The market is expected to grow by leaps and bounds, however. Pike Research projects 250 percent growth to $19.9 billion by 2020.
About 80 percent of the current market is tied to projects in the institutional and federal sectors, spurred by the injection of nearly $11 billion in incentives, grants and lending opportunities through the American Recovery and Reinvestment Act of 2009 (ARRA).
“Private commercial buildings are the next frontier,” said Research Analyst Jevan Fox. “However, private building owners still lack the proper financing structures and incentives to take advantage of this opportunity.”
In a scenario where more PACE financing becomes available, at the same time as companies face higher costs from cap-and-trade legislation, Pike Research estimates the market would balloon to $37.6 billion by 2020.
