“Reaches places most in need”

A new “green bank” is bringing solar-powered and electric buses to rural America, which could also save money.

According to Grist, the Environmental Protection Agency just launched a $500 million initiative called the Green Bank for Rural America, which aims to help small lenders invest in renewable energy projects in Appalachia and beyond.

This exciting venture brings together over 75 community development financial institutions (CDFIs) to provide financing for local environmental projects. These include on-site solar panels, renewable energy apprenticeships and even electric public transport. Its goal is to help ordinary people in rural and low-income areas access clean energy solutions that lower their bills and create jobs.

Imagine your city getting a fleet of electric buses that reduce air pollution and save money on fuel costs. Or imagine your local grocery store installs solar panels on its roof, allowing it to reduce its energy costs and pass those savings on to you in the form of lower food prices.

That’s what happened in Isom, Kentucky, where an IGA grocery store reopened after devastating floods with the help of a local CDFI. They installed solar panels and energy-efficient equipment, allowing them to hire 10 new employees and continue to serve the community.

This green bank initiative makes clean energy accessible to everyone. Focusing on rural and low-income areas enables the transition to clean energy for communities that are often left behind. By saving money on your energy bills, you also help reduce dirty gas pollution and combat climate damage.

Jason Spicer, an assistant professor at Baruch College, highlights the potential of this approach: “The advantage of the CDFI system in theory is that it reaches places most in need. Theoretically, it won’t go to the strongest counties in the region, right?”

Donna Gambrell, president of Appalachian Community Capital, echoes this sentiment, telling Grist: “We wanted to make sure these were high-impact projects, green projects and renewable energy projects in low-income, rural communities. The projects themselves would help create jobs that stay in the hardest-hit communities.”

Robin Gabbard, president of the Mountain Association, a CDFI in eastern Kentucky, added: “They benefit from reduced energy costs so they can reinvest in their businesses and continue to add employees (and) provide lower-cost groceries.”

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