By Phil Roberts for Next City.
Broadcast version by Edwin J. Viera for New York News Connection reporting for the Solutions Journalism Network-Public News Service Collaboration

BlocPower, a clean technology start-up, is greening buildings in New York City and beyond. About 40 percent of U.S. carbon dioxide emissions come from buildings. And when buildings use oil or natural gas as a heating fuel, they also produce smoke that can cause or worsen asthma and other health problems.

In New York City alone, more than 10,000 multifamily buildings still use boilers that run on fuel oil or natural gas, and buildings that primarily serve low-income tenants are least positioned to pay for the expensive upgrades that would eliminate these emissions.

Enter BlocPower, a Black-owned, cleantech startup that works with these buildings to turn them green, swapping oil or gas for heat pumps. The startup helps buildings transition away from fossil-fuel-powered boilers and toward electric heat pumps, without paying large sums of money upfront. BlocPower - and its investors - are repaid from the savings on buildings' utility bills. In New York City, BlocPower has made it work for over 1,000 buildings, with 24 ongoing projects in other U.S. cities.

"Two of the barriers that we break down are customer acquisition costs and the lack of capital by building owners," explains Keith Kinch, General Manager and co-Founder at BlocPower. Building owners complete a survey on the BlocPower website and get an analysis of their building's energy savings potential. But many building owners don't have capital to finance these projects on their own, so BlocPower provides a no money down lease option. Building owners get a new heating or cooling system and save up to 70 percent on their energy bills. Kinch explains the importance of overcoming those two barriers with the company's unofficial motto: "We are turning buildings into Teslas!"

Once the heat pumps are installed, BlocPower uses the leasing revenue to cover all maintenance and repairs for 15 years. A proprietary software determines which buildings would benefit most from such a retrofit, and after installation, monitors, analyzes, and manages the heat pumps on every project to ensure optimal performance. BlocPower's revenues come from the installation profits, financing fees, and the enterprise contracts.

Heat pump technology - which is essentially an air conditioner (or a reverse air conditioner when used to heat a space) is not without its criticisms, depending on the existing energy source of a geographic location. Since heat pumps use electricity, if a home's electricity source comes from a coal-burning power plant, critics say that a heat pump simply moves emissions from one place to another. BlocPower still believes that heat pumps are important because they provide heat in the winter, cool air in the summer, and they run on electricity.

The scale of what BlocPower has done would not be possible without the NY Green Bank, a state-sponsored entity dedicated to helping finance investments in clean energy, which loaned the company $5 million. "They provide capital that traditional banks do not provide. They've done tremendous work in allowing us to complete projects," says Kinch.

It also helps that the company managed to partner with Goldman Sachs, which loaned them $50 million. It is hard to believe there was a time when BlocPower was not on Wall Street's radar, but those days are a mere memory now. When asked what changed, Kinch describes the simple way they got the attention of major investors.

"We had to prove that we're a viable company and have a record of accomplishments. We have both now," Kinch declares. "When we talk about the work it's not what we might do. We've done this work and we plan to do more. From Wall Street's end, I think there's more of an interest in investing in clean energy projects, because it's a market that will grow."

In a November 2020 interview, BlocPower founder and CEO Donnel Baird said that he sees a new asset class developing around national clean energy technology projects for investment banks and pension funds, independent of the fluctuations of the stock market. He believes that with the reduction in costs of artificial intelligence, cloud computing, solar energy, and smart heating technologies, this new asset class will become a long-term investment strategy, similar to a bond. (BlocPower did not make Baird available for an interview with Next City.)

BlocPower has done projects for nonprofit organizations, churches, and small commercial properties, but residential is where Kinch says the company looks at the most. "Owners of multi-family buildings in dense urban areas have the most to lose, because they've been underserved for years and don't have the capital."

For Kinch, the more money they receive, the more they can take their community level solution national. "It (the VC money) gave us more capital to finance projects across New York state. It allows us to expand the company by hiring the right people and build out our software tools so we can expand to other states like Pennsylvania and California."

Phil Roberts wrote this article for Next City.


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A new report shows Maine is exceeding the home-heating goals set forth in its ambitious four-year climate plan to reduce greenhouse-gas emissions. The state surpassed its goal of installing 100,000 heat pumps earlier this summer, and Gov. Janet Mills quickly set a new target of 275,000 by 2027.

Michael Stoddard, Efficiency Maine Trust executive director, said new refrigeration cycle technology is helping both the climate and consumers, who've struggled with volatile prices in home heating oil.

