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Incentives/Policies for Renewables & Efficiency

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Energy Efficient Schools Initiative - Loans   

Last DSIRE Review: 08/08/2014
Program Overview:
State: Tennessee
Incentive Type: State Loan Program
Eligible Efficiency Technologies: Lighting, Lighting Controls/Sensors, Chillers , Furnaces , Boilers, Heat pumps, Central Air conditioners, Programmable Thermostats, Energy Mgmt. Systems/Building Controls, Motors, Motor VFDs, Comprehensive Measures/Whole Building, Custom/Others pending approval, Unspecified Technologies, Food Service Equipment
Eligible Renewable/Other Technologies: Geothermal Heat Pumps
Applicable Sectors: Schools, (K-12)
Maximum Incentive:$1 million/district for EESI loans
$5 million for guaranteed energy savings project loans
Terms:0% interest for 10 years
.75% interest for 12 years
Funding Source:Appropriated from Excess State Lottery Funds (2008); Council may raise other funds
Program Budget:$90 million
Web Site:

Applications are now being considered on a case-by-case basis. School districts interested in applying for loans should contact Ron Graham, Executive Director of the Energy Efficient Schools Initiative, directly.

The Energy Efficient Schools Initiative (EESI) was created in May 2008 to provide grants and loans to Tennessee school systems for capital outlay projects that meet energy efficient design and technology guidelines for school facilities. All school systems in Tennessee are eligible to apply. Possible projects include lighting upgrades, HVAC upgrades, and other projects that meet pre-determined energy use objectives. The maximum loan is $66/student (at the district level).

School districts that already executed loans totaling less than $1 million cannot refinance existing loans, but they can apply for an additional loan as long as the combined total does not exceed $1 million. In addition, the Technical Advisory Committee will review $30 million worth of loans, which have a $5 million cap per school district. The committee will submit its choices to the EESI Council.

State government appropriated the original funding ($90 million) with a onetime transfer from the Lottery for Education Account reserve and Lottery for Education special reserve account for K-12 capital outlay. Additional money to the fund comes from interest earnings and other funds secured by the Energy Efficient Schools Council. The Council is part of the Department of Education.

  EESI Program Administrator
Energy Efficient Schools Initiative
710 James Robertson Parkway
12th Floor, Andrew Johnson Tower
Nashville, TN 37243
Phone: (615) 532-8273
Fax: (615) 532-5942
Web Site:
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Disclaimer: The information presented on the DSIRE web site provides an unofficial overview of financial incentives and other policies. It does not constitute professional tax advice or other professional financial guidance, and it should not be used as the only source of information when making purchasing decisions, investment decisions or tax decisions, or when executing other binding agreements. Please refer to the individual contact provided below each summary to verify that a specific financial incentive or other policy applies to your project.

While the DSIRE staff strives to provide the best information possible, the DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. make no representations or warranties, either express or implied, concerning the accuracy, completeness, reliability or suitability of the information. The DSIRE staff, the N.C. Solar Center, N.C. State University and the Interstate Renewable Energy Council, Inc. disclaim all liability of any kind arising out of your use or misuse of the information contained or referenced on DSIRE Web pages.

Copyright 2014 - 2015 North Carolina State University, under NREL Subcontract No. XEU-0-99515-01. Permission granted only for personal or educational use, or for use by or on behalf of the U.S. government. North Carolina State University prohibits the unauthorized display, reproduction, sale, and/or distribution of all or portions of the content of the Database of State Incentives for Renewables and Efficiency (DSIRE) without prior, written consent.