Bill Memo: Switching Off Delivered Fuels

1-Tree: Beneficial rating

Summary

This bill directs NYSERDA to establish a program to provide grants, loans or other services for the costs related to enabling fuel-switching for residences with propane or fuel-oil heating systems to efficient electric heat pumps.

Explanation

The transition from delivered fuels like oil and propane to heat pump systems in New York faces several key challenges. The high installation costs of heat pumps, including equipment, installation, and necessary upgrades to existing HVAC systems, pose a significant financial barrier for many households that do not currently have access to NYSERDA programs.

Despite these challenges, the transition from delivered fuels to heat pumps offers substantial opportunities. In areas where gas infrastructure is less developed, such as many rural regions and parts of Long Island, residents heating with delivered fuel oil or propane can benefit significantly from switching to energy-efficient heat pumps.

Heat pumps offer considerable energy bill savings compared to oil and propane, providing a strong financial incentive for adoption. Furthermore, homes and buildings in upstate New York often have ample outdoor space, which is beneficial for installing air source heat pump outdoor units or geothermal systems. The region also benefits from having some of the cleanest electricity in the country, enhancing the environmental benefits of switching to electric heat pumps.

This legislation directs NYSERDA to establish a program that affords the 1.8 million New York households that rely on delivered fuels the opportunity to switch to more efficient and climate friendly heating and cooling systems. By addressing the challenges presented by upfront costs and other expenses associated with fuel switching, New York can successfully transition from delivered fuels like oil and propane to energy-efficient heat pump systems. This transition will contribute to the successful implementation of the Climate Leadership and Community Protection Act, reduce energy costs, and spur economic growth.

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Environmental Advocates NY Bill Rating: Beneficial

Memo #: 58