Guidelines for Low-Income Energy Efficiency Programs

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

Federal funding for weatherization efforts in Alaska is supplemented by financial investment from the state, utilities, and other organizations. The Alaska Housing Finance Corporation (AHFC) has administered the federal Low-Income Weatherization Assistance Program (WAP) since 1992. Funding is prioritized for low-income seniors and families with disabilities or young children in their home. In program year 2019, $4.7 million was distributed resulting in 190 unit completionss. No specific required spending or savings requirements for utility programs were identified. Utilities generally do not administer separate low-income energy efficiency programs. However, utility funding is used to supplement the programs described above.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

No specific adjustments or exceptions to general cost-effectiveness rules are in place for low-income programs.

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

Level of coordination is unclear from publicly available data.

Last updated: November 2020

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

There are no specific spending or savings requirements for low-income energy efficiency programs.

Following unsuccessful attempts in the early 2000s to create a low-income weatherization program, the Arkansas Public Service Commission (PSC) approved the Arkansas Weatherization Program (AWP) in 2007 in Order No. 4 in Docket No. 07-079-TF, as a quick start program. In February 2010, the PSC approved AWP to run through June 2011, and subsequent orders have extended AWP through 2018. In 2014, in response to a proposal to develop a consistent approach for weatherization programs across all Arkansas utilities, the PSC approved a uniform weatherization program in PSC Docket 13-002-U, Order No. 22 at 11.

Act 1102 of 2017 (Ark. Code Ann. Sec. 23-2-304(a)(11)) was passed by the Arkansas General Assembly, authorizing the Commission to "propose develop, solicit, approve, require, implement and monitor financial assistance programs" for utility customers who are 65 years of age or older or who meet the income eligibility qualifications of LIHEAP.  After notice and a hearing, the Commission may approve and order a financial assistance program for utility customers if the Commission determines that the program is beneficial to the ratepayers of a public utility and the public utility. That authorization is contingent on the provision that the Commission shall not fix rates, charges, or surcharges that recover, directly or indirectly, any portion of the cost of programs authorized by this Act from a ratepayer that is not in the customer class of ratepayers eligible to participate in the programs. The Commission has not taken action to implement this authority by either order or rule.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

Arkansas does not require program-level cost-effectiveness for low-income programs.

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

AWP funds from utilities are administered in conjunction with US DOE WAP funds. The provider installs the approved measures in the home. Part of the cost of the audit and installation is covered by the customer’s AWP utility, and the balance is paid by the customer. Customers eligible for the DOE WAP have their co-payment covered by that federal program.

Last updated: June 2020

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

HB 21-1238 (2021), requiring gas utilities to develop energy savings targets every four years, includes a requirement that 25% of residential DSM programs target low-income households. No specific level of spending is required, although utilities and the state offer a variety of low-income programs.  

In 2007, the Colorado General Assembly passed HB 1037, which, in addition to establishing energy savings goals for utilities, also instructed them to make sure that low-income customers had access to DSM programs. This was codified in Colorado statute 40-3.2.104, which directs utilities to provide funding for low-income energy-assistance programs such as bill assistance and weatherization through the assessment of a public benefits charge.

This funding is administered by the Colorado Energy Assistance Foundation (now Energy Outreach Colorado), created under section 40-8.5-104. Energy Outreach Colorado is required to file a report with the commission annually, showing amounts of money collected under the public benefits charge and demonstrating that the funds were used towards low-income energy bill payment assistance and energy efficiency improvements for affordable housing and non-profit facilities.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

Decision No. C08-0560 directs the Colorado Public Service Commission to pursue all cost-effective low-income DSM programs, “but to not forego DSM programs simply because they do not pass a 1.0 TRC test.” It also directs that, in applying the TRC to low-income DSM programs, “the benefits included in the calculation shall be increased by 20%, to reflect the higher level of non-energy benefits that are likely to accrue from DSM services to low-income customers.” This was increased further to 50% for low-income measures and products in April 2018 under Decision No. C18-0417.

To avoid unintended impacts to calculations of benefits pursuant to performance incentives, the decision also allows utilities to exclude these costs in these determinations: “To address this concern we find that the costs and benefits associated with any low-income DSM program that is approved and has a TRC below 1.0 may be excluded from the calculation of net economic benefits. Further, the energy and demand savings may be applied toward the calculation of overall energy and demand savings, for purposes of determining progress toward annual goals.”

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

The Colorado Commission on Low-Income Energy Assistance is responsible for coordinating the state’s low-income energy assistance services pursuant to C.R.S. § 40-8.5-103.5 and Executive Order D 026 07. Many Colorado utilities have decided to enter into agreements with the Colorado Energy Office, the federal Weatherization Assistance Program grantee, and/or non-profits like Energy Outreach Colorado or community action agencies. In these instances, the funds generated by monthly surcharges are given to these other entities to provide services to the utility’s low-income customers.

Last updated: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

Delaware established legislative energy savings targets in 2009 with the adoption of SB 106, although these have yet to be implemented. The legislation sets up a Sustainable Energy Trust Fund to collect charges assessed by energy providers in service of energy savings goals. SB 106 specifies that 20% of assessment be provided to the Weatherization Assistance Program.

Electric utility restructuring legislation passed in 1999 specifies that Delmarva Power and Light collect 0.095 mills/kWh (approximately $800,000 annually) from customers to be forwarded to the Department of Health and Social Services, Division of State Service Centers, to be used to fund low-income fuel assistance and weatherization programs.

The Delaware Weatherization Assistance Program has an annual goal of completing 400 homes.   In addition, to make low-income energy efficiency programs more accessible, a Guidance Document was drafted in 2016 as part of the merger settlements approved by the PSC between Exelon and Delmarva Power and Light to allocate $4,000,000 of the funds towards low-income customer energy efficiency programs. This Guidance Document applies to DPL customers, and funds are available to support organizations delivering energy efficiency programs to low-income rate payers. Organizations that receive grants to run low-income energy efficiency programs will increase energy efficiency measures for low-income Delaware households, increase statewide electric and gas savings, engage and inform low-income households about the benefits of energy efficiency, develop a community-based approach to address energy efficiency issues in low-income housing by mobilizing public and private sector resources, and ensure the greatest extent feasible that job training, employment, and contracting generated by this grant will be directed to low-income households. All settlement-funded low-income programs must be officially recommended by the EEAC and approved by the PSC. The Delaware Public Service Commission approved Delmarva Power's low-income settlement distribution plan at a hearing on May 22, 2018.

