Biden-Harris Administration Announces Wisconsin Launch of Federal Home Energy Rebates Program Helping Lower Families’ Utility Bills

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Supported by the Investing in America Agenda, Nearly Half of States Have Submitted Applications to Start Delivering Home Energy Savings and Increasing Local Workforce Opportunities

As part of President Biden’s Investing in America agenda, the U.S. Department of Energy (DOE) announced [on Friday] that Wisconsin has launched its first Home Energy Rebates program, supported by the Inflation Reduction Act. Even more, Wisconsin is the first state in the nation to launch the Home Efficiency (HOMES) portion of the rebate program — enabling households at all income levels, with an emphasis on lower-income households, to save on energy efficiency improvements such as insulation, air sealing, and heat pumps that reduce whole-home energy consumption.

Wisconsin’s launch is part of the Biden-Harris Administration’s nationwide initiative to provide $8.8 billion in Federal funding for states, territories, and Tribes to lower energy costs and increase efficiency in American homes by making it cheaper to install cost-saving measures such as heat pumps, electrical panels, and insulation. These energy-saving measures will save American households up to $1 billion annually in energy costs and support an estimated 50,000 U.S. jobs in residential construction, manufacturing, and other sectors. These investments also advance the President’s Justice40 Initiative, which sets a goal that 40% of the overall benefits of certain federal climate, clean energy, affordable and sustainable housing, and other investments flow to disadvantaged communities that are marginalized by underinvestment and overburdened by pollution.

“The Biden-Harris administration is helping families save energy and save money, and we’re not slowing down,” said U.S. Secretary of Energy Jennifer M. Granholm. “Wisconsin is leading the pack of states building up their local workforce and keeping money in the pockets of their residents, all thanks to the Investing in America agenda.”

“Home energy rebates for clean and energy-efficient appliances and upgrades are good for the planet because they help cut pollution. But more importantly, they are good for Wisconsin families because they will save money by lowering energy bills,” said John Podesta, Senior Advisor to the President for International Climate Policy. “Congratulations to Wisconsin for being the second state in the nation to make these game-changing Inflation Reduction Act incentives available to their residents.”

“President Biden and Vice President Harris’s leadership is helping turbocharge efforts across the country to expand access to cost-saving clean energy upgrades and cut the pollution that hurts our environment and public health,” said White House National Climate Advisor Ali Zaidi. “Home energy rebates will help both reduce emissions and lower energy costs for Wisconsin families using tried-and-true insulation, heat pumps, and efficient appliances and lighting. As climate-fueled extreme heat also continues to impact communities, better insulation and heat pumps will keep families safer and more comfortable. This $149 million infusion will help Governor Evers’ HOMES and HEAR program reach tens of thousands more folks. It strengthens the partnership between the Biden-Harris and Evers administrations to deliver more utility bill savings for more Wisconsin families. This Biden-Harris investment will make a difference at the kitchen-table level from Green Bay to Eau Claire, Madison to Milwaukee — literally all across the state — and that’s why it’s a big deal.”

“The HOMES and forthcoming HEAR programs will go a long way in lowering costs for important energy efficiency and clean energy upgrades for households across the nation and here in Wisconsin,” said Wisconsin Governor Tony Evers. “Together, these programs will save folks and families up to $1 billion every year in energy costs and support roughly 50,000 jobs. This is proof that we don’t have to choose between protecting the environment and economic development and creating jobs—we can and are doing both.

“Throughout this entire process, we have been glad for the tremendous partnership between PSC and Focus on Energy, as well as the leadership of President Biden and the entire Biden-Harris Administration to support these and other important clean energy efforts,” Gov. Evers continued. “Building a brighter, stronger, clean energy future starts right at home, and I look forward to seeing how these programs will work to help lighten burdensome costs for folks and families across the state.”

“I am proud to join Governor Evers and Secretary Granholm to celebrate the launch of the Home Efficiency Rebate Program in Wisconsin,” said Public Service Commission of Wisconsin Chairperson Summer Strand. “After robust public engagement and planning phases, we thoughtfully designed Wisconsin’s Home Energy Rebate programs to ensure broad access without barriers and easy and effective participation through streamlined processes. The Home Energy Rebate programs are a win, win, win for Wisconsin , and we are excited to begin deployment to help households save energy, save money, and support our workforce!”

Many Americans spend a large portion of their monthly income to heat, cool and power their homes — with some of the lowest-income families spending upwards of 30% of their income on energy bills. Overall, by participating in the Home Energy Rebate programs, individual households could save up to $14,000 for energy-efficient home upgrades and hundreds more on monthly energy bills. To advance the objective of these programs, DOE is requiring states and territories to allocate at least half of the rebates to low-income households, defined as those earning 80% or less of their area median income, which is expected to benefit many households in disadvantaged communities. States and territories must also submit Community Benefits Plans to ensure good jobs and other economic opportunities are available. To help keep consumers informed and equipped with resources, DOE recently released a Consumer Bill of Rights framework and is encouraging state, territorial and Tribal rebates programs to adopt it.

Wisconsin’s Home Energy Rebate Programs

Wisconsin is launching the HOMES program — one of two programs making up the Federal Home Energy Rebate programs — by leveraging the program infrastructure already in place for the state’s existing Focus on Energy program.

Residents will first complete a home energy assessment provided by a licensed energy auditor to determine the home’s upgrade needs and establish the estimated energy savings each upgrade would provide. Low-income households are eligible for a rebate to help cover the cost of the home energy assessment. Rebate amounts are based on household income and the amount of estimated energy savings.

For single-family homes, rebates will range up to:

$10,000 for those making less than 80% of their area median income (AMI).
$4,000 for those making between 80% to 150% AMI.
$3,000 for those making at or above 150% AMI.

Multifamily properties are also eligible. Rental units with low-income tenants are eligible for up to $10,000 in rebates, depending on estimated energy reductions.

The Inflation Reduction Act provided Wisconsin with nearly $150 million for its Home Energy Rebate programs. Wisconsin expects to launch its Home Electrification and Appliance Rebates (HEAR) program later this year. Through the HEAR program, Wisconsinites can receive up to $14,000 off high-efficiency electric appliances and other energy-efficient home upgrades.

For more information on Wisconsin’s program, visit Focus on Energy’s Home Energy Rebates website.