By locally creating and installing the first 6,000 solar PV systems on Low-Middle Income (LMI) households first, CLGP will expand City tax-based income, create jobs, serve both homeowners and renters, and expand the local retail economy in Claremont (primarily small, local businesses) by 12%.
$6,500,000/yr increase in Disposable Personal Income (DPI) for LMI Households
$29,360,000 added to local retail economy annually because of the higher multiplier effect of LMI households spending
$900,000/yr net increase in Claremont's tax based revenue
$5,500,000/yr increase in tax revenues to the State of California
The Claremont Locally Grown Power (CLGP) initiative is the first massive scale, low-moderate income (LMI), energy program to expand state revenues above costs.
CLGP will add approximately half the tax-based revenue to the City of Claremont as a typical shopping mall.
In the past, many LMI program costs have vastly outweighed the revenues generated. That is to say money is put in, but not circulated out. They are essentially subsidy programs, with no expected return on the investment/subsidy. The CLGP program is proposing a framework that would free up a total of $6,500,000/yr in disposable income for LMI households for the next 25+ years. An increase in LMI household DPI disproportionately affects the local economy more positively than at the higher income levels because LMI households have a higher Marginal Propensity to Consume (Spend) immediately and locally.
By including LMI households intentionally in the economic equation, and by manufacturing and installing solar panels using local labor in a non-profit business model we can capture every penny of savings and circulate it locally. In this way we are able to create Sustainable Energy AND Sustainable Economics
To read more about LGP,
the full white paper can be found HERE.