Energize Delaware was selected to be the grant manager for $4 million in funds designated for low income energy efficient programs for Delmarva Power customers. The funds originated from the Exelon\Delmarva Power Merger Settlement approved by the Delaware Public Service Commission.  Energize Delaware will distribute the funds competitively to organizations capable of delivering energy efficiency programs to low income customers over a three-year period. Two distinct energy efficiency programs will be funded: Large-Scale energy efficiency programs and Community-Scale programs.  The first round of solicitation for the Large-Scale grant closed April 24th with 8 applications requesting nearly $10 million in funding.  The Grant Review committee is preparing to meet to review the applications and make decisions on the grant awards which should be issued in July.  Community-Scale grant applications are being accepted and are being considered by the Grant Review Committee on a rolling basis. (https://empowergrantde.org/about/)

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

In 2016, the Evaluation, Verification, & Measurement subcommittee of the EEAC reviewed net-to-gross ratios, avoided costs, and net environmental impacts for low-income energy customers. The EM&V Committee recommended a proposed net-to-gross ratio for low-income programs to be 1. This includes income-eligible HES, low-income multi-family, and low-income new construction programs.

The EM&V Committee in 2016 recommended specific non-energy benefits for low-income programs. These non-energy benefits include weatherization reduced arrearages and participant health and safety benefits. Specific values were also applied to non-energy benefits and are locked in for three years. These non-energy benefits were unanimously recognized and approved by the EEAC.

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

The Department of Natural Resources and Environmental Control (DNREC) administers federal weatherization funds, which are coordinated and joined with federal LIHEAP block grant, state utility funds, and funds from the Regional Greenhouse Gas Initiative (RGGI).

The Low-Income Energy Efficiency Committee of the EEAC began meeting in 2016 with a purpose to develop cost-effective low-income programs to submit before the EEAC. It is made up of stakeholders from the EEAC, utility representatives, state agencies, community action agencies, community-based organizations, faith-based organizations, and community foundations. In an effort to better serve the low-income population in the state, the committee was tasked with identifying existing services that provide funding for affordable housing. Some of the existing programs identified include the Weatherization Assistance Program (WAP), Low-Income Home Energy Assistance Program (LIHEAP), SHARING Fund, Beat the Peak, and Assisted Home Performance with Energy Star.

The Weatherization Assistance Program (WAP), Low-Income Home Energy Assistance Program (LIHEAP), and Delaware Sustainable Energy Utility collaborate in order to deliver services to as many clients as possible.  The Delaware Pre-Weatherization Program (Pre-WAP) is a unique initiative developed in order to serve clients that would otherwise be deferred by WAP due to the condition of the client’s home.  The Pre-Weatherization program helps low-income families in Delaware prepare their homes to meet the requirements for the State of Delaware’s Weatherization Assistance Program.  Many potential Weatherization Assistance Program (WAP) clients cannot afford the structural home repairs needed to qualify the home, and therefore lose the ability to participate in weatherization assistance.  Participants whose properties have been deferred by WAP for structural reasons are referred to Energize Delaware’s Pre-Weatherization Program.  Energize Delaware provides funding to pay for the repair of the structural issues, such as leaky roofs, broken windows and doors, or moisture in crawl spaces.  The Pre-Weatherization Assistance Program will inspect homes, hire contractors, schedule repair work, and perform a quality assurance post-inspection, then re-admit these units into the Weatherization Assistance Program.  Over 200 homes have been completed to date at an average cost of $3,000 per home.  Participants in the LIHEAP are also referred to WAP for additional services.

Last reviewed: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

By Order No. PSC-14-0696-FOF-EU, the Commission directed the FEECA utilities to educate low-income customers on energy efficiency opportunities. The Florida Public Service Commission is not aware of legislation or regulations requiring specific levels of utility spending or savings related to low-income energy efficiency programs. The above-referenced Order requires each utility to assist and educate low-income customers, specifically with respect to measures that have less than a two-year payback. In 2019, by Order No. PSC-2019-0509-FOF-EG, the Commission affirmed the support originally expressed in the prior order. The DSM Plans offered since the 2014 and 2019 Orders were issued (in 2015 and 2020) provide each company's plan to educate low-income customers on energy efficiency and conservation.

The Commission has adopted specific goals to track and/or evaluate energy efficiency for business and residential customer classes, but none that are prescriptively identified as for low-income and marginalized communities. In annual reports, the FEECA utilities provide data on participation levels and program costs for all programs, in addition to goal achievement information. The annual reports are available here.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

Program-level cost-effectiveness tests are applied to all programs, including low-income energy efficiency programs.  

In Florida, the state energy efficiency cost-effectiveness tests do not include customer health & safety benefits (e.g., fewer sick days from work or school, reduced medical costs, improved indoor air quality, and reduced deaths).

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

Section 5.2 of the Annual Report on Activities Pursuant to the Florida Energy Efficiency & Conservation Act (FEECA), lists the state agencies and organizations in Florida that assist and educate consumers on energy conservation. In addition to the Florida Public Service Commission, website information is provided for the Florida Department of Environmental Protection, The Office of Energy, the Florida Solar Energy Center, as well as information for Florida Weatherization Assistance and Florida's Local Weatherization Agencies List.

Last updated: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

No legislative mandate, but PUC has given guidance and required in the Triennial Plan approximately 21% of the funding is going to "affordability and accessibilty - Hard To Reach" categories, which include low-income populations.  COVID-response planning also increases focus in this area for PY20.

Hawaii Energy's 2019-2021 Triennial Plan does however include performance indicators for Customer Equity (island equity), and Affordability & Accessibility categories; with particular focus on low-income and ALICE (Asset-limited Income Constrained Employed) populations.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

No specific adjustments or exceptions to general cost-effectiveness rules are in place for low-income programs.

