Hawaii
Energy Policy Forum > Summit > Background Materials
> Low-Income Issues
Summary:
Opportunities for Addressing Low Income Energy Issues
Energy Rates Working Group of the Hawaii Energy Policy Forum
The Energy Rates Working Group (ERWG) is comprised of federal,
state, and community agencies serving low and moderate income
residents. Focus was on the concerns of low and moderate income
households in meeting their energy needs today and in the
future.
The ERWG found that energy rates in Hawaii are considerably
higher than the national average. Energy cost is a heavy burden
for low-income households and especially so for welfare recipients.
Many are sacrificing other necessities in order to pay energy
bills so that any increase in energy costs would be intolerable.
Therefore, even though it would lower their energy bill in
the long run, they are generally not in a position to invest
in energy-saving devices. Particularly hard-hit are the Neighbor
Islands, where both poverty rates and energy rates are higher
than on O‘ahu.
There are a number of government and utility programs to
address low-income energy issues. The State of Hawai‘i,
along with most states, employs two approaches to help low-income
families with their energy needs: (1) weatherization, focusing
on improving buildings, and (2) bill payment assistance, which
provides direct payments for utility bills. Most of the financial
resources come from the federal government. The utilities
also have programs, such as low-interest loans and rebates
for solar water heaters, which can benefit lower-income households.
The ERWG found that the above programs are useful, but the
demand for assistance far surpasses the funds available. Research
revealed a large number of other government and utility programs
being implemented elsewhere. Therefore the ERWG recommends
that, apart from increasing existing programs, these other
possibilities should be considered for assisting low-income
energy consumers.
To see the full report go to the Hawaii Energy Policy Forum’s
website at:
<http://hawaiienergypolicy.hawaii.edu/erwg_rpt.pdf>
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