The additional guidance informs OFN’s ongoing collaborative efforts to determine the right application approach for our membership and the program’s environmental justice goals
On April 19, the Environmental Protection Agency released additional guidance on the $27 billion Greenhouse Gas Reduction Fund, a transformative opportunity to accelerate the energy transition, advance environmental justice, and fight climate change.
This guidance from the EPA provides timely and welcome information about the program’s priorities and structure. The EPA intends to administer three separate grant programs:
1. National Clean Investment Fund
($14 billion, 2–3 nonprofit awardees)
This fund will focus on direct investment to businesses, communities, and community lenders, and others.
2. Clean Communities Investment Accelerator
($6 billion, 2–7 nonprofit awardees)
This fund will focus on building the capacity of community lenders (including CDFIs) to ensure low-income and disadvantaged communities have access to capital for green finance.
3. Solar for All
($7 billion, up to 60 awards focused on local governments and nonprofit awardees)
OFN looks forward to participating in the EPA’s upcoming public engagement sessions. In the meantime, OFN will continue to collaborate with partners to determine an application approach that supports our membership and increases equitable access to capital in communities disproportionately impacted by the effects of climate change, environmental degradation, and pollution.
OFN will also take the opportunity to recommend refinements or revisions that better tap into the strength of CDFIs. As specialized lenders with trusted relationships in low-income and disadvantaged communities, CDFIs fund housing rehabilitation, consumer and community equipment upgrades, and other greenhouse gas-reducing projects that lower costs for families, businesses, and communities.
We applaud the Biden-Harris Administration for its leadership on climate change and strong commitment to environmental justice as we tackle this urgent global challenge.
We invite our members and other stakeholders to take advantage of engagement opportunities. The comment period is open through May 12.
Advocate for CDFIs
Visit our policy action center for information, tools, and other resources to help you advocate on behalf of CDFIs and the communities they serve.
Attend the OFN 2023 Conference
Green finance and environmental justice will be a front and center topic at the OFN 2023 Conference in Washington, D.C. Don’t miss the conference or the opportunity to submit a session about your environmental justice work.
Stay Connected with OFN
News, stories, and voices from OFN and the CDFI field. View more on our blog!