Decarbonization Hub
Are you a Massachusetts multifamily affordable housing owner interested in dramatically reducing your carbon emissions? You may be able to take advantage of building decarbonization resources if your project includes the following scope of work:
- significant building envelope upgrades including exterior and/or interior insulation, window replacements, and roof replacement;
- all-electric, high-performance mechanical systems, which provide heating, cooling, fresh air ventilation, and water heating (wherever possible);
- on-site renewable energy wherever possible; and
- low-embodied carbon materials.
Here's how to get started:
Funding opportunities often have competitive rounds, extensive application requirements, and limited application submission windows. Ensure that all preliminary work, such as energy auditing and feasibility studies, is completed well in advance or as soon as possible. See table below for building science firms who can provide decarbonization assessments.
There are several opportunities available - see table below to see if you qualify (as of November 2024). NOTE: Upcoming opportunities are italicized.
| Funder/Resource | Program | Incentive | Contact Person | Deadline |
| City of Boston | Building Decarbonization Advisor Program | Selected participants will get free decarbonization planning, expert guidance, and may qualify for funding to support their projects. | Environment Department | 12/2/24 for Round 1 |
| Massachusetts Clean Energy Center (MassCEC) | BETA: Project Planning* | No cost building decarbonization assessment and decarbonization plan | High Performance Buildings Team | Rolling (through 2026) |
| New Ecology | Decarbonization & Resiliency Assessment Services | $10K cost share/project - projects must be in Greater Boston | Theo Brossman | Rolling (until funding exhausted) |
| Massachusetts Housing Partnership (MHP) | Green and Healthy Housing Programs | Up to $15K/project reimbursement for building decarbonization assessment | Lauren Baumann | Considered during application for permanent financing |
| Department of Energy Resources (DOER) | Affordable Housing Decarbonization Technical Assistance Hub | Will provide building decarbonization assessment and energy modeling support | VEIC | TBD - will launch in January 2025 |
*If you are just getting started, MassCEC's BETA: Roadmaps program can provide your organization with a high-level overview of decarbonization opportunities across your portfolio.
See table below for decarbonization funding opportunities in Massachusetts (as of November 2024). NOTE: Upcoming opportunities are italicized.
| Type | Funder/Resource | Program | Incentive | Deadline |
|---|---|---|---|---|
| Incentive | Mass Save - LEAN Multifamily Program | LEAN Deep Energy Retrofit Pathway** | $350/MMBtu savings for 40%+ energy savings. | Rolling (through 2027) |
| Incentive | DOER | Affordable Housing Decarbonization Grant Program | Up to $40,000/unit. Access to additional Inflation Reduction Act Home Energy Rebates of up to $20,000/unit. | Next application will be posted here. Due January 2025. |
| Incentive | EOHLC (administered by MHP, MassHousing, and LISC) | Climate Ready Housing Program | Flexible funding to support Deep Energy Retrofits (50%+ energy savings) or Zero Emissions Over Time approach. | Pre-application will be available in March 2025. |
| Incentive/ Financing | DOER, MassCEC, MassHousing, Boston Housing Authority | Solar for All Program | Will support solar deployment through direct financial assistance and supporting initiatives. Apply to STAR to prepare. | Will launch in 2025 (through 2029) |
| Financing | Community Preservation Corporation (CPC) | CPC Climate Capital | Predevelopment, construction, and permanent loan products - see term sheets | Rolling (through 2031) |
| Financing | LISC | LISC Greenhouse Gas Reduction Fund | Low-interest construction, permanent, bridge, and solar energy loan products - see product sheet | Rolling (through 2031) |
| Financing | MHP | Green and Healthy Housing Programs | Permanent financing interest rate deductions range from 10 to 35 basis point, based on achieved energy use reductions or building certification achieved | Rolling |
| Tax Credit | Internal Revenue Service (IRS) | 179D Energy Efficient Commercial Buildings Credit | $.50/SF for a 25% energy use intensity (EUI) improvement; increases incrementally to $1.00/SF at 50% improvement (additional incentive if prevailing wage and apprenticeship requirements are met). | Rolling (through 2032) |
| Tax Credit | IRS | 48E Clean Electricity Investment Tax Credit | 30% baseline credit. Direct pay option for tax-exempt orgs. Bonus credits for additional 10%-30% - must apply via DOE. STAR orgs can receive application support. | Rolling (through 2032) |
**If your property does not have significant opportunities for insulation or heating electrification, it might be a better fit for the standard LEAN Multifamily Program.
Contact us with related questions and/or your affordable housing organization's interest in significant decarbonization projects.
See table below for decarbonized new construction funding opportunities in Massachusetts (as of November 2024). NOTE: Upcoming opportunities are italicized.
| Type | Funder/Resource | Program | Incentive | Deadline |
|---|---|---|---|---|
| Incentive | Mass Save | Base Incentives (see table for details) | Low-rise: $1,500/unit. High-rise: $1,000/unit. | Rolling (through 2027) |
| Incentive | Mass Save | ENERGY STAR Incentives (see table for details) | Low-rise: $2,500/unit. High-rise: $1,750/unit. | Rolling (through 2027) |
| Incentive | Mass Save | Passive House Incentives (see table for details) | Both: $3,750/unit ($750 pre-cert, $3,000 final cert). | Rolling (through 2027) |
| Incentive/ Financing | DOER, MassCEC, MassHousing, Boston Housing Authority | Solar for All Program | Will support solar deployment through direct financial assistance and supporting initiatives. Apply to STAR to prepare. | Will launch in 2025 (through 2029) |
| Financing | CPC | CPC Climate Capital | Predevelopment, construction, and permanent loan products - see term sheets | Rolling (through 2031) |
| Financing | LISC | LISC Greenhouse Gas Reduction Fund | Low-interest construction, permanent, bridge, and solar energy loan products - see product sheet | Rolling (through 2031) |
| Financing | MHP | Green and Healthy Housing Programs | Permanent financing interest rate deductions range from 10 to 35 basis point, based on achieved energy use reductions or building certification achieved | Rolling |
| Tax Credit | IRS | 45L Tax Credits for Zero Energy Ready Homes | $500 for multifamily units that are ENERGY STAR certified ($2,500/unit if project meets prevailing wage provision). $1,000 for multifamily units that are Zero Energy Ready Home certified ($5,000/unit if project meets prevailing wage provision). | Rolling (through 2032) |
| Tax Credit | IRS | 179D Energy Efficient Commercial Buildings Credit | $.50/SF for a 25% energy use intensity (EUI) improvement; increases incrementally to $1.00/SF at 50% improvement (additional incentive if prevailing wage and apprenticeship requirements are met). | Rolling (through 2032) |
| Tax Credit | IRS | 48E Clean Electricity Investment Tax Credit | 30% baseline credit. Direct pay option for tax-exempt orgs. Bonus credits for additional 10%-30% - must apply via DOE. STAR orgs can receive application support. | Rolling (through 2032) |
