Municipal Energy Reduction Fund Overview

CDFAs Municipal Energy Reduction Fund (MERF) is available to help municipalities improve the energy efficiency of their municipal buildings and operating systems. The goal is to reduce energy usage and costs.

Program Details

CDFA was awarded $1.5 million in funding from the Greenhouse Gas Emissions Reduction Fund, through the New Hampshire Public Utilities Commission to capitalize a revolving loan fund, the Municipal Energy Reduction Fund, to finance energy improvements to municipal facilities and activities.

Loans to municipalities will be structured out of energy savings. The savings will be calculated based on the last several years of energy usage and several years of future projected usage. The terms of the loans will be flexible and can be structured as a service contract if desired by the town.

CDFA will encourage applicants to leverage other funding sources into a project, including those offered through utility rebate and loan programs.

Eligible Activities

The program will be available to finance improvements to the overall energy efficiency performance of a municipality's buildings, thereby lowering the overall energy costs and the associated carbon emissions. These activities will include, but are not limited to:

  • Improvements to the buildings envelope including air sealing and insulation in the walls, attics, and foundations;
  • Improvements to HVAC equipment inside conditioned space
  • Installation of sealed combustion, high efficiency condensing boilers with AFUE>97% Hydronic Systems or other high efficiency systems; and
  • Installation of alternative energy sources.

School districts are ineligible for this program. If you are a representative of a NH school district and are seeking information about energy efficiency programs, please visit: NH EnergySmart Schools Program.

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