Green Banks 101

Bringing a Transformative Model to South Carolina

What are Green Banks?

Green banks are mission-driven institutions that work to accelerate clean energy and resilience where they operate. Common green bank strategies include loans, co-investment, credit enhancement, on-bill financing, and information coordination.

Green banks are a successful, partnership-driven model in use across the United States and around the world. Approximately 20 states have a green bank. The Southeast is a hub of green bank activity, including one of the oldest green banks in the nation.

Reducing Costs from Carbon Pollution

  • Green banks seek to use their investments to limit the negative economic impacts associated with carbon pollution.
  • South Carolina is projected to experience large losses and damages by 2080, where it is expected to have the 8th highest economic costs among all US states. Every county in South Carolina exceeds the national average for annual damages to its GDP, many by double or more.
  • Green banks can help communities increase their resilience by helping them make the investments they need to prepare and bounce back from economic damages.

Benefitting Disadvantaged Communities

  • South Carolina has over 5 million people, and many struggle to afford the costs of energy for their families or businesses.
  • Inequality is unevenly distributed across the state, including costs from carbon pollution and energy bills.
  • Green banks can help those who have financial barriers save money and recycle savings into the communities where they live and work.