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

Level of coordination is unclear from publicly available data.

Last reviewed: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

In December 2016, the Illinois State Legislature passed the Future Energy Jobs Bill (SB 2814). The legislation directs utilities to implement low-income energy efficiency measures of no less than $25 million per year for electric utilities that serve more than 3 million retail customers in the state (ComEd), and no less than $8.35 million per year for electric utilities that serve less than 3 million but more than 500,000 retail customers in the state (Ameren).

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

Section 8-103B (Energy Efficiency and Demand-Response Measures) of SB 2814 excludes low-income energy efficiency measures from the need to satisfy the total resource cost-effectiveness (TRC) test.

Coordination of Low-Income and WAP Services

The Illinois Department of Commerce and Economic Opportunity (DCEO) is responsible for administering the state’s allocation of DOE weatherization funds. In Illinois, the weatherization program is called the Illinois Home Weatherization Assistance Program (IHWAP). IHWAP provides Illinois’ low-income residents with the labor and materials needed to weatherize their homes and is funded by three sources: DOE WAP funding, Low Income Home Energy Assistance Block Grant funds from the US Department of Health and Human Services (HHS), and the state’s Supplemental Low-Income Energy Assistance Fund (from the monthly Low-Income Energy Assistance Charge assessed by electric and gas utilities).

Last reviewed: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

Iowa Code 476.6 (13 and 476.6 (15) require that the investor-owned utilities' energy efficiency plans include programs for low-income customers but does not require a specific level of spending.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

According to IAC 199 – 35.5(4)(c)(3), "...Energy Efficiency programs for qualified low-income persons and for tree planting programs, educational programs, and assessments of consumers' needs for information to make effective choices regarding energy use and energy efficiency need not be cost-effective and shall not be considered in determining cost-effectiveness of plans as a whole."

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

IPL, Black Hills Energy, and MidAmerican Energy jointly implement the Weatherization Assistance Program (WAP) through the Iowa Utility Association (IUA). The utilities contribute program funding through the Iowa Department of Human Rights (DHR). These funds reimburse Community Action Program (CAP) agencies for the costs of performing energy assessments and purchasing and installing qualifying energy efficiency measures in residences occupied by low-income families. WAP is available to homeowners and renters whose income level is at or below 200% of the Federal Poverty Level (FPL). Homes occupied by the elderly, individuals with disabilities, and families with children under the age of six are prioritized for weatherization assistance, as are households with high usage. CAP agencies market and deliver the program to low-income customers, and the DHR's Division of Community Action Agencies (DCAA) administers the program.

The Iowa Division of Community Action Agencies (DCAA), in coordination with investor-owned utilities, conducts and publishes an annual evaluation of the Iowa Weatherization Program. The performance assessment is used to determine technical assistance and training needs.

Last reviewed: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

In 1994, Kentucky passed its DSM Statute (KRS 278.285), which allows utilities to propose and the PSC to review DSM programs aimed at reducing their customers’ energy use through efficiency and load management. However, the statute does not specifically address low-income programs.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

Requirements for low-income programming are similar to those governing other programmatic offerings, and these were established by precedent in a 1997 proceeding surrounding the approval of LG&E’s DSM program portfolio. The rules for benefit-cost tests are stated in Case No. 1997-083. These benefit-cost tests are required for total program level screening, with exceptions for low-income programs, pilots, and new technologies. The commission also found in Case No. 97-083 that “If [a] filing fails any of the traditional [cost-effectiveness] tests, LG&E and its Collaborative may submit additional documentation to justify the need for the program.”

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

Level of coordination is unclear from publicly available data.

Last updated: April 2017

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

LD-1559, passed in June 2013, states that Efficiency Maine Trust shall “target at least 10% of funds for electricity conservation collected under subsection 4 or 4-A or $2,600,000, whichever is greater, to programs for low-income residential consumers, as defined by the board by rule.” For the Natural Gas Conservation Fund (natural gas ratepayer funds), this allocation is set at a reasonable percentage considering low-income consumers’ share of gas load and the cost-effective opportunity available at their homes, which in practice Efficiency Maine has set at 10%.  Regarding the use of RGGI funds, the statute requires that Efficiency Maine "shall ensure that measures to reduce the cost of residential heating are available for low-income households..." and Efficiency Maine allocates a minimum of 10% to Low-Income Initiatives. See 35-A MRS §10109(4)(A).

Following the passage of LD 1766 in 2019 and its establishment of a state-wide goal to install 100,000 high-performance heat pumps by 2025, MaineHousing allocated a portion of its annual LIHEAP weatherization budgets to pay for the installation of 1,000 heat pumps/year in LIHEAP-eligible homes. 

In 2021, the Legislature passed LD 1766, codifying the state's plan (the Maine Jobs and Recovery Plan) to spend roughly $1 billion in discretionary funding from the American Rescue Plan Act (ARPA) Coronavirus State and Local Fiscal Recovery Funds. This plan allocated $25 million to the Efficiency Maine Trust to accelerate weatherization and efficiency upgrades for homes in the State, especially for low-income, older residents and renters. 

As part of its Triennial Plan for FY2020-FY2022, Efficiency Maine establishes program budgets that reflect the minimum funding allocations to low-income customers set forth in statute [see 35-A MRS §10110(2)(B)] and 35-A MRS §10111(1)(B)] and rule [see 95-648 Code of Maine Rules (CMR) ch. 3, §3(A)(2) and 95-648 CMR ch. 4, §3(2)]. For the Electric Efficiency Procurement (electric ratepayer funds) this allocation is 10%. For the Natural Gas Conservation Fund (natural gas ratepayer funds), this allocation is set at a reasonable percentage, considering low-income consumers' share of the gas load and the cost-effective opportunity available at their homes. For RGGI funds, the target allocation to low-income programs is 10%.

