Charles Cotton never gave much thought to the fact that he owns a piece of Jackson Energy Cooperative, the utility that delivers power to his home in Berea, Ky. But last November, Cotton’s membership paid off in a way he hadn’t expected: The cooperative gave him an energy upgrade, installing a plastic moisture barrier underneath his house and replacing his old furnace with an efficient heat pump. Jackson Energy’s status as a cooperative led directly to Cotton’s retrofit. It is one of four rural electric cooperatives participating in a pilot program called How$martKY, run by the Mountain Association for Community Economic Development (MACED). The program will let Cotton slowly pay back the cost of the retrofit: His bill is smaller than before, but he’s actually paying a bit more than the cost of the electricity he uses. The extra charge is how he repays the cost of the retrofit. It’s a scheme called on-bill financing—a way for people of all financial backgrounds to reap the benefits of energy efficiency without a big up-front cost.