Using Clean Energy Federal Funding to Make Housing Affordable

Deck: 

How States and Communities Can Help

Fortnightly Magazine - August 2024
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As federal clean energy funding under the Bipartisan Infrastructure Law and Inflation Reduction Act ramps up, state and local government recipients are working to ensure a sustainable future for all. During this process, it's paramount to keep energy equity at the forefront to ensure no one gets left behind.

People living in low-income and disadvantaged communities are often the most vulnerable to the harmful effects of climate change. These communities also bear a disproportionately high energy burden at 8.6 percent, which is three times higher than the percent estimated for non-low-income households.

The commitment to equity during the clean energy transition thus must be a cornerstone of every initiative, ensuring its benefits reach every community. It's a national priority reflected in President Biden's Justice40 Initiative, which seeks to deliver at least forty percent of federal Bipartisan Infrastructure Law and Inflation Reduction Act funding benefits to low-income and disadvantaged communities.

The Bipartisan Infrastructure Law and Inflation Reduction Act programs most critical to affordable housing and energy equity consist of two types; those with longstanding funding and market presence — such as the Weatherization Assistance Program and Low-Income Home Energy Assistance Program — and recently funded programs.

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