Biden administration to unveil plan to help Americans lower energy costs


The Biden administration will provide $13 billion to assist low and moderate-income American households in offsetting the costs of energy bills. The aid will include grants to pay electric bills and incentivize upgrading their homes to be more energy-efficient.
A senior administration official told reporters on a call that Vice President Kamala Harris will announce the plan on Wednesday while visiting a Boston training facility and union hall for sheet metal workers, per CNBC. The pending announcement aligns with the administration's goals to address climbing energy costs and temperature changes due to climate change.
The official reported that the funds would include $4.5 billion in Low Income Home Energy Assistance Program funds allocated by the Department of Health and Human Services. Those funds will include $100 million from President Biden's bipartisan infrastructure law and $1 billion in emergency funding, per CNBC.
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"We know that winter heating bills account for the largest share of low-income households' home energy needs. So it is imperative that the funds reach households as efficiently and effectively as possible," the official said.
The remaining funds, approximately $9 billion allocated per the Inflation Reduction Act, will be provided by the administration for qualifying households to make energy-efficient home upgrades to lower energy costs. This funding will help upwards of 1.6 million households. In a statement, the White House says the plan will "complement tax credits that families and building owners can use under the Inflation Reduction Act to install energy-saving equipment and to make building upgrades."
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Theara Coleman has worked as a staff writer at The Week since September 2022. She frequently writes about technology, education, literature and general news. She was previously a contributing writer and assistant editor at Honeysuckle Magazine, where she covered racial politics and cannabis industry news.
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