Portland's clean energy fund has generated $1 billion for climate action

Portland, Oregon's Clean Energy Community Benefits Fund has provided over 20,000 free air conditioning units to low-income households, funded energy efficiency retrofits for 3,100 homes and trained 2,000 people in renewable energy and construction jobs, reports Monica Samayoa for Oregon Public Broadcasting.

As Samayoa explains, "The Portland Clean Energy Fund is a first-of-its-kind racial, social and climate justice fund aimed at helping the city’s most vulnerable residents adapt to climate change while also reducing carbon emissions." The fund was approved by a public measure in 2018 that levied a 1% retail sales tax — paid by the companies — on large corporations within Portland city limits. The fund has since generated roughly $1 billion for climate resilience projects. "Since 2021, the fund has distributed four rounds of community-based nonprofit grants totaling about $262 million. Grants range from about $8,000 to as high as $10.3 million — and many projects are also helping reduce greenhouse gas emissions."

Other cities are starting to replicate Portland's model, but some have local restrictions that prevent the creation of a similar retail tax. Denver passed a consumer-facing 0.25% sales tax that generated $41 million for its Climate Protection Fund. Ann Arbor increased property taxes to generate funding for climate action.