One of the State of Maine's primary electrification strategies involves a goal to install 100,000 additional high-efficiency heat pumps over five years by 2025. This goal was set forth in a bill passed by the Maine Legislature in 2019: LD 1766 - An Act To Transform Maine's Heat Pump Market To Advance Economic Security and Climate Objectives. The bill requires the Maine State Housing Authority to include information in its annual planning process (for low-income weatherization programs) on targets and budgets related to the heat pump goal. Efficiency Maine Trust is also offering enhanced rebates for low and moderate-income households.

The state's new climate action plan, entitled "Maine Won't Wait: A Four-Year Plan for Climate Action," establishes a goal of installing at least 15,000 new heat pumps in income-eligible households by 2025 as part of the 100,000 heat pump initiative. The Plan also recommends doubling the current pace of home weatherization, including at least 1,000 low-income units per year.

Efficiency Maine Trust allocates funds from the Volkswagen Settlement and the New England Clean Energy Connect (NECEC) specifically for disproportionately underserved communities in Maine to receive enhanced rebates for level 2 charging stations. These investments are targeted especially in rural areas with a higher upfront cost. Efficiency Maine funding received through a settlement related to the New England Clean Energy Connect project includes dedicated resources for low- and moderate-income households for heat pumps, heat pump water heaters, weatherization, and electric vehicle rebates. All of the Weatherization Assistance Program (WAP) and LIHEAP-Weatherization funds administered by MaineHousing are dedicated to low-income Mainers who meet the criteria for LIHEAP eligibility. The funds are allocated pro-rata across the nine regions served by CAP agencies in the state. Efficiency Maine has mapped the geographic distribution of heat pump rebates in its Triennial Plan V on page 20.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

Maine does not have specific cost-effectiveness guidelines in place for low-income programs. However, the cost-effectiveness test for all programs requires consideration of non-energy benefits including “…reduced operations and maintenance costs, job training opportunities and workforce development, general economic development and environmental benefits, to the extent that such benefits can be accurately and reasonably quantified and attributed to the program or project.”

The Maine PUC allows EMT to bundle individual measures in Low-Income homes that, taken alone, may score as low as 0.7 using the Total Resource Cost Test but, when bundled, achieve a TRC of 1.0 or above.  Additionally, EMT's strategic plan, approved by the PUC, provides that "For Low-Income Initiatives, a monetary benefit for avoided bad debt may be included in the benefit-cost assessment. Inclusion of that benefit requires a study of bad debt avoidance attributable to energy efficiency to quantify the impact."  EMT, Triennial Plan IV, at pp. 4-7

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

The Maine State Housing Authority administers the federal Weatherization Assistance Program (WAP) for the state. State regulations require the Housing Authority to ensure effective coordination of WAP with the Housing Authority’s Central Heating Improvement Program (CHIP)—which finances energy-related repairs for low-income homeowners—as well as with other bill assistance programs. 2009 Public Law Chapter 372 requires that the Housing Authority must also coordinate WAP plans and use of federal DOE funds with the programs administered by Efficiency Maine Trust.

Following the passage of LD 1766 in 2019 and its establishment of a statewide goal to install 100,000 high-performance heat pumps by 2025, MaineHousing allocated a portion of its annual LIHEAP weatherization budgets to pay for the installation of 1,000 heat pumps/year in LIHEAP-eligible homes. 

Last updated: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

In the late 1990s, the Massachusetts restructuring law established a low-income conservation fund through a 0.25 mills per kWh charge on every electric customer, while a conservation charge on natural gas customers’ bills has funded natural gas low-income energy efficiency programs.

In 2010, the program received additional funding through the 2008 Green Communities Act, which required that 10% of electric utility program funds and 20% of gas program funds be spent on comprehensive low-income energy efficiency and education programs. The legislation further directed that these programs be implemented through the low-income weatherization and fuel assistance program network with the objective of standardizing implementation among all utilities.

In 2020, the Energy Efficiency Advisory Council (EEAC) created the Equity Working Group (EWG) to identify and recommend priority actions, plans, and partnerships to increase participation among moderate-income customers, renters, and landlords, customers with limited English proficiency, and small businesses as identified in two non-participant studies completed in early 2020. The EWG strives to develop just and equitable solutions that are centered in the communities that have been historically underserved by the existing Mass Save programs.  Throughout 2020, the EWG has engaged with stakeholders representing underserved customer groups to solicit feedback on strategies that the council would recommend for inclusion in the 2022-2024 Three-Year Energy Efficiency Plan. In January 2021, the EWG presented its recommendations to the full council.  Recommendations from the EEAC EWG support developing metrics for tracking progress towards equity goals, including tracking program participation, investment, and benefits. The resulting equity targets framework for 2022-2024 is available here.

The 2022-2024 Energy Efficiency Plan includes numerical targets and metrics for measuring success towards goals for improving participation, benefits, and investments among renters, low and moderate-income customers, language-isolated populations, small businesses, and residents/businesses in EJ communities. Reporting with respect to these sectors varies (quarterly, bi-annually, annually.) More details are available at ma-eeac.org. In addition, the Plan requires quarterly savings reporting on measures installed in low-income households. All program reporting for the DPU is posted to https://ma-eeac.org/results-reporting/.

Massachusetts relies on the TRC test as its primary test for DSM programs, but it specifically calculates additional benefits from low-income programs in its benefit-cost ratio.

D.P.U. 08-50-B specifies that an Energy Efficiency Plan must include calculations of non-energy benefits, including non-resource benefits related to: “(A) reduced costs for operation and maintenance associated with efficient equipment or practices; (B) the value of longer equipment replacement cycles and/or productivity improvements associated with efficient equipment; (C) reduced environmental and safety costs, such as those for changes in a waste stream or disposal of lamp ballasts or ozone-depleting chemicals; and (D) all benefits associated with providing energy efficiency services to Low-Income Customers.”

In addition to the factors used to calculate market-rate benefits,  cost-effectiveness evaluation for the current low-income programs in Massachusetts includes consideration of non-energy benefits such as asthma reductions, thermal stress reductions, productivity improvements due to fewer missed workdays and improved sleep, reduced risk of carbon monoxide poisoning, reduced risk of fire, and reduced reliance on high interest, predatory loans.

