Alaska Green Bank (ASEC) begins lending and pursues federal grants, officials say

Representatives pressed AHFC and Green Bank officials about the recently created Alaska Sustainable Energy Corporation (ASEC), commonly called the Green Bank, during the Department of Revenue budget overview on Feb. 20.

Stacy Barnes, AHFC director of governmental relations and public affairs, said ASEC was created in 2024 and that the organization hired an executive director and established a nonprofit entity in late 2024. "The Green Banker, ASEC, as we call it internally, has received a $250,000 grant from the EPA and they are actively working on a loan program with Alaska Energy Authority, that totals $4,700,000," Barnes said. She added ASEC is pursuing a separate $10,000,000 grant opportunity and has hired a second staff position to support grant and loan program development.

Lawmakers asked how the Green Bank's seed investment would be spent and what Alaskans would receive for that investment; Barnes said the Green Bank is pursuing federal and other grants and working with the Alaska Energy Authority to create loan products to provide energy-efficiency opportunities for homeowners across the state. She said the program is being monitored closely by the Green Bank team.

AHFC's presentation also described a UGF savings of $685,000 tied to debt service paid from the AHFC dividend and personnel deletions from long-term vacant positions; those operational savings offset technical salary and benefit adjustments in AHFC's budget presentation.

Committee members requested additional budget documentation and asked to be kept informed as the Green Bank pursues federal funding and loan-development activities.