Inflation Control Act home energy rebates could be coming soon
Ryan Gilane E Plus | Getty Images
rebate Leads to home energy efficiency The products created by the Inflation Control Act could start flowing to many consumers within months.
The federal government has issued $8.8 billion for: home energy rebates Programs are offered through states, territories, and tribes, and you must apply for funding.US Department of Energy approved The first application was made in New York on April 18, and the first $158 million was awarded.
Karen Zellmer, DOE's home energy rebate program manager, said the agency expects New York state to open the program to consumers by early summer. The state receives the fourth-highest total funding allocation. behind California, Texas, Florida.
Federal rebates (worth up to $14,000 or more per household, depending on state program design) are essentially discounts for homeowners and homeowners who make certain efficiency upgrades to their properties.
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This rebate is intended to partially or fully offset the cost of efficiency projects such as installing electric heat pumps, insulation, electrical panels, and Energy Star-rated equipment.
Its value and eligibility vary depending on factors such as household income, with more money going to low- and middle-income people.
The DOE also expects the program to save households $1 billion a year in energy costs due to efficiency gains, Zellmer said.
11 other states I also applied for Funding targets: Arizona, California, Colorado, Georgia, Hawaii, Indiana, Minnesota, New Hampshire, New Mexico, Oregon, and Washington. Zellmer said many other states are also well advanced in their application processes.
“We certainly hope to have all the programs up and running by this time next year, and hopefully much sooner than that in many states,” she said. .
Countries must notify the Department of Energy of their intent to participate by August 16, 2024. The application deadline is January 31, 2025.
These are important details about rebates
of inflation control law It allocated $369 billion in spending for policies to combat climate change, making it the largest climate bill in U.S. history.president biden signed the bill It will come into effect in August 2022.
The IRA has divided the total $8.8 billion in rebate funds into two programs: the Home Efficiency Rebate Program and the Home Appliance and Appliance Rebate Program.
New York State's application was approved for the latter program. So far, only four states have applied for both: Georgia, Oregon, Indiana, and New Mexico.
“My hope is that by this time next year, all 50 states will have rebate programs in place,” said Kara Saul, CEO and founder of Andile Policy Group, a consulting firm focused on climate and energy policy. Rinaldi said.
Although the primary goal of reducing home energy use and greenhouse gas emissions is the same, the two programs' approaches to home energy savings are different, Saul Rinaldi said.
Home Appliance and Appliance Rebate Program
Saul Rinaldi said the Home Appliances and Appliances Rebate Program pays consumers a maximum amount for the purchase of certain technologies and services.
Here are some examples from the Department of Energy.
- energy star Electric heat pump water heater — worth up to $1,750
- ENERGY STAR Electric Heat Pump Heating and Cooling – Up to $8,000
- ENERGY STAR Electric Heat Pump Clothes Dryer — up to $840
- ENERGY STAR Electric Stoves, Cooktops, Ranges, and Ovens — up to $840
- Electrical Load Service Center — up to $4,000
- Electrical wiring — up to $2,500
- Insulation, air sealing and ventilation — up to $1,600
The program pays consumers up to $14,000. It is only available to low- and moderate-income households, defined as less than 150% of the area median income. (These geographic income criteria are Outlined by the U.S. Department of Housing and Urban Development. )
Low-income residents, or people with incomes below 80% of the area median, are eligible to pay 100% of the project cost. Others are limited to half the project cost. (Both are subject to a $14,000 limit.)
Zellmer said renters can also take advantage of the program, as long as they contact their landlords about purchasing appliances.
Home Efficiency Rebate Program
In contrast, the Home Efficiency Rebates program is technology neutral, Saul Rinaldi said.
The value of the rebate is related to the overall amount of energy your home saves through efficiency upgrades. The deeper the energy cuts, the bigger the rebates, Saul Rinaldi said.
For example, the program is worth up to $8,000 to households that reduce their energy usage by at least 35%. Those who reduce their energy use by at least 20% will be worth up to $4,000.
This system is available to all households, regardless of income. As with other rebate programs, people with low incomes will be eligible to receive the most money.
With approval from the Department of Energy, states could choose to increase the maximum rebate for low-income residents to more than $8,000. In this way, the value of home efficiency rebates could technically exceed the value of home appliance and appliance rebates, Zellmer said.
How consumers can access rebates
But consumers cannot afford to fall into a double dip. For example, a consumer who receives a rebate on the purchase of an electric heat pump typically cannot apply the energy savings from that heat pump to the household-wide rebate calculation, experts said.
But experts say consumers may be able to combine the rebates with existing programs available through state and local governments. Consumers who wish to upgrade before these rebate programs go into effect may have access to other Inflation Control Act funds, including: Tax breaks related to housing efficiency.
Rebates are also intended to be passed at the point of sale. Zellmer said it can be provided by retailers through upfront discounts on the purchase price, or by contractors who provide consumers with a rebate amount from the project cost at the point of sale.
Experts say these details vary by state. States must develop and publish a list of approved contractors as part of their program design.