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

Coordination occurs through the Massachusetts Low-Income Energy Affordability Network (LEAN), which was established by the lead agencies of the low-income weatherization and fuel assistance program network. LEAN works to standardize eligibility requirements, procedures, and standards to enable delivery of various programs through CAP agencies throughout the state. The ratepayer funded low-income programs (i.e., the Income Eligible Coordinated Delivery initiative within Mass Save) is administered in coordination with LEAN and implemented by local Community Action Program (“CAP”) Agencies. Revenue streams are leveraged with the Department of Housing and Community Development (“DHCD”) Weatherization Assistance Program (“WAP”) and the Heating Emergency Assistance Retrofit Task Weatherization Assistance program (“HEARTWAP”). This approach provides a seamless, integrated experience leveraging all applicable revenue streams for income eligible participants with no co-payments required from customers.

In 2019, Bay State Gas Company d/b/a Columbia Gas of Massachusetts (“CMA”) provided an enhanced weatherization offering to support the homes and businesses impacted by the September 2018 natural gas explosion incidents in the Greater Lawrence portion of its service territory.  In conjunction with this enhanced offering, the Massachusetts Attorney General provided an additional $500,000 for low income homes.  Specifically, these funds were used to mitigate barriers (e.g. knob and tube wiring) that would otherwise prevent the installation of cost effective weatherization in low income homes.   

Last updated: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

To help ensure that low-income customers have the opportunity to participate in CIP, Minnesota Statutes §216B.241, subd. 7(a) establishes minimum low-income spending requirements for electric and natural gas utilities and associations. The Energy Conservation and Optimization Act (ECO) was signed into law during the 2021 legislative session. ECO contains many changes and updates to CIP, including more than doubling the low-income spending requirement for all IOUs. Beginning in 2022, the minimum low-income spending requirement for gas IOUs will be equal to 1% of three-year average residential GOR. The minimum low-income spending requirement for electric IOUs will be equal to 0.4% of three-year average residential GOR beginning in 2022; then, it will increase to 0.6% of residential GOR beginning in 2024. Source: “HF 164: Energy Conservation and Optimization Act of 2021.” May 25, 2021.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

The rules for benefit-cost tests are stated in MN Statutes 261B.241 and Rule 7690.0550. The benefit-cost tests are required for portfolio, market segment, and at the program level. Due to their unique purpose and the spending requirement for low-income programs, the Department of Commerce has not required low-income programs to pass cost-effectiveness tests. Subd 7(e) of 216B.241 directs that “costs and benefits associated with any approved low-income gas or electric conservation improvement program that is not cost-effective when considering the costs and benefits to the utility may, at the discretion of the utility, be excluded from the calculation of net economic benefits for purposes of calculating the financial incentive to the utility. The energy and demand savings may, at the discretion of the utility, be applied toward the calculation of overall portfolio energy and demand savings for purposes of determining progress toward annual goals and in the financial incentive mechanism.”

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

The Minnesota Department of Commerce is responsible for administration of the federal Weatherization Assistance Program (WAP). The department’s Division of Energy Resources includes not only WAP but also the State Energy Program (SEP), Low Income Energy Assistance Program (LIHEAP), as well as the Conservation Improvement Program (CIP), a statewide program funded by ratepayers to help Minnesota households and businesses use electricity and natural gas more efficiency. Close proximity of these programs within the department allows for coordination of services for low-income households. The Department of Commerce Energy Assistance Program (EAP) offers a simple one-stop shop for applying to EAP, WAP, and CIP.

APPRISE Incorporated recently completed a State-commissioned three-year study on the Low Income CIP. One of the primary objectives was to assess the current performance of the utility LI CIP programs and identify opportunities for increasing the efficiency and effectiveness of those programs. Overall, the study found that the LI CIP is meeting or exceeding most of the statutory and regulatory requirements. The study also identified ways in which program performance could be enhanced through additional collaboration among the utilities to share program experiences, and between the Minnesota Department of Commerce and the utilities to consider the adoption of low-income program best practices.

Last Updated: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

While no legislation or regulations have been adopted to require a specific level of utility spending for low-income energy efficiency programs as reported by the PSC, the Commission has ordered a number of regulated utilities to include specified levels of funding for low-income weatherization programs in their rates. The Division of Energy requested this in cases to assure continuous funding levels rather than subjecting WAP funding to voluntary MEEIA programs.

The Missouri Energy Efficiency Advisory Collaborative, established by the Missouri Public Service Commission rule and docketed under Case No. EW-2013-0519 includes a Low-Income Work Group that meets multiple times a year to specifically address low-income customers' energy efficiency needs. The work group meetings include a variety of stakeholders. In addition, the Missouri Public Service Commission rules at 4 CSR 240-20-094(3)(A)4 require that market potential studies "Include an estimate of the achievable potential, regardless of cost-effectiveness, of energy savings from low-income demand-side programs. Energy savings from multi-family buildings that house low-income households may count toward this target."

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

Missouri specifies the total resource cost (TRC) test to be a primary test for cost effectiveness. The benefit-cost tests are required for portfolio and total program level screening, although state regulations for utilities allow for low-income programs to have a TRC ratio of less than one (4 CSR 240-20.094(2).

Section 393.1075.4 of Missouri Code also specifies that "programs targeted to low-income customers or general education campaigns do not need to meet a cost-effectiveness test, so long as the commission determines that the program or campaign is in the public interest.”

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

The Division of Energy administers the state Weatherization Assistance Program and also receives utility weatherization funds from four investor-owned utilities to administer consistent with US DOE WAP guidelines pursuant to PSC rate case orders. These funds are awarded by the Division of Energy to local weatherization agencies at the same time as state WAP funds and are subject to the same quality control and monitoring procedures. Local agencies use a combination of the utility and state WAP funds to maximize cost-effective savings.

The four utilities with weatherization funds administered by the Division of Energy are: Ameren Missouri Electric, Ameren Natural Gas, Laclede Gas, and Liberty Gas. For the remaining utilities that administer their own WAP funds/programs, the utilities have contracts with the affected local WAP agencies that are the Division of Energy’s subgrantees and administer the federal WAP funds.

