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Over $1 billion awarded for residential energy rebate programs


Over  billion awarded for residential energy rebate programs

The U.S. Department of Energy (DOE) Home Energy Rebate program has reached an important milestone: The DOE has now allocated over one billion U.S. dollars to states to offer rebate programs to their eligible citizens for energy-efficient home upgrades.

The Home Energy Rebates programs are funded by the Inflation Reduction Act (IRA), which invests $8.8 billion to help Americans save money while improving energy efficiency in their homes. The nearly $400 billion in total funding from this groundbreaking legislation represents the nation’s largest investment in clean energy to date.

“We are pleased to have reached this milestone and provide funding to states that will help reduce the burden of high energy bills while promoting healthier homes, especially in communities that have previously lacked access to cleaner, more affordable energy,” said Keishaa Austin, acting deputy director of DOE’s Office of State and Community Energy Programs. “We are excited to partner with states to bring these innovative programs to families and communities across the country.”

“Rebate programs will have impacts beyond reducing energy costs. SCEP estimates that the home improvements made possible by these programs will create about 50,000 jobs. That means more jobs for heating, ventilation and air conditioning technicians, plumbers, electricians and many other trades,” said Dr. Joseph Nyangon, deputy director for partnerships in the Department of Energy’s Office of State and Municipal Energy Programs.

At the moment, 10 states have received full funding from the Department of Energy to launch rebate programs. 22 states, the District of Columbia, and one tribe have applied for full funding. To date, states and territories have applied for $3.1 billion in grants, including early administrative funding to jumpstart program buildout. New York became the first state to launch a Home Energy Rebate program in May 2024. On August 2, Wisconsin launched its first Home Efficiency (HOMES) portion of the rebate program—enabling households of all income levels, with a focus on lower-income households, to save on energy efficiency improvements such as insulation, air sealing, and heat pumps that reduce whole-home energy use.

Visit the EmPower+ website in New York and the IRA Home Energy Rebates | Focus on Energy website in Wisconsin to learn more about how individuals can benefit from these programs.

The Department of Energy continues to receive and approve applications for residential energy rebates from states, territories, and tribes to launch its programs. Several states plan to launch programs in the next few months that will significantly expand the availability of rebates for eligible homeowners and renters seeking to make energy-efficient upgrades to their homes.

To find out where your state is in the process, visit our interactive map.

About energy rebates for private households

On August 16, 2022, President Joseph R. Biden signed the landmark Inflation Reduction Act. The law provides nearly $400 billion to promote clean energy and combat climate change, including $8.8 billion in Energy discounts for private householdswhich will offer consumers two separate discount programs:

The Discounts for energy efficiency in your home will provide $4.3 billion to reduce the cost of energy-saving retrofits in single-family and multi-family homes. These rebates will be administered by states and territories.

The Discounts for the electrification of private households and household appliances will provide $4.5 billion in rebates for upgrading high-efficiency residential power grids. These rebates will be administered by states, territories and Native American tribes.

For more information, visit the Home Energy Rebates website and sign up for email updates.

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