Biden Admin Is One Step Closer To Paying You With Your Own Money To Cover Costs They Are Creating

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Nick Pope Contributor
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The Department of Energy (DOE) is one step closer to unleashing billions of taxpayer dollars as consumer rebates to cover some of the costs of the Biden administration’s electrification push.

The DOE set guidelines Thursday for states to apply for $4.28 billion in the High-Efficiency Electric Home Rebate Program established by Inflation Reduction Act (IRA), which the states can make available to consumers saddled with the costs of the Biden administration’s energy transition push, according to E&E News. The subsidies will help consumers to cover costs of purchasing comparatively more expensive electric appliances, such as certain electric stoves and certain types of heat pumps, which the administration has promoted via regulatory action.

Including the $4.28 billion program, the DOE has made $8.5 billion available for states to apply for and distribute to applicants for household electrification and new appliances, according to E&E News.

“The program incentivizes energy efficient technology, like Energy Star appliances, so Americans can save up to $1 billion annually on energy costs,” a DOE spokesperson told the Daily Caller news Foundation. “The programs do not impose any regulations or restrictions on what homeowners can or cannot buy or install in any home,” the spokesperson continued, adding that “the program is voluntary – homeowners can choose whether to participate and whether they’d like to purchase any technology that qualifies for these rebates.”

The Biden administration often highlights that more efficient appliances counter climate change and save consumers money in the long-run. While energy efficient appliances may use less energy, they also incur higher costs up front than less efficient appliances, according to the American Energy Alliance.  Furthermore, the use of taxpayer dollars to subsidize such appliances suggests that they would not otherwise succeed in the free market.

The DOE’s High-Efficiency Electric Home Rebate Program will allow Americans below certain income thresholds to access taxpayer funds to purchase certain electrified appliances and soften the blow of utility bills, according to the DOE’s website. The Biden administration considers the funds a “key crutch” for Americans as its regulatory actions and macroeconomic conditions increase costs for consumers, according to E&E News.

The program will eventually allow consumers to access $1,750 for heat-pump water heaters, $8,000 for heat pumps that generate desired ambient home temperatures and $840 for an electric stove, amongst other purchases, according to E&E News.

The Biden administration and the DOE have introduced a host of new regulatory proposals targeting appliances like water heaters, gas stoves and heat pumps, and each proposed regulation may raise up-front costs of the appliances. (RELATED: San Francisco Bay Area’s War On Gas Appliances Could Lead To More Blackouts, Experts Say)

The DOE believes the rebates may generate up to 50,000 jobs and save consumers up to $1 billion on utility bills, according to its website. The rebates are part of the Biden administration’s massive green agenda, which aims to reach net zero carbon emissions in the power sector by 2035 and in the overall American economy by 2050.

“This is a big, big deal,” said David Turk, DOE deputy secretary, according to E&E News. “We expect these rebates will start to be available to consumers in some states as early as the end of this year and continuing on a rolling basis in 2024.”

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