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Final Report

Iowa. Low-Income Home Energy Assistance Program (LIHEAP) and Weatherization Program Interim Study Committee

Published: 2007

Total Pages: 16


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In 1990, the US Department of Energy (DOE) sponsored a comprehensive evaluation of its Weatherization Assistance Program, the nation's largest residential energy conservation program. Oak Ridge National Laboratory (ORNL) managed the five-part study. This document summarizes the findings of the evaluation. Its conclusions are based mainly on data from the 1989 program year. The evaluation concludes that the Program meets the objectives of its enabling legislation and fulfills its mission statement. Specifically, it saves energy, lowers fuel bills, and improves the health and safety of dwellings occupied by low-income people. In addition, the Program achieves its mission in a cost-effective manner based on each of three perspectives employed by the evaluators. Finally, the evaluation estimates that the investments made in 1989 will, over a 20-year lifetime, save the equivalent of 12 million barrels of oil, roughly the amount of oil added to the Strategic Petroleum Reserve in each of the past several years. The Program's mission is to reduce the heating and cooling costs for low-income families--particularly the elderly, persons with disabilities, and children by improving the energy efficiency of their homes and ensuring their health and safety. Substantial progress has been made, but the job is far from over. The Department of Health and Human Services (HHS) reports that the average low-income family spends 12 percent of its income on residential energy, compared to only 3% for the average-income family. Homes where low-income families live also have a greater need for energy efficiency improvements, but less money to pay for them.
The DOE Weatherization Assistance Program enables low-income families to permanently reduce their energy bills by making their households more energy efficient. The DOE program guidelines specify that a variety of energy efficiency measures are eligible for support under the program. The measures include insulation, space-heating equipment, energy-efficient windows, water heaters, and efficient air conditioners. This book explores the Department of Energy's (DOE's) Weatherization Assistance Program, with a focus on its background, brief history of funding, program evolution, program activity, and program assessments and benefit-cost evaluations.
The program of Weatherization Assistance for Low-Income Persons was established by Title IV, Part A, 42 U.S.C. 6861et. seq. of the Energy Conservation and Production Act (ECPA),as amended, enacted August 14, 1976, (Public Law 94-385).The program was established by Congress in recognition of the fact that low-income dwellings are frequently inadequately insulated; that low-income persons, particularly elderly and handicapped low-income persons, can least afford to make the modifications necessary to provide for adequate insulation; and that weatherization of such dwellings would lower utility expenses for low-income persons as well as conserve needed energy. ECPA therefore directed the Federal Energy Administration (FEA), and its successor, the Department of Energy (DOE), to provide Federal financial assistance to carry out a national weatherization program to assist low income persons, especially the elderly and the handicapped low-income. To implement this program, the Act authorized$55 million for FY 77, $65 million for FY 78, and $80 million for FY 79 to make grants to the States and, in certain instances, to community action agencies, units of general purpose local government and Native American tribal organizations.