Summarize this content to 100 words Ryan Gilane E Plus | Getty Imagesrebate Leads to home energy efficiency The products created by the Inflation Control Act could start flowing to many consumers within months. The federal government has issued $8.8 billion for: home energy rebates Programs are offered through states, territories, and tribes, and you must apply for funding.US Department of Energy approved The first application was made in New York on April 18, and the first $158 million was awarded.Karen Zellmer, DOE's home energy rebate program manager, said the agency expects New York state to open the program to consumers by early summer. The state receives the fourth-highest total funding allocation. behind California, Texas, Florida. Federal rebates (worth up to $14,000 or more per household, depending on state program design) are essentially discounts for homeowners and homeowners who make certain efficiency upgrades to their properties.Personal Finance Details:Why FEMA spent $4 billion to help destroy homes at risk of flooding90% of qualifying EV buyers choose to receive $7,500 upfront tax creditWhat the SEC vote on climate change disclosures means for investorsThis rebate is intended to partially or fully offset the cost of efficiency projects such as installing electric heat pumps, insulation, electrical panels, and Energy Star-rated equipment.Its value and eligibility vary depending on factors such as household income, with more money going to low- and middle-income people.The DOE also expects the program to save households $1 billion a year in energy costs due to efficiency gains, Zellmer said.11 other states I also applied for Funding targets: Arizona, California, Colorado, Georgia, Hawaii, Indiana, Minnesota, New Hampshire, New Mexico, Oregon, and Washington. Zellmer said many other states are also well advanced in their application processes. “We certainly hope to have all the programs up and running by this time next year, and hopefully much sooner than that in many states,” she said. .Countries must notify the Department of Energy of their intent to participate by August 16, 2024. The application deadline is January 31, 2025.These are important details about rebatesof inflation control law It allocated $369 billion in spending for policies to combat climate change, making it the largest climate bill in U.S. history.president biden signed the bill It will come into effect in August 2022.The IRA has divided the total $8.8 billion in rebate funds into two programs: the Home Efficiency Rebate Program and the Home Appliance and Appliance Rebate Program.New York State's application was approved for the latter program. So far, only four states have applied for both: Georgia, Oregon, Indiana, and New Mexico.“My hope is that by this time next year, all 50 states will have rebate programs in place,” said Kara Saul, CEO and founder of Andile Policy Group, a consulting firm focused on climate and energy policy. Rinaldi said.Although the primary goal of reducing home energy use and greenhouse gas emissions is the same, the two programs' approaches to home energy savings are different, Saul Rinaldi said.Home Appliance and Appliance Rebate ProgramSaul Rinaldi said the Home Appliances and Appliances Rebate Program pays consumers a maximum amount for the purchase of certain technologies and services.Here are some examples from the Department of Energy.energy star Electric heat pump water heater — worth up to $1,750ENERGY STAR Electric Heat Pump Heating and Cooling – Up to $8,000ENERGY STAR Electric Heat Pump Clothes Dryer — up to $840ENERGY STAR Electric Stoves, Cooktops, Ranges, and Ovens — up to $840Electrical Load Service Center — up to $4,000Electrical wiring — up to $2,500Insulation, air sealing and ventilation — up to $1,600The program pays consumers up to $14,000. It is only available to low- and moderate-income households, defined as less than 150% of the area median income. (These geographic income criteria are Outlined by the U.S. Department of Housing and Urban Development. )Low-income residents, or people with incomes below 80% of the area median, are eligible to pay 100% of the project cost. Others are limited to half the project cost. (Both are subject to a $14,000 limit.)Zellmer said renters can also take advantage of the program, as long as they contact their landlords about purchasing appliances.Home Efficiency Rebate ProgramIn contrast, the Home Efficiency Rebates program is technology neutral, Saul Rinaldi said.The value of the rebate is related to the overall amount of energy your home saves through efficiency upgrades. The deeper the energy cuts, the bigger the rebates, Saul Rinaldi said.For example, the program is worth up to $8,000 to households that reduce their energy usage by at least 35%. Those who reduce their energy use by at least 20% will be worth up to $4,000.This system is available to all households, regardless of income. As with other rebate programs, people with low incomes will be eligible to receive the most money.With approval from the Department of Energy, states could choose to increase the maximum rebate for low-income residents to more than $8,000. In this way, the value of home efficiency rebates could technically exceed the value of home appliance and appliance rebates, Zellmer said.How consumers can access rebatesBut consumers cannot afford to fall into a double dip. For example, a consumer who receives a rebate on the purchase of an electric heat pump typically cannot apply the energy savings from that heat pump to the household-wide rebate calculation, experts said.But experts say consumers may be able to combine the rebates with existing programs available through state and local governments. Consumers who wish to upgrade before these rebate programs go into effect may have access to other Inflation Control Act funds, including: Tax breaks related to housing efficiency.Rebates are also intended to be passed at the point of sale. Zellmer said it can be provided by retailers through upfront discounts on the purchase price, or by contractors who provide consumers with a rebate amount from the project cost at the point of sale.Experts say these details vary by state. States must develop and publish a list of approved contractors as part of their program design.Don't miss exclusive information on CNBC PRO
https://www.cnbc.com/2024/04/22/inflation-reduction-act-energy-rebates-may-soon-be-available.html Inflation Control Act home energy rebates could be coming soon
