The Energy Burden Crisis
30+ million U.S. households struggle with high energy costs.
37 million households experience energy burden (spending >6% of income on energy).
Low-income families spend up to 16% of income on utilities vs. 3% for higher-income.
In communities of color, energy burden can exceed 20% of household income.
Direct Household Savings
$800–$1,200 average annual savings per weatherized household.
For a household earning $30,000 annually: $1,800–$3,600 in annual savings.
500,000 homes by Year 5: $2.1 billion in cumulative savings.
2 million homes by Year 10: $9.6 billion in cumulative energy savings.
Savings Trajectory
Metric | Year 3 | Year 5 | Year 10 |
|---|---|---|---|
Homes Weatherized (Cumul.) | 150,000 | 500,000 | 2,000,000 |
Cumulative Energy Savings | $450M | $2.1B | $9.6B |
Avg. Annual Savings/Home | $800–$1,200 | $800–$1,200 | $800–$1,200 |
Investment Deployed | $1.5B | $5.0B | $20.0B |
Utility Arrearages & Disconnections
$11.4 billion in annual utility arrearages nationally.
1.2 million service disconnections annually.
$480 million projected annual arrearage reduction.
$87 million in collection cost savings.
Priority Investment Regions
Investment prioritization follows a data-driven equity index incorporating energy burden severity, housing stock age, median income, and existing utility program gaps. The map below highlights the four priority regions with the most acute need:
Regional Data Summary
Region | Energy Burden | Affected Homes | Median Income | Pre-1980 Housing | Priority Score |
|---|---|---|---|---|---|
Southeast Corridor AL, MS, GA, SC, NC | 16–22% | ~8.2M | $31,400 | 72% | 1574 |
Southern Plains & Delta AR, OK, LA, TX (East) | 14–20% | ~5.4M | $29,800 | 70% | 907 |
Midwest Industrial OH, MI, IL, IN | 12–18% | ~6.1M | $38,200 | 68% | 878 |
Mid-Atlantic Urban MD, PA, NJ, DC | 11–16% | ~4.8M | $42,100 | 65% | 634 |
Racial & Geographic Disparities
Black households experience 43% higher energy burdens.
Hispanic households face 20% higher energy burdens.
Data-driven equity index guides investment prioritization across all regions.
Return On Investment
2.78:1 benefit-cost ratio for weatherization programs.
Economic multiplier of $3.10 per dollar spent locally.
$40.3 billion in total economic output using RIMS II multipliers.