Costs of Residential Energy Efficiency Investments are Twice their Benefits: Implications for Policy

A research summary published by the Energy Policy Institute at the University of Chicago (EPIC) focusing on the Federal Weatherization Assistance Program (WAP).  The research summary provides findings and recommendations from a study which was designed to evaluate the validity of projected energy efficiency gains from a sample of more than 30,000 WAP-eligible households in the state of Michigan.

“In sum, this research finds that the efficiency measures studied are saving significantly less energy than expected and, therefore, that the return on investment is far lower than projected. It appears likely that the majority of the gap between modeled and observed efficiency can be attributed to a systematic overestimation of efficiency gains by the engineering models and audit tools.”

Evaluation by:

Meredith Fowlie (UC-Berkeley), Michael Greenstone (UChicago) and Catherine Wolfram (UC-Berkeley)

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