Energy Equity for Renters
Rental homes are typically less energy efficient than owner-occupied homes, and renters usually can’t make significant energy efficiency improvements – such as installing high-efficiency appliances, new windows, or improved insulation – because they don’t own the property. This means renters often use more energy for heating and cooling, leading to higher energy bills and an increased likelihood of being energy burdened (paying more than 6 percent of household income on energy).
Energy efficiency doesn’t just mean energy savings. In the Oregon Department of Energy’s 2022 Biennial Energy Report, we dive into the many other co-benefits of energy efficiency, including supporting energy jobs, contributing to decarbonization and a cleaner energy future, and strengthening reliability and resilience of the energy system, among many others.
As communities renew focus on improving energy efficiency, it’s important to ensure we don’t leave renters behind.
The American Council for an Energy Efficient Economy, a nonprofit coalition of public agencies working together to advance clean energy, has an Energy Equity for Renters initiative to encourage local governments to support efforts to improve rental homes. ACEEE selected five local governments in 2022, including the City of Portland, to provide no-cost technical assistance to develop policies and program to improve energy efficiency in rental homes while preserving affordability.
In 2021, ACEEE also published an online guide for local governments that outlines actions that can reduce energy, including analyzing data to better understand renters’ housing and energy affordability needs; engaging with the community to determine needs, particularly among historically underserved groups; developing policies that take other issues into consideration, like overall goals, resources, and community relationships; and developing partnerships to effectively implement potential energy efficiency and housing initiatives.
Resources for renters
ODOE’s Oregon Rental Home Heat Pump Program, coming Summer 2023, will provide rebates for energy efficient heat pumps installed in rental homes and in manufactured homes or recreational vehicles in a rented space. Rental property owners can reach out to approved contractors, who will pass the full savings of the rebate on to the owner for the heat pump installation. Rebate amounts vary based on the project. For rental homes, rebates are available between $2,000 and $5,000, depending on the efficiency of the heat pump and the income level of the tenants. For a manufactured home or recreational vehicle renting space in a manufactured home or RV park, rebates are available between $2,000 and $7,000 depending on heat pump efficiency and income level. Rebates will also be available for associated upgrades alongside the heat pumps, such as electrical wiring. For homes where tenants meet low- or moderate-income eligibility, up to a $4,000 rebate is available. For those who are not low- or moderate-income, up to $2,000 is available. Sign up to receive email updates as we roll out this program.
Our Solar + Storage Rebate Program provides rebates for low-income service providers, such as affordable housing organizations, to install solar or solar with paired battery storage. Affordable housing tenants can benefit from using renewable energy in addition to the potential resilience benefits of solar plus storage in the event of a power outage. Low-income service providers can receive a rebate of up to $30,000 for solar and up to $15,000 for paired battery storage. The rebate program just allocated the last of its dollars to reserved projects, but the Oregon Legislature may provide additional funding for the program to continue in the next biennium. Keep an eye on ODOE’s website and sign up to receive email updates about the program.
Oregon’s Home Energy Score Program began with a focus on single-family homes, but some cities are considering creating programs for rental homes as well. A home energy score helps homeowners, homebuyers, and renters better understand a home’s energy use, and how even small improvements can make a big different in energy savings. A certified assessor reviews a home and produces a score and report outlining potential recommendations for improving energy efficiency. The report will show lower-cost repairs you can implement first, along with the resulting energy savings you can expect. It will also list bigger projects to tackle later, such as replacing windows or a water heater.
Renters looking to make a switch to an electric vehicle can learn more about potential incentives, charging in public, and other information on the Go Electric Oregon website.
Oregon Housing & Community Services offers weatherization programs that could benefit renters. Learn more on OHCS’s website.