Advocates: Commission should enforce common-sense reforms to EmPOWER program

Baltimore — Today a coalition of consumer, interfaith, health and climate advocates submitted public comments urging the Public Service Commission to strengthen the state’s energy efficiency program with measures to equitably upgrade homes with efficient electric equipment and protect ratepayers from unnecessary costs.

The Commission is set to consider updates to the EmPOWER Maryland program at a hearing on Tuesday, October 22 after the General Assembly passed the EmPOWER Maryland Energy Efficiency Act of 2024 in May 2024. This Act is designed to update the energy efficiency program to more effectively reduce air pollution, lower energy costs, and move the state closer to achieving its climate goals.

Since 2008, EmPOWER Maryland has created a projected lifetime savings of over $12.7 billion in energy costs from an investment of $3.5 billion in efficiency, yielding nearly $4 in savings for every dollar spent.

In order to ensure more residents can reap the benefits of these savings while reducing costs for consumers, the coalition recommended:

  • Establishing new, stackable state incentives for efficient electric heat pumps;

  • Ending subsidies for fossil fuel appliances and traditional HVAC;

  • Investing in low- and moderate-income households; and,

  • Requiring a cost review study of energy efficiency programs offered by utilities.

The advocates also called for the program to provide discounts and rebates for home energy audits, weatherization support, appliance tune ups, and new efficient appliances.

Below is a collection of statements from advocates:

“Energy efficiency is one of the smartest investments our state can make in our clean energy future. Thanks to policy changes made by the state legislature, the Public Service Commission has a chance to bring our successful energy efficiency program to new heights,” said Maryland Public Interest Research Group Senior Advisor Emily Scarr. “By prioritizing the most efficient electric equipment and ensuring the utilities are not being wasteful with ratepayer dollars the Commission can help lower monthly bills, provide clean indoor air, and make our communities more climate resilient.”

“As the PSC considers reforms to the EmPOWER program, it is imperative that the commission takes action to invest in energy-efficiency upgrades for low and moderate-income households,” said Ruth Ann Norton, President and CEO of the Green & Healthy Homes Initiative. “The benefits of healthy, safe, and climate-resilient homes should be made accessible to all Marylanders, especially those who have often been overlooked.”

“All Marylanders, especially low- and moderate- income families, should have the opportunity to make their homes more energy efficient without encountering roadblocks,” said Josh Tulkin, Director of the Maryland Sierra Club. “By strengthening EmPOWER, the Public Service Commission can accelerate the adoption of clean energy technologies which will help Marylanders protect their homes from toxic indoor air pollution and reduce carbon emissions in our environment.

“Maryland has some of the most ambitious climate goals of any state in the nation,” said Brittany Baker, Maryland Director of Chesapeake Climate Action Network. “Reforming the EmPOWER Maryland program is critical so that more households in the region can access clean energy technology is critical to ensuring that we reach these goals. The PSC has an opportunity to make sure new incentives for electric appliances, weatherization upgrades, and home energy audits reach low- and moderate-income households and it is crucial that the commission acts immediately.”

“As a group focused on ensuring economic justice for all, we know just how important it is to update the EmPOWER program,” said Marceline White, Executive Director of Economic Action Maryland. “The PSC can ease the financial burden that so many low-income Marylanders face by creating new state incentives that accelerate heat pump adoption and which can be coupled with federal tax rebates. It’s important that the PSC takes action as soon as possible.”

“It is urgent for the Public Service Commission to strengthen the EmPOWER program to help more Marylanders upgrade their homes with all-electric appliances,” said Tim Oberleiton, Senior Attorney, Earthjustice. “We know that gas appliances harm our climate and put our health and safety at risk. By implementing the legislature’s essential reforms to EmPOWER, the Commission can help more residents access safe, affordable, and efficient energy systems that don’t pollute our air or worsen climate change.”

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The coalition to support EmPOWER Maryland Energy Efficiency reform includes more than 40 consumer, environment, and faith groups working together to align Maryland’s energy efficiency program with state climate goals and protect ratepayers from unnecessary costs.

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