Newark Housing Authority Energy Efficiency, Newark, NJ
In December 2015, Goldman Sachs provided $84 million to finance the largest public housing Energy Performance Contract to date for energy efficiency-related capital improvements across 6,000 units housing 10,000 residents throughout the City of Newark.
The project is the second phase of the Housing Authority of the City of Newark’s ongoing energy conservation program designed to reduce its carbon footprint and ensure healthy, sustainable affordable housing for its low-income residents by revolutionizing energy access and consumption. The innovative financing structure allows the public housing agency to implement energy efficiency upgrades whereby the cost of installation is paid for using the cost savings that result from reduced energy consumption in the future through an Energy Performance Contract.
The Energy Performance Contract program was designed to result in significant energy and cost savings generated through energy conservation measures that will continue long after the equipment has been installed and help ease the considerable future capital improvement needs of the public housing authority. The Project not only includes the installation of equipment to better control energy consumption and waste, it also includes renewable energy sources such as solar panels and a wind turbine.