Streamlining electricity expenses by abolishing the intricacy tax on energy efficiency
In an effort to address America's escalating energy crisis, L. Michelle Moore, CEO of Groundswell and author of Rural Renaissance, proposes consolidating and expanding efficiency and housing repair programs across states. This move aims to cut energy waste, improve housing, and align enrollment requirements with the states to benefit millions of families struggling with high electricity bills.
Groundswell, a pioneer in community solar and energy storage, is making significant strides in this direction. The organisation is collaborating with municipal and rural utilities in eight states, working towards the development of community solar and energy storage projects that could save over $400 million in electricity bills for more than 17,000 families.
However, the road to energy affordability is not without challenges. Utilities have requested an additional $29 billion in rate increases this year, nearly doubling compared to the same period last year. Moreover, recently-adopted tax increases on renewable energy are projected to contribute to an additional 9-18% rate increase within the next five years.
The complexity tax, a surcharge applied to manage additional efforts or costs due to complexity, is another barrier to affordable energy. Eliminating duplication and aligning enrollment requirements with states and utilities would drive greater savings for everyone.
Achieving energy efficiency goals requires navigating multiple federal, state, utility, and local program requirements that vary by street address. However, Moore's vision is to make energy improvements happen at the local level, involving local leaders, municipalities, utilities, and the people they serve.
Groundswell's initiatives are already bearing fruit. The organisation has completed 100 home repairs with energy efficiency, reducing energy consumption and bills by more than 30%. Deploying local capacity with solar and energy storage can reduce peak loads and bills while improving resiliency. Many of the resulting projects would serve as resilience hubs, providing power during storms for nearby residents.
High electricity bills are linked to declining housing, and housing repair needs stand in the way of deploying energy efficiency. Moore, who has served as a board member and audit committee chair of the Tennessee Valley Authority, believes that mature technologies like solar with energy storage can be rapidly deployed at the local level to add distribution-level capacity, shave peak loads, increase resiliency, and reduce energy costs.
With Moore at the helm, Groundswell continues to lead the charge towards a more sustainable, affordable, and resilient energy future for all. Washington must correct course and end the complexity tax on energy to address America's self-inflicted energy crisis, paving the way for a brighter, more affordable future for millions of families.