"The advent of highly effective at very cold temperatures and very cost-effective air-sourced heat pumps has been a huge breakthrough for us," Stoddard explained.

Close to 30% of Maine's greenhouse-gas emissions come from heating homes and businesses. The state has set a goal of going carbon neutral by 2045 and is aggressively promoting heat pumps to help reach that target.

The cold and rural state of Maine is the nation's most dependent on home heating oil, with nearly 60% of households reliant on the fuel for warmth, compared with just 4% nationally.

Stoddard said often, households will install a heat pump and continue to use heating oil as a backup source, but added a whole-home heat-pump system can save consumers roughly $1,000 a year.

"So, you can imagine what the impacts of that are, expanded across all the homes that we touch and that we will touch over the next decade," he said.

Stoddard noted many antiquated school buildings in rural Maine could also reap financial rewards by transitioning their heating systems, and said federal and state programs offering financial incentives, especially rebates, are helping drive consumer demand for more efficient heating technologies that also benefit the climate.


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NASA-funded research using satellites to study atmospheric nitrogen will examine how different farming approaches affect greenhouse gas emissions.

The $1.1 million grant will fund a team of scientists, including two at institutions in Maryland, who will use remote sensing satellites to look for accumulations of airborne ammonia and nitrogen in rural settings.

The researchers will then conduct soil sampling to determine which types of farming methods are better or worse for the climate.

Stephanie Yarwood, PhD - associate professor of environmental science and technology at the University of Maryland - is one of the principal investigators and said this research will help improve climate modeling.

"What we're really trying to do is make a connection between what a satellite can see, which is ammonia, and to make more of a link or less of a link depending on what we find, to nitrous oxide production," said Yarwood. "Because that's really what global models are trying to account for. They're trying to really understand, well how much greenhouse gas emission is there?"

She said as a greenhouse gas nitrous oxide is 300 times more powerful than CO2.

The grant runs for four years with research set to begin this winter.

While air quality measurements in cities are common, there is less data on rural areas. Yarwood said remote sensing satellite technology that can examine atmospheric chemistry at a continental scale is relatively new.

In studying soil contents, researchers hope to establish how microbial communities impact the release of nitrogen into the air and water.

Yarwood said the team will build mathematical models that can predict how nitrogen moves through the soil.

Researchers hope the work will offer hard data on the impact of various conservation practices and help policymakers and stakeholders decide how to spend both time and money.

"A lot of times, there's money invested, either from the government or from the producer," said Yarwood. "There's time in figuring new technologies out and applying those, there's some risk involved in that. I think we really need good data to be able to tell farmers, 'Yes, this is really something that's going to help', and we're going to see less nitrous oxide or not based on that."

The study includes a researcher from the University of California, Irvine - and one at the U.S. Department of Agriculture's Sustainable Agricultural Systems Laboratory in Beltsville.





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A handful of Iowa's biggest cities has been awarded $3 million to work on solutions to climate change at the local level.

The climate pollution reduction grants are part of a $5 billion program to assess climate change and come up with ways to address a steadily warming planet.

Pam Mackey-Taylor, director of the Iowa chapter of the Sierra Club, said when the state of Iowa declined to apply for the grants, it opened up the opportunities to individual communities. They will use the money to develop specific plans to reduce greenhouse gas emissions and other harmful air pollution at the local level.

"The cities of Iowa City, Cedar Rapids and Des Moines decided to pursue the grants," Mackey-Taylor explained. "They are going to be doing planning for not only the cities but the counties they're in and some of the neighboring counties."

Cedar Rapids and Iowa City together were awarded $2 million, and Des Moines received $1 million. Mackey-Taylor pointed out the money will be used on things such as making buildings more energy efficient and environmentally friendly. Iowa was one of just four states not to pursue grant funding on a statewide basis. The others were Florida, South Dakota and Kentucky.

The Environmental Protection Agency will help train local and tribal leaders on how best to plan for and use the money. Mackey-Taylor noted while the smaller grants are critical to addressing the problems at the local level, Iowa may have missed an opportunity to work on bigger issues by passing on the larger grants.

"We still have some challenges," Mackey-Taylor observed. "Our agriculture sector in Iowa generates 29% of the greenhouse gases. Our residential, commercial and industrial generate 27% of the state's greenhouse gases and our electricity and power plants generate 19%."

Iowa has made strides in reducing emissions in the electricity sector. More than half of the state's power is now generated by wind.