Some community action agencies in the state are also working to implement Healthy Home Programs to complement low-income energy efficiency programs (CAASTLC). The Missouri Housing Development Commission implements a weatherization loan program per RSMo 215.062.

Last Updated: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

No specific required spending or savings requirements were identified.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

No specific adjustments or exceptions to general cost-effectiveness rules are in place for low-income programs.

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

Utilities collaborate closely with local and regional community-action and state agencies as well as the Nebraska Energy Assistance Network (NEAN) to fund and coordinate low-income assistance including weatherization and billing assistance.

Last reviewed: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

Per Settlement Agreement, the Home Energy Assistance program's budget is 17 percent of the total plan budget. Any unused monies in the HEA program carry forward to the next year. In addition. RSA 374-F:3, VI-a (c), approved February 2022, provides "that no less than 20 percent of the portion of the [system benefit charge] funds collected for energy efficiency shall be expended on low-income energy efficiency programs." The 20 percent requirement is specific to the electric utilities.

The Home Energy Assistance (HEA) Program provides energy efficiency improvements specifically for low-income customers. The program serves single-family and multi-family units. Utilities partner with NH’s Community Action Agencies to deliver program services. These agencies also deliver services through the U.S. Dept. of Energy’s Weatherization Assistance Program, so they are well positioned to deliver needed energy efficiency services along with health and safety measures, which may include heating systems and indoor air quality issues.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

In 2021, New Hampshire used the Granite State Test as its primary cost-effectiveness test and the Utility Cost Test and secondary Granite State Test as secondary tests.  For these tests, the non-energy benefits for the low-income program participants are included.  The Home Energy Assistance program includes a 20% adder for non-energy benefits.  The commission recognizes low-income benefits, and low-income programs that do not screen with benefit-cost ratios greater than 1.0 may still be approved if the programs are otherwise well designed. 

In 2022, HB549, approved February 2022, requires the use of the Granite State Test as the primary test, and the total resource cost test as the secondary test starting in 2022.  As a result of a NH study conducted, the low-income Home Energy Assistance Program adds non-energy benefit of $406/weatherization program. 

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

The Utilities continue to collaborate closely with the network of Community Action Agencies (CAAs) throughout the State, as well as the NH Department of Energy (formerly the NH Office of Strategic Initiative), which administers the U.S. Department of Energy Weatherization Assistance Programs, and other advocates serving the income-eligible population to ensure that most effective deployment of statewide resources for this population.  In addition, the NH Utilities are working one-on-one with CAAs to ensure that their weatherization contractors are fully equipped and qualified to meet the unique needs related to this housing stock, and that there is the sufficient capacity to meet program and customer efforts to deliver low-income programs are coordinated with Community Action Agencies.  Annual electric and MMBtu savings are revised to reflect current projects modeled by the CAAs.   In addition, training programs are conducted across the state of New Hampshire to increase the number of weatherization contractors.

Last Updated: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

The state’s energy efficiency targets, first established in 2005 with the Efficient Use of Energy Act, were amended in 2013 with the passage of HB 267, and renewed and amended in 2019 with the passage of HB 291. The 2019 legislation calls for an 5% reduction of the 2020 energy consumption as a percent of sales during the period of 2021 through 2025.  The legislation calls on the Public Regulations Commission to adopt energy savings targets by June 30, 2025 for the years 2026 through 2030. The legislation also maintains that no less than 5% of the amount received by the public utility for program costs must be specifically directed to energy efficiency programs for low-income customers.

Utilities that are required to provide annual energy efficiency reports must provide information related to spending and energy savings associated with their programs available to low-income consumers.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

The utility cost test (UCT) is conducted in New Mexico and is considered to be the primary test for decision making and evaluating program cost effectiveness. HB 267 directs that “…In developing this test for energy efficiency and load management programs directed to low-income customers, the commission shall either quantify or assign a reasonable value to reductions in working capital, reduced collection costs, lower bad-debt expense, improved customer service effectiveness and other appropriate factors as utility system economic benefits.”

It was later codified in New Mexico Administrative Code that “in developing the utility cost test for energy efficiency and load management measures and programs directed to low-income customers, unless otherwise quantified in a commission proceeding, the public utility shall assume that 20% of the calculated energy savings is the reasonable value of reductions in working capital, reduced collection costs, lower bad-debt expense, improved customer service, effectiveness, and other appropriate factors qualifying as utility system economic benefits” [17.7.2.9 NMAC - Rp. 17.7.2.9 NMAC, 1-1-15].

Last reviewed: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

North Carolina Senate Bill 3 was finalized in 2008, introducing the state’s combined Renewable Energy and Energy Efficiency Portfolio Standard (REPS); however, the legislation does not address requirements for low-income programs.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

No specific adjustments or exceptions to general cost-effectiveness rules are in place for low-income programs. The rules for benefit-cost tests are stated in SB 3—NC GA session law (SL 2007-397), Rule 8-68, and Rule 8-69. None mentions specific cost-effectiveness rules pursuant to low-income programs; however, low-income programs are generally not required to meet cost-effectiveness thresholds.

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

There is limited coordination between utilities and local community service organizations and state agencies administering weatherization programs.

Last reviewed: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

Ohio’s Restructuring Act, passed in July 1999, created the Universal Service Fund to control the cost of state’s Percentage of Income Payment Plan (PIPP) for low-income customers. Sec. 4928.55 of the legislation also directed the creation of the Electric Partnership Program (EPP) to target high-cost, high-volume PIPP or PIPP-eligible households. The EPP is designed to improve the electric efficiency of low-income households who participate in or are eligible for PIPP Plus. The program performs in-home audits and installs appropriate electric energy efficiency measures. About $15 million is set aside for the EPP each year. In addition to the EPP, most of Ohio’s gas utilities have weatherization programs, typically coordinated with the federal Weatherization Assistance Program.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

Ohio uses the total resource cost (TRC) test and the utility cost test (UCT). Ohio specifies the TRC as its primary test for decision making. The benefit-cost tests are required for portfolio and customer project-level screening and are stated in Case No. 09-512-GE-UNC.

