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City of Reading, PA's Vision for a More Energy Resilient Future

The City of Reading, PA is embarking on a major energy transition. In partnership with Schneider Electric, Reading is currently working through a $17.9 million project to make widespread energy-efficiency upgrades over the next two years—transformations that will fortify the city’s energy resilience and drive cost-savings from modernization initiatives.

The City of Reading’s plans for significant infrastructure improvements have already made the headlines. The star of the show is Reading’s commitment to installing solar canopies across key municipal buildings, including City Hall and the Public Works Campus. Other standout improvements include the widespread installation of LED lighting across city buildings, parks, and rec centers. The City of Reading also will modernize heating and air conditioning systems in four historical fieldhouses. 

This multi-step journey toward energy efficiency will enable Reading to:

  • deliver on its decarbonization goal to use 100% renewable energies by 2050;

  • stabilize the city’s budget through more accurate energy forecasting and savings from energy-efficiency improvements;

  • and boost its energy resilience if faced with severe weather events.

The City announced the onset of construction earlier this year, and the project is scheduled to wrap up in late 2026.

Let’s take a closer look at how City of Reading leaders will meet its impressive targets.

Reading’s energy transition to renewables

For the City of Reading, the reliance on fossil-fuel-based energy is coming to a halt. Solar is now taking the lead. But what is a solar canopy? From Reading’s famed Pagoda on Mount Penn, you will spot more than 4,300 solar panels atop City Hall and the Public Works Campus. These panels will generate more than 1.78 megawatts of power. That’s enough to offset the Public Works facility’s electrical consumption completely and most of City Hall’s consumption.

To put these decarbonization wins in perspective, consider the tangible equivalencies below.

By transforming the energy mix needed to power municipal buildings, the City of Reading will progress in leaps and bounds toward its 2050 target of using 100% renewable energy.

A clear route to budget stability

There is more to Reading’s energy transition project than decarbonization, however. Reducing operational and energy costs places Reading on a path toward budget stability as well. By switching to renewables, the city can achieve budget stability from its sustainable infrastructure investments.

How? By increasing its reliance on renewable energy sources and improving energy efficiency, the City of Reading reduces its exposure to fluctuating and often volatile energy prices. What’s more, better-tuned energy budgets are boosted by surplus energy generated by solar installations. These overages can be fed back into the grid, further reducing the city’s overall energy costs.

Improving energy resilience

Knowing the growing risks of extreme weather events and other threats to infrastructure, City of Reading leaders are committed to designing resilient energy systems that can withstand and recover more readily from the impacts of extreme weather events. Specifically, they are modernizing systems across key facilities and critical infrastructure to ensure that municipal infrastructure is better equipped to withstand extreme weather events that often threaten long-term power outages. Modernizing onsite electrical distribution systems will also optimize the costs, reliability, and quality of electrical power, and the use of renewables means that extended outages are less likely to occur.

Schneider Electric will make boiler upgrades and modernize transformers for energy efficiency and resilience. In addition, a building automation system and water leak detection will empower facility operators to uncover additional savings opportunities from energy efficiency and other improvements. The City of Reading can redirect the savings from reduced maintenance and operational costs to other community needs.

Project funding through the Guaranteed Energy Savings Act (GESA)

The big question for any municipal leader is, “How is Reading funding this project?” The City of Reading is partnering with Schneider Electric to execute a GESA (Guaranteed Energy Savings Act). As a legislative framework, GESA allows public entities to establish Energy Savings Performance Contracts (ESPCs) with Energy Service Companies (ESCOs). For the City of Reading, this framework comprises several funding mechanisms to offset its own direct investment in the two-year project. These include the following:

  • Capital funding that consists of direct financial investments;

  • Utility rebates provided as financial incentives to offset the cost of energy-efficient equipment and upgrades;

  • Investment Tax Credits (ITC) for certain energy efficiency projects; and

  • Financing via loans and other financial products to spread the cost of projects over time.

GESA empowers the City of Reading to fast-track its energy project by minimizing the city's direct investment to just $4.6 million of the total $17.9 million project cost. Over the 20-year lifespan of the project, Reading is projected to achieve $13.3 million in total savings, thanks to a combination of guaranteed energy savings, utility rebates, and support from federal grants.

Reading Mayor Eddie Morán is excited about this project, saying:

“We are honored to continue moving our city forward in the most efficient way possible, and this partnership with Schneider Electric represents another important step in that journey. This transformative project brings us closer to our renewable energy goals, while reducing operational costs and enhances the safety and comfort of our community.” 

Doing more with less

The City of Reading will be able to do more with less by operating much more efficiently. For instance, the project also includes more than 3,000 LED light upgrades across 14 sites. This upgrade to more energy-efficient lighting will improve pedestrian safety and security in five key areas downtown—and at a lower operational cost. Likewise, major modernization of HVAC systems in four historical fieldhouses will empower the City of Reading to realize reduced operating costs while improving the comfort of these four facilities.

All city leaders should be looking closely at how they can use every available source of funding to achieve their facility goals. A partner like Schneider Electric can help select the right financial model based on your unique needs. Hear more stories like Reading’s on our Government Hub, or click here to get in touch.