Commercial Energy Loan Program
Administered by Vermont Economic Development Authority (VEDA)
Vermont's Commercial Energy Loan Program, administered by VEDA, offers financing up to $6 million for renewable energy projects (like solar, wind, or geothermal) and energy efficiency improvements to your commercial property or municipal facility. You can finance up to 60% of project costs in most cases, or up to 90% for amounts up to $500,000, with variable rates adjusted quarterly or a fixed 5-year rate option; contact a VEDA Loan Officer to discuss your project before applying.
This program enables your commercial and nonprofit customers to fund renewable energy and efficiency projects with loans up to $6 million (variable) or $500,000 (fixed rate), covering land, construction, equipment installation, and design/engineering fees. VEDA finances generally 60% of project costs but can go to 90% for loans up to $500,000; loan terms are determined case-by-case up to 20 years, with fees including a 1% commitment fee (capped at $5,000 for loans over $1 million), 0.5% commitment fee, $250 minimum fee, $30 credit report fee, and applicable appraisal and recording fees.
CELP, established by Act 87 in 2013, is administered by VEDA and provides direct loans or loan purchases for commercial, nonprofit, and municipal renewable energy and efficiency projects across all major technologies (solar, wind, geothermal, biomass, heat pumps, insulation, LED lighting, etc.). Funding is capped at 60% of project costs typically (90% up to $500,000 in some cases), with variable rates adjusted quarterly, fixed 5-year rates, and terms up to 20 years determined case-by-case; fees include commitment fees (1% capped at $5,000, or 0.5% uncapped, minimum $250), $30 credit report fee, plus appraisal and recording costs. Applications are reviewed internally or presented to the VEDA Board at semi-monthly meetings, with offices in Montpelier, Burlington, and Middlebury.
Program details
- Program ID
- 5512
- Last updated
- 6/5/2025
Eligibility
- Sectors
- commercial local government nonprofit
- Technologies
- geothermal electric solar thermal electric solar photovoltaics wind (all) biomass hydroelectric combined heat & power landfill gas geothermal direct-use anaerobic digestion fuel cells using renewable fuels equipment insulation lighting lighting controls/sensors chillers furnaces boilers heat pumps air conditioners heat recovery steam-system upgrades compressed air programmable thermostats caulking/weather-stripping duct/air sealing building insulation windows doors siding roofs reflective roofs led lighting
Program summary
The Commercial Energy Loan Program (CELP), created by Act 87 in 2013, is administered by the Vermont Economic Development Authority (VEDA). The CELP provides loans to businesses for larger renewable energy and energy efficiency projects.
The maximum loan amount is $6,000,000 for the variable option and $500,000 for the fixed rate option, and VEDA is generally limited to 60% of the project cost; and in some cases up to 90% of cost financing (up to $500,000). Loans are provided at variable rates, which are adjusted on a quarterly basis; current rates can be found here. Loan terms are determined on a case-by-case basis, with a maximum loan term of 20 years. Fixed rates have a five-year term and may be re-fixed for another five-year period.
Fees associated with CELP loans include (1) a 1% commitment fee ($5,000 maximum, for loans that are at least $1 million), (2) a 0.5% commitment fee (no cap), (3) a $250 minimum commitment fee, (4) a $30 credit report fee, (3) if applicable, appraisal fee, document recording fee, flood certificate fee, and other out-of-pocket fees.
Contact & resources
- Contact email
- edenny@veda.org
- Additional resources
Please verify current program details with the administering agency before making any financial decisions.
