Westerly Manufacturer Improves Competitive Position using C-PACE Financing

Rhode Island Infrastructure Bank (RIIB) recently visited US Extruders, a Westerly manufacturer that produces single-screw plastic extruders sold internationally. RIIB celebrated the completion of the fifth Rhode Island Commercial Property Assessed Clean Energy (C-PACE) project alongside General Treasurer Seth Magaziner. Also in attendance  were Senate Minority Leader Dennis Algiere, members of the Westerly Town Council, and representatives from the Office of Energy Resources and Commerce RI. US Extruders received the capital for the C-PACE project from Greenworks Lending, a national PACE specialty lender with an expanding presence in Rhode Island, and installed the solar array through Direct Energy Solar.

The new rooftop array will power US Extruders’ operations, as well as those of two other manufacturers, ProSystems Integration and ERSA, an industrial facility totaling46,000 square feet. This will save the company an estimated $336,000 in the first year of operation and $1.1 million over the useful life of the investment. The clean energy produced by the solar panels will reduce CO2 emissions by 2,354 tons over 20 years, which is equivalent to the CO2 emissions from over 5,000,000 miles driven by the average passenger vehicle.

“To continue to grow our business, we look for every opportunity to stay competitive, and there are several Rhode Island programs that can help us do that,” said Daniel Schilke, Operations Director for US Extruders. “The C-PACE program made Direct Energy Solar’s design proposal a viable option for us because the payback is immediate from a cash flow perspective.”  

C-PACE is a financing program that can take what was once a capital expenditure and turn it into a cash-flow positive investment that lowers operating costs, increases property value, and improves building performance. C-PACE has served thousands of commercial property owners around the country who are interested in completing energy upgrades. C-PACE offers 100% upfront financing with no money down, does not require a personal guarantee, and provides longer-term financing than that of traditional commercial lending. In addition, C-PACE financing can be transferred from one property owner to the next. These factors make C-PACE financing an attractive proposition for a variety of commercial property owners.

Five Rhode Island projects, from dry cleaners to office properties, have already received financing through the C-PACE program and the Infrastructure Bank has built a robust pipeline of potential projects. To learn more about the C-PACE program and view a full list of participating communities, click here.