Deep retrofits would cut household energy use by 58% to 79%, depending on the age of the home, and there is an appetite for making retrofits in order to improve sustainability and energy efficiency. In a poll conducted by HomeServe on LinkedIn, 35% of those surveyed said they were considering replacing or upgrading their home’s insulation, matched by those who expressed a desire to install energy efficient windows, also at 35%, followed by those interested in upgrading to energy efficient heating, ventilation and air conditioning at 30%.
However, the average cost for these retrofits from to $42,600 to $56,750, according to ACEEE – an expensive proposition. In the HomeServe poll, only 15% said they expected to spend more than $20,000, while 25% said they’d spend $10,000 to $20,000, 27% would spend $5,000 to $10,000 and one-third said they planned to spend $5,000 or less on energy efficiency measures. There’s a clear gap between what respondents plan to invest and the investment needed to move the needle on sustainability and energy efficiency.
Additionally, energy prices are the highest they’ve been in more than 40 years, increasing by almost 16% for electricity and 33% for natural gas. Partly driving the cost was a muggy summer that resulted in a record use of residential power in the third quarter of 2022.
Those mounting costs could add to mounting utility debt – U.S. families have approximately $16 billion in utility debt, almost doubled from the end of 2019, with $792 the average amount owed. The National Energy Assistance Directors Association warns that, paired with the rising costs, continued high arrearages will continued to be accrued, despite the additional $4.5 billion added to LIHEAP as part of the American Rescue Plan Act.
In HomeServe’s poll, 53% of respondents said they were interested in making their homes more sustainable and energy efficient to save money on their energy bills, while another 25% said they wanted to help protect the environment and 23% wanted to increase their home value.
Rising energy costs and households struggling with being energy burdened may have influenced the energy efficiency measures poll respondents said they would like to incorporate into their homes – the majority, 60%, were considering rooftop solar panels, followed by a smart device to monitor their energy usage at 16%, a home electric vehicle charger at 13% and a home storage battery at 11%.
Home repair plan programs contribute to energy efficiency because a member with a plan is more conscious of their appliances and, with repairs/replacements covered, more likely to fix inefficient appliances than the average homeowner. Regular tune-ups, included in some plans also keep appliances running efficiently. HomeServe plans protect members against the expense and inconvenience of HVAC, gas and electric lines, water heater and other home emergencies by providing affordable coverage and quality local service from rigorously-vetted network contractors.
To learn more about how you can bring this affordable, energy efficiency program to your members, contact us.
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