The Alliance, NALCAB, Alliance to Save Energy propose that minority led CDFIs can meet the demand for green energy funds
[Orlando, FL. 11.8.2022] – The African American Alliance of CDFI CEOs (The Alliance), in partnership with Alliance to Save Energy and NALCAB, urge the Environmental Protection Agency (EPA) to ensure that minority communities can benefit equally from the Greenhouse Gas Reduction Fund (GHGRF). In its joint comments, the Alliance advocates for equity in all aspects of the GHGRF implementation, and that at least 40% of awarded capital goes to non–depository community lenders.
With their success in deploying critical capital to disadvantaged communities, minority-led Community Development Financial Institutions (CDFIs) are well-positioned to operationalize GHGRF funds for developing green energy projects in communities typically overlooked for climate investments. The GHGRF provides CDFIs with the opportunity to diversify their lending portfolios and meet the demand for clean energy solutions in low-income and disadvantaged communities.
“Green energy solutions are often out of reach for Black communities. The Alliance seeks to level the playing field by building a coalition that understands the Greenhouse Gas Reduction Fund’s potential to scale climate investments in disadvantaged communities. It is crucial that these communities are positioned to maximize this opportunity. As members of the communities they serve, Alliance members can address the unmet need for green investments in these communities and ensure the GHGRF is implemented equitably.” – Lenwood V. Long, Sr., President & CEO of The Alliance.
“The GHGRF provides a once in a generation opportunity for green investment in low-income and disadvantaged communities, and it’s critically important to ensure that the funding for this initiative also goes to community lenders who are representative of and embedded in the communities they serve,” said Paula Glover, President of the Alliance to Save Energy. “Energy equity and affordability are essential to ensuring a just energy transition and it’s our duty to make certain that BIPOC communities are able to access vital funding for transformational energy efficiency, zero emissions, and climate resiliency projects.”
“NALCAB applauds the creation of the GHGRF, a first of its kind program to help further environmental justice by providing competitive grants to support projects that reduce greenhouse gas emissions particularly in low income and disadvantaged communities. We look forward to working with the Environmental Protection Agency (EPA) in ensuring equity in the program’s implementation.”- Marla Bilonick, President and CEO, NALCAB
To become a member of The Alliance or for more information about the GHGRF comment letter and our advocacy efforts, please visit www.aaacdfi.org.
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About The African American Alliance of CDFI CEOs
The African American Alliance of CDFI CEOs (The Alliance) is a coalition of more than 69 CEOs of Black-led Community Development Financial Institutions (CDFIs), comprising loan funds, credit unions, venture capital firms, and non-profit developers. Since 2018, The Alliance has represented all 50 states and the District of Columbia. As a result, members are uniquely positioned to address issues related to housing and access to capital for African American populations and communities. Learn more about The Alliance and its programs at http://www.aaacdfi.org.
About NALCAB
The National Association for Latino Community Asset Builders, NALCAB, is the hub of a national network of more than 190 mission-driven organizations in 45 states, DC and Puerto Rico that serve ethnically diverse Latino communities across the US. Members of the NALCAB Network invest in their communities by building affordable housing, addressing gentrification, supporting small business growth, and providing financial counseling on issues such as credit building and home ownership. Our mission is to strengthen the economy by advancing economic mobility in Latino communities. As a grant maker and US Treasury-certified CDFI lender with offices in San Antonio and Washington DC, NALCAB serves hundreds of thousands of low- and moderate-income people, advancing economic equity and inclusivity.
About the Alliance to Save Energy
Founded in 1977, the Alliance to Save Energy is a nonprofit, bipartisan alliance of business, government, environmental and consumer leaders working to expand the economy while using less energy. Our mission is to promote energy productivity worldwide – including through energy efficiency – to achieve a stronger economy, a cleaner environment and greater energy security, affordability, and reliability.