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

The Ohio Development Services Agency (ODSA), Community Services Division, Office of Community Assistance (OCA) is responsible for administering LIHEAP, the Community Services Block Grant, the PIPP Plus Program, the State Energy Plan, and the EPP. In doing so, the HWAP network integrates federal weatherization funds with utility resources through a single coordinated funding model, managing programs for all seven major utilities.

Last updated: April 2017

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

Legislation (Senate Bill 1149) requiring electric industry restructuring for the state’s largest investor-owned utilities was signed into law in July 1999. This was updated in 2021 through HB 3141, which increased annual expenditure by the utilities of 3% of their revenues to fund “Public Purposes,” including energy efficiency, development of new renewable energy, and low-income weatherization. Per the legislation, 13% of the public purpose charge would be allocated to low-income weatherization through the Energy Conservation Helping Oregonians (ECHO) program. HB 3141(2021) increased 

Last reviewed: July 2022

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

The rules for benefit-cost tests are stated in Docket UM 551, Order 94-590, which lays out a number of situations where the PUC may make exceptions to the standard societal test calculation. Order 15-200, signed June 23, 2015, concerns Idaho Power Company’s request for cost-effective exceptions to its DSM programs. The commission adopted the recommendation of staff that cost-effectiveness requirements in Order 95-590 do not apply to low-income weatherization programs, such as the Weatherization Assistance for Qualified Customers Program (WAQC).

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

The Oregon Housing and Community Services Department (OHCS) is responsible for administering US DOE Weatherization Assistance Program funds. OHCS also administers other funds related to low-income weatherization, including LIHEAP, the Bonneville Power Administration (BPA) Low-Income Weatherization Program, the occasional Petroleum Violation Escrow Program (PVE) funds and SBC-funded Energy Conservation Helping Oregonians (ECHO) program, and any funds designated for low-income weatherization awarded to the state as a result of legal settlements.

Subgrantees also have access to funds from utility rebates and the State Home Oil Weatherization Program (SHOW). Utility rebates and SHOW funds are not administered by OHCS.

Last reviewed: July 2022

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

The Comprehensive Energy Conservation, Efficiency and Affordability Act of 2006 requires utilities to acquire all cost-effective energy efficiency and establishes requirements for strategic long-term planning and purchasing of least-cost supply and demand resources, as well as three-year energy saving targets. In Docket No. 4580, National Grid’s Energy Efficiency Program Plan for 2016, funding for residential income eligible programs is set at 13.2% of total implementation funding for the electric programs and 20% for natural gas customers. These levels were adjusted to 13% and 21%, respectively, for 2017 in Docket No. 4654.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

Docket No. 4443 outlines incremental electricity savings goals for 2015-2017 and notes that the Energy Efficiency Resource Management Council recommended including resource impacts and non-energy benefits in the TRC test analysis, but only to specific programs or technologies such as income-eligible programs or combined heat and power. Although Rhode Island General Laws require the consideration of non-energy benefits (NEBs) in the development of combined heat and power, there does not appear to be a similar provision in the General Laws for income-eligible programs. In the absence of non-energy impact evaluations of Rhode Island programs, the state has relied on Massachusetts’ benefit valuation work, as they have similar program types.

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

The Rhode Island Department of Human Services (DHS), Division of Community Services is responsible for administration of the state’s WAP and LIHEAP programs. CLEAResult, which since 2013 has operated as the lead vendor for National Grid’s Income Eligible Services (IES) program, works collaboratively with DHS to deliver weatherization services to eligible Rhode Islanders. Although DOE funds and utility funds are not directly blended on DOE weatherization jobs, the relationship is beneficial to both parties by enabling sharing of energy efficiency knowledge and program expertise.

As an example, CLEAResult and DHS have formed a Weatherization Technical Committee (WTC), which meets on alternating months and is comprised of a technical representative from each CAP agency (i.e. an experienced energy auditor), the CLEAResult QA Manager, and the three state monitors to discuss best practices and develop policy on weatherization matters of a technical nature. DHS and CLEAResult have also worked collaboratively on the development of a RI WAP/IES Operations Manual, which will incorporate all applicable elements of WPN 15-4.

Last updated: July 2018

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

No specific required spending or savings requirements were identified.

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

Level of coordination is unclear from publicly available data.

Last updated: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

As amended by SB 1434 in June 2011, Substantive Rule § 25.181 states “…each utility shall ensure that annual expenditures for the targeted low-income energy efficiency program are not less than 10% of the utility’s energy efficiency budget for the program year.”

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

In an Order adopted September 28, 2012, the commission directed that low-income programs would not be required to meet the cost-effectiveness standard in Substantive Rule § 25.181 but rather would only need to meet standards required by the Savings-to-Investment ratio (SIR) methodology. All measures with a SIR of 1.0 or greater qualifies for installation. The SIR is the ratio of the present value of a customer’s estimated lifetime electricity cost savings from energy efficiency measures to the present value of the installation costs, inclusive of any incidental repairs, of those energy efficiency measures.

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

Utility low-income programs are administered separately from WAP programs.

Last updated: July 2017

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

EVT
Efficiency Vermont has a minimum low income spending requirement (11% of their electric resource acquisition spending and 17% of total thermal budget), and minimum targets for Total Resource Benefits delivered for each of Vermont's counties. Those are outlined on page 58 of their Triennial plan.  Every three years, they publish a total energy burden report and assess their services/spending in highly-burdened communities. As noted in their DEI plan, they are working to pilot new services/programs for the rental/mf market, with a goal of supporting wider uptake of those expanded services by 2023.

BED
BED, along with other City Departments, including the Department of Racial Equity, Inclusion & Belonging, is positioning itself to track metrics related to how their programs impact marginalized members of their community.  With the recent adoption of the City’s new weatherization and energy efficiency in rental properties ordinance, BED (in conjunction with the Department of Planning and Inspections) will be tracking progress on work in rental properties, thereby impacting the well-being of Burlington’s BIPOC and low income residents, who disproportionately make up the majority of Burlington’s rental population.  About 60% of BED's residential customers are renters and about 85% of all renters pay their energy bills directly.  

