Bolstered by the Bipartisan Infrastructure Act, Actions to connect more states and families to affordable and reliable solar projects and create clean energy jobs
President Biden is laser-focused on lowering energy costs for working families while creating good-paying jobs and tackling the climate crisis. As extreme heat continues to affect tens of millions of Americans, hitting low-income families hardest, President Biden is implementing new programs to help maintain a stable and affordable supply of energy to cool homes Theirs.
Today, the Biden-Harris administration is announcing six new actions to lower home electricity costs for hard-hit American families by increasing access to affordable and more reliable clean energy and create clean energy jobs:
REDUCING THE COST OF ELECTRICITY
- Connecting households to low-cost solar energy: The Department of Housing and Urban Development (HUD) is issuing new guidelines that — for the first time — will help families in HUD-assisted rental housing subscribe to local community solar where possible. With this guidance, HUD sets the stage for 4.5 million households to reap the benefits of community solar, which, on average, can save households 10% annually on their electric bills. In some programs, such as the Washington, DC Solar for All program, savings for families from subscribing to local community solar can be as much as 50% per year.
This national guidance is based on recent state-specific guidance that HUD issued to Illinois, Washington, DC, and New York that designated community net measurement (CNM) credits would be excluded from family income and assistance calculations of municipal services and therefore will not increase housing. costs for residents in properties participating in the HUD Multifamily, Public Housing and Housing Choice Coupon rental assistance programs.
- Connecting states to low-cost solar energy: The Department of Energy (DOE) and the Department of Health and Human Services (HHS) are announcing that Colorado, Illinois, New Jersey, New Mexico, New York and Washington, DC have signed on to pilot the Community Solar Subscription Platform, which is designed to connect community solar bill savings projects with households participating in the Low Income Home Energy Assistance Program (LIHEAP). DOE estimates that households in the pilot states and Washington, DC will see over $1 billion a year in combined savings on electric bills.
- Empowering rural housing authorities to save families money: Based on guidance from last year, HUD will launch a new initiative to help small rural housing authorities make energy efficiency improvements that save money and retain savings from those projects to reinvest in housing improvements with rural HUD-supported rentals.
CLEAN ENERGY JOB CREATION
- DOE is announcing the Sunny Awards for Equitable Community Solar, a new awards program to recognize communities that are implementing best-in-class community solar programs and projects that lower costs and increase access for families.
- Bringing new federal resources to communities: HUD announced that HUD regional offices will convene stakeholders in their regions over the next 90 days to highlight federal funding sources – including funding streams from the Bipartisan Infrastructure Act and HUD programs such as the HOME Investment Partnerships program and the Community Development Block Grant – which can be used to support public facilities and increase the supply of affordable housing that improves energy efficiency.
These announcements are bolstered by funding from President Biden’s Bipartisan Infrastructure Act, which will create good-paying jobs in one of the fastest-growing sectors of our economy – clean energy. And they build on Bipartisan Infrastructure Act programs focused on lowering utility costs and reducing energy use, like LIHEAP and the Energy Assistance Program.
Low-income households spend a disproportionate amount of their income on energy costs – according to the Department of Energy’s (DOE) Low-Income Energy Affordability Data Tool (LEAD), low-income households spend almost 9% of their income on energy. That adds up to tens of millions of Americans who are forced to make tough decisions between keeping the lights on or staying cool, and other essential purchases like food and medicine.
Today’s announcements further the President’s Justice Initiative40, which commits to deliver at least 40 percent of the benefits of federal climate and clean energy investments to disadvantaged communities that are marginalized, underserved, or overburdened by pollution.