Why Invest?
The residential solar industry is seeing a massive increase in demand as solar panel costs come down, energy bills rise, and more households look to reduce their carbon footprint; the Inflation Reduction Act (“IRA”) is merely accelerating an existing trend toward electrification. Unfortunately, this activity is still disproportionately occurring within wealthy households. According to the Rocky Mountain Institute, in 2019 only 21% of residential solar installations were for low- to moderate-income (“LMI”) families, even though they make up 43% of the population. One reason for this disparity is that LMI households are often unable to utilize the federal solar income tax credit. While this is a significant barrier, it is addressable with affordable financing coupled with well-designed solar systems. The main challenge is that, traditionally, neither lenders nor installers have specialized in reaching these communities.
This creates two issues central to climate justice. The first is that LMI households are not able to enjoy the benefits of solar--better air quality, lower utility costs, less reliance on the grid, the potential to withstand power outages, and property value increases. The second is that it is difficult to expect marginalized communities to support the decarbonization policies we need when they do not see the benefits: there can be no clean economy without economic justice.
Increasing access to solar and electrification for LMI households is therefore imperative. The IRA has numerous provisions that will help, but financing is still needed to meet the demand and unlock the potential of these technologies to create jobs, reduce emissions, and lower energy bills. We believe that an investment in this Offering represents an opportunity to enable Capital Good Fund to save families thousands of dollars on their utility bills, reduce greenhouse gas emissions, create good-paying green jobs, and improve the stability of the electricity grid.
To access the Offering Statement, simply fill out our Inquiry Form. Thank you in advance for your support of our mission!
Sincerely,
Andy Posner
Founder & CEO, Capital Good Fund