DOE Offers $300 Million for State Rebates on Energy Star Appliances

July 15, 2009

DOE offered $300 million in American Recovery and Reinvestment Act funds on July 14 for state-run Energy Star rebate programs. The funds will support rebates for consumers who buy new Energy Star-qualified home appliances. The Recovery Act program aims to spur economic growth, create jobs, save energy, and reduce greenhouse gas emissions. The monies will flow to state and territorial energy offices according to a formula established by the Energy Policy Act of 2005, with the smallest territories eligible for $100,000 and California, the largest state, eligible for more than $35 million. States can use the rebates in combination with other energy efficiency programs offered in their areas to maximize the energy efficiency benefits for their residents.

States have the flexibility to select which residential Energy Star appliances to include in their programs and to determine the individual rebate amount for each appliance. However, DOE recommends that they focus on heating and cooling equipment, appliances, and water heaters, as these products offer the greatest energy savings potential. Specific targets include: central air conditioners, heat pumps, boilers, furnaces, room air conditioners, clothes washers, dishwashers, freezers, refrigerators, and water heaters.

The Energy Star program, a joint endeavor of the U.S. Environmental Protection Agency and DOE, covers over 60 product categories from 2,645 manufacturers, sold by more than 2,000 retail partners. To earn the rebate funds, states and territories must file an initial application by August 15, followed by a full application on October 15. DOE anticipates that a vast majority of funding will be awarded by November 30. See the DOE press release and the Energy Star Web site, and to see the full Funding Opportunity Announcement, search the public opportunities on FedConnect for reference number DE-FOA-0000119.