COLLEGE PARK, Md. — The Maryland Clean Energy Center (MCEC) has announced a landmark $27 million investment included in the Fiscal Year 2027 budget bill, passed during the recently concluded legislative session in Maryland. This capital allocation marks a turning point for the state green bank, enabling new initiatives to facilitate energy affordability for residents in Maryland, with a dedicated focus on underserved markets.
MCEC will receive $23.75 million in one-time investment capital and an increase in annual operating capital to $4.2 million. With this funding, MCEC will expand the number of program operators to find innovative clean energy solutions. New projects will focus on building Distributed Energy Resources (DERs), or small-scale energy systems that generate or store electricity close to where it is used, instead of relying on centralized power plants that require expensive energy transmission lines. By focusing on localized solutions, MCEC can increase capacity on the grid, reducing the need for energy to be shipped into the state from external sources.
“This investment demonstrates the unique value of a green bank like MCEC to leverage public funds and attract private capital for the benefit of the public,” said Kathy Magruder, Executive Director of the Maryland Clean Energy Center. “For the first time in our history, we have the resources to significantly scale decarbonization solutions and clean energy deployment. We applaud the efforts in Maryland to stabilize the grid and achieve greenhouse gas goals while ensuring that energy remains affordable for all citizens.”
“This strategic investment reinforces the role of MCEC as a leader advancing clean energy,” said Karen Wayland, Chair of the Board for MCEC and CEO of GridWise Alliance. “These resources empower us to drive the adoption of smart infrastructure that enhances grid stability throughout Maryland and builds a more resilient energy future.”
Additionally, the budget provides essential funding for administration, operations, and overhead. This includes the support of a corps of Project Navigators who will work directly with local communities to envision, design, and engineer investment-ready projects.
“Ensuring energy affordability and equity is critical to the economic health of the state,” said Maryland Comptroller Brooke Lierman. “This investment in MCEC allows the state to meet ambitious climate goals while prioritizing underserved communities. By providing the tools for decarbonization and financing for clean energy, we are building a more resilient and sustainable economy for every person in Maryland.”
The success of these budget provisions comes at a critical time as the state addresses a structural deficit and rising energy demands. By utilizing the green bank model, MCEC will use these funds to leverage additional private investment, ensuring a high-impact return to achieve state greenhouse gas reduction and grid stabilization goals.
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