Since the IRA passed, I think more people have asked me about how to use it to upgrade their homes — and buy heat pumps, install solar panels, etc — than about any other policy.
— Robinson Meyer (@robinsonmeyer) August 16, 2023
Since there has been some discussion of these issues in the early morning threads recently, thought I’d give you all a link — “A practical guide to using the climate law to get cheaper solar panels, heat pumps, and more”:
… [U]nderstanding how much funding is available for what, and how to get it, can be pretty confusing. Many Americans are not even aware that these programs exist. A poll conducted by The Washington Post and the University of Maryland in late July found that about 66% of Americans say they have heard “little” or “nothing at all” about the law’s incentives for installing rooftop solar panels, and 77% have heard little or nothing about subsidies for heat pumps. This tracks similar polling that Heatmap conducted last winter, suggesting not much has changed since then.
Below is Heatmap’s guide to the IRA’s incentives for cutting your carbon footprint at home. If you haven’t heard much about how the IRA can help you decarbonize your life, this guide is for you. If you have heard about the available subsidies, but aren’t sure how much they are worth or where to begin, I’ll walk you through it. (And if you’re looking for information about the electric vehicle tax credit, my colleague at Heatmap Robinson Meyer has you covered with this buyer’s guide.)
What kinds of home improvements are covered by the Inflation Reduction Act?
There’s funding for almost every solution you can think of to make your home more energy efficient and reduce your fossil fuel use, whether you want to install solar panels, insulate your attic, replace your windows, or buy electric appliances. If you need new wiring or an electrical panel upgrade before you can get heat pumps or solar panels, there’s some money available for that, too.
How do the subsidies work, exactly?
The IRA created two types of incentives for home energy efficiency improvements: Unlimited tax credits that will lower the amount you owe when you file your taxes, and $8.8 billion in rebates that function as up-front discounts or post-installation refunds on equipment and services.
The tax credits are available now, but the rebates are not. The latter will be administered by states, which must apply for funding and create programs before the money can go out. The Biden administration began accepting applications at the end of July and expects states to begin rolling out their programs later this year or early next…
*Tons* more information at the link. Even if you’re not in the market at this very moment, remember: Sharing is caring!… and sometimes even the ‘most unlikely targets’ can be helped:
— Science Is Strategic (@scienceisstrat1) August 17, 2023