California Multifamily Passive House Resources | Subsidy Programs in California

The following is a list provide by The Passive House Network (PHN) of existing funding and subsidy programs that we believe may be applied to multifamily buildings seeking Passive House certification in California.

  1. CEDA – California Energy Design Assistance:
    This program offers energy modeling assistance. It is funded by California utility customers and administered by PG&E and other investor-owned utilities (IOUs), under the auspices of the California Public Utilities Commission. PHN is currently working directly with Wildan to offer PHPP as part of their modeling support options. Contact Wildan directly to request Passive House modeling.
  2. Fannie Mae Green Building Loans:
    Passive House certification is recognized for preferential financing via Fannie Mae’s Green building loan program.
  3. Multifamily Energy Savings Program (MESP):
    This program offers various financing options, plus a ‘custom incentives’ option that may be well suited to Passive House-specific items not currently on their radar. All-electric HVAC is also well supported by this program.
  4. CEC’s BUILD Program:
    This program offers developers support for projects that can confirm above baseline code projected savings. Details regarding qualifications and subsidy amounts may be found on the link.
  5. CA Energy Smart Homes:
    This program offers up to $20K in electrification subsidies (new and retrofit) for MEP design, plus additional incentives for electric HVAC in new and existing low-rise multifamily buildings (in addition to SFH’s and ADU’s).
  6. DOE Innovative Clean Energy Loan Guarantee Program:
    This is not a direct funding source, but offers loan guarantees to projects that meet one or more of their listed criteria. Passive House projects could convincingly fit into a couple of their categories.
  1. Demand FlexMarket Program:
    This California program is structured to pay owners based on delivered efficiency. Based on modeled data of Passive House projects in California, we know that PH projects deliver the peak-load shifting and load shaving features most valued by this program. We’d love to see large tracts of Passive House buildings enrolled in this program to reap the well-deserved rewards of building better.
  2. IRA possibilities, the 45L tax credit, and the 30% ITC:
    PHN hosted a webinar on projected incentives available for Passive House projects here: High Efficiency Electric Rebate Act (HEERA) incentives details:


9. HUD Green and Resilient Retrofit Program: Leading Edge program offers up to $60K/unit for retrofit projects targeting PHI’s EnerPHit certification:


  • Sacramento Municipal Utility (SMUD) Program: LINK
  • Southern California Edison (SCE) Multifamily Resources: LINK
  • Central Coast Community Energy (3CE): (Electrification incentives up to $2,500/ unit for affordable housing or $240K per project.) LINK 
  • OTHER RESOURCES: We recommend searching this database to find potential additional subsidies: LINKNOTE: Currently there are no Passive House-specific subsidy programs offered in California. PHN’s Policy Committee is committed to changing this and will continue to update this resources list as that changes. Kindly notify us if you find any other funding or subsidy programs that we may have missed:
  • Source: PHN Policy Committee Last updated: Sep.5, 2023