GoGreen Business Energy Financing Regulations

11/26/2024 – Notice of Regular Rulemaking

The California Alternative Energy and Advanced Transportation Financing Authority (CAEATFA) is issuing a Notice of Proposed Rulemaking with proposed regulation text for the regular rulemaking process for the Commercial Energy Efficiency Financing (“GoGreen Business”) Program. The Notice is planned to be published in the California Regulatory Notice Register on December 6, 2024.

These regulations will complete the rulemaking process initiated by the emergency regulations enacted on May 13, 2024, and re-adopted on November 13, 2024 and with second readoption planned for February 2025. The public comment period for the Notice of Proposed Rulemaking will end on January 20, 2025.

The regulations include changes made during the emergency process proposed to be made permanent. Some of the changes include adding distributed generation, battery storage, EV charging and other Eligible Energy Measures, adding rules for affordable multifamily project enrollment and related loss reserve calculations, extending the loss reserve claim period, conditional eligibility expansion for non-IOU funding, expansion of participant rules for On-Bill Repayment enrollment and expansion of program capacity to offer interest rate buy-downs and other forms of financial assistance. Other clarifications and minor modifications are proposed.

• View the Notice of Proposed Action
• View the Initial Statement of Reasons
• View the Proposed modified regulations

The Authority has not scheduled a public hearing on this proposed rulemaking. However, a public hearing will be held if any interested person, or his or her duly authorized representative, requests a public hearing to be held relevant to the proposed rulemaking by submitting a written request to the Agency Contact Person identified in this notice no later than fifteen (15) days prior to the close of the written comment period.

Stakeholders and interested parties can submit written comments to cheef@treasurer.ca.gov by January 20, 2025.

If you prefer to receive a hard copy of the Notice or proposed regulations or if you have any questions regarding this action, please contact Kevin Nakano at (916) 653-0015 with questions.

11/4/2024 – Emergency Regulations Readopted

On 11/4/2024, the Office of Administrative Law (OAL) approved the readoption of emergency regulations for the GoGreen Business Energy Financing Program. These regulations will become effective on November 13, 2024, and are effective until February 11, 2025.

• View the approval notice from the Office of Administrative Law and the emergency regulations text changes and additions
• View the Notice and Finding of Emergency
• View Addendum to the Finding of Emergency

The proposed emergency regulations were publicly noticed, considered, and approved by the CAEATFA Board at a public meeting held on April 16, 2024.

Under Decision 23-08-026, published in the summer of 2023, the CPUC authorized CAEATFA to begin using its current funding source, IOU energy efficiency ratepayer funds, to credit enhance financing for comprehensive clean energy measures. In the emergency modifications to regulations adopted in May of 2024, CAEATFA made substantial changes to incorporate the key modifications into the Program. The amendments being readopted in these emergency regulations respond to the challenges and lessons learned from implementing the Program, as well as the Program’s expansion to include comprehensive clean energy measures. Since the initial emergency action was approved by OAL in file number 2024-0501-01E, CAEATFA has worked diligently to implement these amendments. Given the time-intensive nature of the amendments and unanticipated staff vacancies, it is necessary to readopt the emergency regulations, with no additional modifications from the initial emergency action, to allow CAEATFA enough time to complete the Certificate of Compliance.

CAEATFA is simultaneously working through the Regular Rulemaking process to make these changes permanent in 2025.

10/15/2024 - Notice of Emergency Regulations Readopt

On May 13, 2024, the Office of Administrative Law (OAL) approved emergency regulation amendments to the GoGreen Business Energy Efficiency Financing Program. CAEATFA is giving public notice of the proposed emergency action to readopt these regulations, as linked above, without further modifications. As required by Government Code Section 11346.1(a)(2), this constitutes notice of at least five working days prior to submission to OAL. The readoption will be effective as of November 8, 2024.

• View the Notice & Finding of Emergency
• View the proposed regulations

In the emergency modifications to regulations adopted in May of 2024, CAEATFA made substantial changes to incorporate the key modifications into the Program.  The amendments being readopted in these emergency regulations respond to the challenges and lessons learned from implementing the Program, as well as the Program’s expansion to include comprehensive clean energy measures. 

Regulatory History

On December 17, 2018, OAL approved CAEATFA’s initial emergency regulations to establish the Commercial Energy Efficiency Financing Program. The regulations were initially effective for 180 days and were readopted twice under the emergency rulemaking process, extending the emergency regulations for two consecutive 90-day periods.

On December 13, 2019, CAEATFA timely submitted to OAL the Certificate of Compliance and all corresponding documents required to complete the emergency rulemaking process. OAL approved and filed the Certificate of Compliance and regulations with the California Secretary of State on January 21, 2020. The regulations, in their entirety, became effective on January 21, 2020, per Government Code Section 11343.4(b)(3).

On July 19, 2021, the OAL approved further emergency regulation amendments to the program, which were initially effective for 180 days and were readopted twice under the emergency rulemaking process. These emergency regulations, along with some additional modifications, were approved by OAL as part of the regular rulemaking process with an effective date of August 15, 2022.

On May 13, 2024, the OAL approved further emergency regulation amendments to the program, which were initially effective for 180 days.

5/13/2024 - Notice of Adopted Emergency Regulations: Amendments to the GoGreen Business Program Regulations

On May 13, 2024, the Office of Administrative Law approved emergency regulations to modify the Commercial Energy Efficiency Financing (“GoGreen Business”) Program. These modifications allow eligibility for clean energy generation and storage measures, provide an increased loss reserve contribution for installations at affordable multifamily housing, extend the allowable claim period against the loss reserve, and to add options for alternate sources of program funding.

CAEATFA has considered all comments, objections, and recommendations regarding the proposed action. You may review the regulatory documents below:

• View the approved and endorsed Form 400 Certificate of Compliance filed with the Secretary of State
• View the approved regulations filed with the Secretary of State

The subject of the modified regulations for GoGreen Business was discussed at a public workshop on March 25, 2024, and CAEATFA invited public comment through April 1, 2024. View the slide deck summary of regulation changes that was presented at the workshop here. Following the workshop, CAEATFA made additional changes based on stakeholder input.

The proposed regulations were publicly noticed, considered, and approved by the CAEATFA Board at a public meeting held on April 16, 2024.