Atlanta Business Chronicle
by Dave Williams
Staff Writer 
Wednesday, April 22, 2009, 4:44pm EDT

Gov. Sonny Perdue marked Earth Day by signing legislation Wednesday creating a grant program in Georgia that will use federal economic stimulus funds to help businesses pay for clean energy projects.

The bill, which will take effect in 30 days, will complement a state income tax credit program the General Assembly approved last year to encourage residential and commercial property owners to do renewable energy and energy efficiency installations.

The new program, to be administered by the Georgia Environmental Facilities Authority, will be limited to commercial properties.

"House Bill 473 provides Georgia companies with additional incentives for investing in energy efficiency and renewable energy," the governor said in a prepared statement. "These clean energy grants will also help the private sector meet the state's goal of reducing energy consumption by 15 percent."

Rules governing the grant program will be similar to those in effect for the state tax credits. Grants will be available on a first come, first served basis, and the installation must be completed before the application is submitted.

Grant awards will be limited to 35 percent of a project's cost or a fixed cap, whichever is less. Cap levels will depend on the type of project.

The program will be subject to the availability of federal stimulus funds from Georgia's share of the State Energy Program, which is expected to be $82.5 million. The state program is capped at $2.5 million a year.