Energy burden is the percentage of household income spent on home energy bills. In this report, ACEEE, along with the Energy Efficiency for All coalition, measures the energy burden of households in 48 of the largest American cities. The report finds that low-income, African-American, Latino, low-income multifamily, and renter households all spend a greater proportion of their income on utilities than the average family. The report also identifies energy efficiency as an underutilized strategy that can help reduce high energy burdens by as much as 30%. Given this potential, the report goes on to describe policies and programs to ramp up energy efficiency investments in low-income and underserved communities.

The purpose of this study is to furnish comprehensive information on ratepayer-funded low-income energy programs. This study includes information on and analysis of the energy needs of low-income households, the legal and regulatory framework supporting ratepayer-funded programs, program design options, and the findings from evaluations of program effectiveness.

This case study highlights how EmPOWER Maryland’s low-income programs have helped to reduce or eliminate the up-front costs of efficiency upgrades, minimize administrative burden on participants, and provide coordinated services through a statewide network of trusted partners. Under the Multifamily Energy Efficiency and Housing Affordability EmPOWER Program, owners of affordable multifamily housing receive loans and grants with flexible terms for the purchase and installation of a variety of energy improvements, from lighting and appliances to insulation and HVAC systems.