a tool that will help folks access the unbelievable number of opportunities, and I will relay that information as soon as the tool goes live in the very near future.

Renew America’s Nonprofits Grant

Research Triangle International (RTI) has applied for this massive DOE funding opportunity to help 501(c)(3) nonprofits, particularly from UCs, access energy efficiency money. If awarded the $3 - $9 million in October 2023, RTI will serve as the prime recipient and will work with a committee of community representatives to distribute grant funding to nonprofits. The maximum grant per nonprofit is $200,000, and there is a 20 percent cost share requirement from non-federal sources. The money can be used for the following and more:

·      Lighting upgrades

·      Roof Replacements with insulation

·      HVAC upgrades

·      Door and window replacements

·      Appliance upgrades

If RTI wins this grant, we will of course be spreading the word!

Solar for All Grant

Solar for All is a $7 billion grant administered by the U.S. Environmental Protection Agency, who will award money to up to 60 recipients (46 have filed their Notice of Intent) to expand solar and battery storage access to residents in UCs. EPA will announce funding recipients in late summer 2024. Opportunities include:

·      Single-family homes

·      Multi-family homes

·      Community solar, which is difficult in NC due to economic roadblocks by the utilities

The grant award ranges between $25 million and $400 million, and no cost sharing by recipients is required and recipients can combine this award with other IRA awards, discussed below. Yay! The North Carolina Department of Environmental Quality (NCDEQ) is applying for this grant, and NCDEQ will partner with the North Carolina Clean Energy Fund (NCCF) as they distribute the money. I recommend reading more here: NCDEQ Solar For All.

Be sure to keep your eyes on the NCCF, whose purpose is to help deploy innovative funding opportunities particularly to help UCs become more climate resilient. The co-directors and board are amazing and the services that they provide will be pivotal to help folks access federal funds and prepare for a more climate resilient future.

Pairing Renew America’s Nonprofits and Solar for All

These two funding opportunities can be woven together by residential nonprofits, such as HUD-approved nonprofits. If a residential nonprofit is seeking solar energy and a new roof is needed, for example, the Renew America’s Nonprofits grant can provide roofing funds in 2023 and Solar for All can provide the needed solar funding in 2024. Note that on the NCDEQ Solar For All page that there is an emphasis on “No down-payment and savings from day one including lease options.” ESL and its partner, Sunwealth, are the leaders in nonprofit solar leasing in North Carolina and to our knowledge, we are the only ones with executed leases. Leveraging funding has been a consistent theme throughout funding opportunities and something we have been doing for the last four years.

Individual Nonprofit Funding Opportunities

I have been fortunate to work with nonprofit clients from UCs, and I have helped write three smaller federal grant applications, ranging in size from $500,000 to $5 million (EPA Environmental Justice Grant, DOE Buildings Up Grant and DOE Energy Improvement in Rural or Remote Areas Grant).

Federal grant opportunities like these are cyclic, and I believe they will be available at various times through 2026.

You can track grant opportunities at Grants.gov and search by key word or agency, EPA and DOE being the two main solar opportunity agencies. Here is a list of DOE open funding opportunities: Office of Energy Efficiency and Renewable Energy. You can learn more about EPA’s grants here: EPA Grants, which has a lot of great grant advice.

Thinking About Writing a Grant Application?

If you are wondering about writing a grant application, the federal government does a fantastic job (really!) providing clear instructions and resources. I have found that the biggest hurdle for folks is just getting started. The second hurdle is finding a trusted industry partner to help with the technical aspects and budgeting. Eagle Solar & Light works in NC, SC, GA, AL and MS, we have won awards for our work with underserved communities, we have written the grant applications, and we are thrilled to partner and help more organizations seek the funding that they need.