Plug being pulled on mPower program

After a decade of providing loans for solar, water conservation and energy efficiency projects that are paid back on property tax bills, the Placer County-based mPower program is shutting down. The Pioneer Community Energy board — which also operates as the mPower board — has agreed with a report from staff to end the decade-old program. MPower has provided loans totaling more than $98.5 million to 2,585 property owners and nearly $17 million in funding for business projects. Spearheaded by county Treasurer Jenine Windeshausen, mPower as it helped create nearly 2,000 jobs and reduce greenhouse gas emissions by 25,000 tons. With solar power installations gaining momentum in the early 2010s and the federal government providing incentives, mPower was recognized in 2012 at a White House Better Buildings Challenge reception, gained a 2010 Valley Vision Economic Leadership Award and received the 2012 Sierra Business Council Sierra Vision Award. A Granlibakken ski resort financing program for solar gained mPower a Placer County Contractors Association commercial energy upgrade Project of the Year honor. But by this year, a combination of factors was putting a crimp in mPower's success story. The average number of applications received by mPower had dropped to 11 a month from a high of 85 in 2015, mPower reported. Major factors in the decline were outlined at the July 29 meeting that resulted in a 7-0 board vote to pull the plug. The wind-down will see applications being accepted through Dec. 31 and funding to be completed by next June. Contributing to mPower's demise was a phase out of the federal tax credit on solar installations, Windeshausen said. Also playing into the downturn in activity was an mPower boycott by some solar contractors, she said. Many contractors indicated Pioneer Community Energy's lower electric rates were making it difficult to sell solar installations, Windeshausen said. Recent federal tax changes that place a cap on deductions for state and local taxes paid reduced the deductibility of a portion of mPower assessments for eligible taxpayers, she said. And market saturation was also a major factor, Windeshausen said.