Qualified Energy Conservation Bonds (QECBs) are qualified tax credit bonds that can be used by state, tribal, and local governments to finance certain energy projects.
The US Congress allocated QECBs to the states, and the states then suballocated a portion to large local governments and municipalities (population 100,000 or more). A minimum of 70% the allocations must be used for governmental projects, and the remainder may be used to finance private activity projects.
Eligible Renewable Energy Technologies include Solar Thermal Electric, Photovoltaics, Landfill Gas, Wind, Biomass, Hydroelectric, Geothermal Electric, Municipal Solid Waste, Hydrokinetic Power, Anaerobic Digestion, Tidal Energy, Wave Energy, and Ocean Thermal.
Qualified energy conservation projects include the following: energy efficiency capital expenditures in public buildings that reduce energy consumption by at least 20%; green community programs (including loans and grants to implement such programs); renewable energy production; various research and development applications; mass commuting facilities that reduce energy consumption; several types of energy related demonstration projects; and public energy efficiency education campaigns.