Renewable Energy Incentives

Evaluating the Suitability of Property Tax Exemptions and PACE Financing for Lebanon, New Hampshire
PRS Briefs
PRS Policy Brief 1011-07
Thursday, May 19, 2011

This report assesses the suitability of two renewable energy incentive programs, property tax exemptions and Property Assessed Clean Energy (PACE), for Lebanon, New Hampshire. We find that property tax exemptions are popular in theory but are seldom claimed in the New Hampshire municipalities that currently offer them. We present a series of estimates of the expected fiscal impact on Lebanon were property tax exemptions to be enacted. We also describe how and where the PACE program has been implemented and assess the likely impact of legal challenges to its financing structure. Since the program is fairly new, data on its impact is unavailable, so we present three case studies to help officials predict the impact PACE adoption would have on Lebanon.