VGS
VGS provides financial and technical assistance to the Champlain Valley Weatherization Services (CVWS) which exclusively serves the low-income population for weatherization projects. VGS also provides additional funding for low to moderate inclome residents who do not qualify for the CVWS program. VGS has metrics around minimum spending requirements in the low income sector, minimum spending requirements for residential spending and offers higher incentives for multi-family buildings where the tenants pay the utility bill. VGS offers a Low Income Assistance Program which provides a 20% discount on natural gas bills for qualified residential customers. Additionally, VGS is developing new metrics as part of our 2022 goals to increase participation and benefit distribution to marginalized communities.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

Vermont specifies the Social Cost Test to be its primary test for decision making. A 15% adjustment is applied to the cost-effectiveness screening tool for low-income customer programs.

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

The Vermont Office of Economic Opportunity (OEO) administers the Vermont Home Weatherization Assistance Program (HWAP), which includes both state and federal funds. OEO monitors and provides training and technical assistance to five non‐profit community Weatherization Assistance Programs. Efficiency Vermont supplements the state weatherization program with add-on measures beyond what would otherwise be included in the state- and federally-funded WAP. These measures include ENERGY STAR-qualified refrigerators, ENERGY STAR-qualified clothes washers, lighting, ventilation fans, and smart power strips. Efficiency Vermont continually assesses potential new measures to include in the scope of the add-on program and has updated its offerings to include heat pump water heaters, dehumidifiers, and mini-split heat pumps. Community Action Program agencies offer these measures as a part of the same program delivery as the state weatherization program, so customers must interact with only one program.

Last reviewed: November 2024

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

No specific required spending or savings requirements were identified. SB 5116 Sec 12(4), passed in 2019, requires utilities to submit a plan to reach 60% of the current energy assistance need by 2030, and 90% of the current energy assistance need by 2050. Energy assistance by statutory definition can include conservation.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

Washington specifies the total resource cost (TRC) test to be its primary test for decision making. The benefit-cost tests are required for overall portfolio and program-level screening. Per WAC 480-109-100, low-income weatherization is not included in the portfolio or sector-level cost effectiveness analysis. Companies may implement low-income programs that have a TRC ratio of 0.67 or above. The rules for benefit-cost tests are directed by the Energy Independence Act of 2006, codified in Chapter 194-37 WAC, which specifies that the TRC test include all non-energy impacts that a resource or measure may provide that can be quantified and monetized. Washington also applies an additional 10% benefit, consistent with the Northwest Power Act.

WAC 480-109-100(10)(a) allows utilities to fully fund low-income conservation measures that are determined to be cost-effective consistent with the procedures in the Weatherization Manual, as well as associated repairs, administrative costs, and health and safety improvements. However, in Docket UE-131723, signed March 12, 2015, the commission revised the rule language to allow, rather than require, utilities to pursue low-income conservation that is cost-effective consistent with the procedures of the Weatherization Manual. “In recognition that low-income conservation programs have significant non-energy benefits, we find it appropriate for utilities to maintain robust low-income conservation offerings despite the unique barriers these programs face.”

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

Washington State is investing $15 million from 2015 to 2017 to provide weatherization in all counties of the state through its Matchmaker program, which matches state dollars with utility and other programs’ investments in weatherization. This biennium $4.3 million is being reserved in Matchmaker for the new Weatherization Plus Health initiative, which combines energy- and cost-saving weatherization improvements in low-income homes with measures that reduce health risks and health costs for vulnerable families. It is targeted to improve the home environments for children and adults with asthma.

In addition, the state applies over $70,000 of DOE WAP funding toward cosponsoring the Energy Project with the Washington State Community Action Partnership (WSCAP). The Energy Project serves the entire Washington weatherization network and has served as a model leveraging project for other states. The Opportunity Council in Bellingham serves as the administrative agent under an agreement with the WSCAP. Over the 23 years of its operation, the Energy Project’s activities have resulted in approximately $188 million of additional funding for low-income households. The Energy Project works to advocate for energy program funding and program designs that help low-income households by providing technical assistance to local agencies, negotiating programs with local utilities in coordination with the affected agencies, educating decision makers, evaluating and reporting progress, and researching new approaches and best practices for providing service.

Last reviewed: July 2019

Requirements for State and Utility Support of Low-Income Energy Efficiency Programs

Focus has offered programs targeted at rural communities since 2017.  There has been a challenge in that some rural areas are served by one of the 13 non-participating cooperatives, therefore, Focus cannot offer incentives to these customers. Focus is currently working to identify underserved customers including those who qualify as energy burdened across Wisconsin in order to determine how to best target program offerings.  The Commission is expected to make decisions on KPIs in the summer of 2024.

Cost-Effectiveness Rules for Low-Income Energy Efficiency Programs

Coordination of Ratepayer-Funded Low-Income Programs with WAP Services

The Wisconsin Department of Administration (DOA), Division of Energy, Housing, and Community Resources (DEHCR) administers Home Energy Plus (HE+) through a network of county agencies, tribal governments, community-based organizations, and housing authorities. HE+ includes the Wisconsin Home Energy Assistance Program (WHEAP), Home Energy Plus Furnace Program, and the Weatherization Assistance Program (WAP). Wisconsin’s WAP is funded with a combination of state and federal funds, including US Department of Energy (DOE), Low Income Home Energy Assistance Program (LIHEAP or EAP), and state Public Benefits (PB) funding. HE+ and DOA work with Focus on Energy staff to coordinate delivery and support Focus' own services to low-income customers.  For example, the parties meet regularly to share information, and Focus sometimes takes leads on customers who are on a waiting list for HE+ services.

Wisconsin’s management of federal, state, and utility funding is unique in that Wisc. Stat. §16.957 directs agencies to aggregate all funding streams into a single public benefit fund to coordinate distribution of assistance.

Last reviewed: November 2024