The Biden administration said Wednesday it would make $4.5 billion available through a low-income home energy assistance program to help lower heating costs heading into what is expected to be a brutal winter.
The money, which comes partly from President Joe Biden’s economic rescue plan, will go to heating and utility bill costs, and can be used to help families make home energy repairs, the White House said.
The announcement comes in the waning days before the Nov. 8 election. With less than a week to go until polls close, Democrats are trying to contrast their efforts to help middle and low-income people – through Biden’s major infrastructure deal and other legislative measures – with Republican suggestions they would use the debt limit as leverage for cuts to Social Security and Medicare benefits and other federal programs.
Across the country, families are looking to the winter with dread as energy costs soar and fuel supplies tighten.
The Department of Energy is projecting sharp price increases for home heating compared with last winter. Some worry that heating assistance programs will not be able to make up the difference for struggling families. The situation is even bleaker in Europe, with Russia’s continued curtailment of natural gas pushing prices upward and causing painful shortages.
The Energy Department will allocate $9 billion for states and tribes for a rebate program aimed at supporting energy upgrades to 1.6 million households over the next 10 years, the White House said. Homes will be better protected against the weather and some 500,000 new heat pumps will be installed.
Vice President Kamala Harris is set to formally announce the funds Wednesday afternoon during a visit to the SMART Training Facility in Boston, which trains its students to operate and maintain building technologies like responsive HVAC systems, security systems, and other types of smart infrastructure. Harris will also use the speech to more broadly highlight the clean energy investments made possible through the Inflation Reduction Act.
Harris will “highlight how President Biden’s economic plan will help households afford energy efficient equipment when they need to make home repairs, so they can save money on their utility bills for years to come,” the White House said in a release.
The White House on Wednesday also announced a new campaign coalition that will aim to “help people understand how to use IRA benefits to go electric in their homes and lives,” launching a partnership between nonprofit Rewiring America and major companies including Airbnb, Redfin, Lyft, Duquesne Light Company, Mosaic and more. An analysis from the nonprofit found that, if “used to its full potential,” the Inflation Reduction Act could directly create at least 1.4 million jobs through residential electrification – something even renters can participate in by purchasing technologies like induction cooktops, battery-powered tools, heat pump dryers and more.
“There are 50 million people looking for a home via Redfin each month,” Glenn Kelman, Redfin CEO, said in a statement. “Our role is to guide them toward more sustainable choices about where to live, and how to renovate their homes to emit fewer greenhouse gasses.”
