“Rising Electric Bills and the Impact on Low-Income Households: How to Stay Cool this Summer”
As temperatures continue to rise this summer, households in the U.S. are bracing for a significant increase in their electric bills. A new report from the National Energy Assistance Directors Association (NEADA) and the Center for Energy Poverty and Climate (CEPC) projects that households will see an average of a 7.9% increase in their electric bills from June through September. This comes on the heels of the record-hot summer of 2023.
According to the report, households could expect to pay an average of $719 for electricity during the summer months, compared to $661 in 2023 and $476 a decade ago. The rising costs are particularly concerning for low-income households, as they are more likely to live in heat island areas and have limited access to affordable cooling methods. Additionally, there have been $2 billion in cuts to funding from the federal Low Income Home Energy Assistance Program (LIHEAP) from 2023 to 2024.
Mark Wolfe, the lead author of the report and executive director of NEADA, emphasized the importance of developing programs that enable low-income families to stay safe and cool during extreme temperatures. He highlighted the inadequacy of current strategies, such as access to cooling centers, in addressing the challenges posed by record-breaking high temperatures and continuous heat waves.
NEADA and CEPC are calling on Congress to restore funding to LIHEAP before the summer of 2025 and recommending that states implement shut-off protections and invest in improving the energy efficiency of low-income households through retrofitting, solar panels, and heat pumps. These upgrades could be facilitated through the High Efficiency Electric Home Rebate Program (HEEHRA), part of the Inflation Reduction Act.
Wolfe stressed the importance of ensuring that families have access to affordable cooling, especially as extended heatwaves become more common. He noted that the inability to afford air conditioners can lead to illness and hospitalizations, underscoring the urgent need for support for vulnerable households.
As households in Washington, DC and across the country grapple with rising temperatures and electricity costs, the push for increased funding and support for low-income families is more critical than ever. Stay tuned for updates on this developing issue.