Last winter, cold snaps across the U.S., including in Tennessee, put thousands of people at risk. Now, as summer approaches, little will change. Because of rising home energy bills, many households are forced to choose between staying warm in the winter and cool in the summer—or paying for rent, food and life-saving medications.
Carbon credits, a market tool used to help companies reduce their climate impact, could help low-income Tennesseans afford proper home heating and cooling. This would occur by helping pay for energy efficiency upgrades that will significantly reduce household utility bills. (Read more on the definition of carbon credits below.)
The stakes are high. 13 million U.S. households face energy cost burdens (ECBs) so high that they forego essential heating and cooling. Low income households face some of the highest ECBs in the country, spending 8.1% of their income on energy costs, compared to 2.3% for non-low-income households…