The Clean Energy Improvement Program
Have you heard of the Clean Energy Improvement Program (CEIP)? Administered by Alberta Municipalities through the City of Calgary, the program assists residential property owners with the upfront costs of energy efficiency and renewable energy upgrades. The costs are repaid through a Clean Energy Improvement tax, which is placed on the property and paid back through property taxes.
How does it work? Here are the steps from the city’s website to get you started:
- EnerGuide Home Evaluation – Once pre-qualified, schedule an EnerGuide Home Evaluation to learn about your home’s energy performance and understand your best options for home improvements.
- Project Application – Select a Qualified Contractor at ceip.abmunis.ca/directory, plan your project, and submit your Project Application to Alberta Municipalities.
- Agreements – Once your proposed project is approved, you will enter into a Clean Energy Improvement Agreement and Project Agreement.
- Project Installation – After program agreements are signed, work with your Qualified Contractor to have your improvements completed.
- Upgrade Completion – Submit your Upgrade Completion Forms as your improvements are completed.
- Post-project EnerGuide Home Evaluation – After your project is fully completed, a post-project EnerGuide Home Evaluation will provide you a new EnerGuide rating and label based on your upgraded home performance.
- Repayment – You will repay the cost of the project through your property’s tax bill based on the terms of your Clean Energy Improvement Agreement.
There are things to consider when you are either selling or buying a home with a Clean Energy Improvement tax. As a seller, you are required to disclose the Clean Energy Improvement agreement to your agent and potential buyers. The tax can be transferred to the new owner or fully paid off by you before possession date, depending on what you negotiate with the buyer.
As a buyer, you should get a copy of the Clean Energy Improvement agreement showing what upgrades were made to the property from the seller. You need to decide whether you want to assume the repayments or have the seller pay off the balance prior to closing.
There is a demand for energy-efficient homes, so participation in the program can certainly be beneficial and attractive to potential buyers. Check out the full program on the city website here https://www.calgary.ca/environment/climate/clean-energy-improvement-program.html. Don’t forget to join me on Facebook and Google for more information for all of your real estate needs!