Mark Gillispie, The Plain Dealer
CLEVELAND, Ohio — Cleveland and at least 10 suburbs are forming a district to help owners of commercial and industrial properties invest in solar panels and other alternative-energy systems.
The “alternative-energy district” will be the first of its kind in Ohio. Cities within the district will help businesses borrow for energy improvements. The loans will then be paid off through assessments on property taxes.
City Councils from 10 of the 18 communities in the Northeast Ohio First Suburbs Consortium have passed legislation to join the district. Cleveland City Council is expected to approve similar legislation in the coming weeks.
The Ohio General Assembly in 2009 created special districts for solar panels. A subsequent bill passed this summer added other types of energy improvements, such as geothermal, wind turbines, insulation and energy-efficient windows and lighting.
The state legislation also permits energy districts for residential property owners. But Nathan Kelly, president of the First Suburbs Development Council, said the group wants to start with commercial and industrial property.
“We think we’ll be deluged by residential demand,” said Kelly, who also is director of planning and development for the city of Lakewood. “We want to learn with a couple of key industrial property owners then later broaden it to residential.”
Tracey Nichols, economic development director for Cleveland, said businesses sometimes struggle to obtain long-term financing for alternative-energy projects. State and federal rebates are available, but businesses can wait months for the money, Nichols said.
“For some businesses, that’s a deal breaker,” Nichols said.
And businesses would prefer to finance improvements over a longer period so that repayments match expected energy savings, she said.
Nichols said a number of businesses are interested in participating in the program, but would not name them.
Officials hope to begin with a $5 million pilot project. Most of the improvement projects are expected to cost from $25,000 to more than $500,000, Kelly said.
Frank Pietravoia, director of community services and economic development for Euclid, said he has spoken to a number of business owners who have expressed an interest in making energy improvements.
Euclid has one of the largest industrial corridors in Cuyahoga County. Many of the buildings have flat roofs that are ideal for solar panels, Pietravoia said.
The city itself is taking the lead, installing solar panels on City Hall and the city library next door. Computer monitors will be installed in the lobby of both buildings to show how much electricity is being generated, Pietravoia said.
Story Compliments Of The Plain Dealer
