Federal Reserve Bank of San Francisco

Community Development

Utilities and Community Developers Partner to Improve the Energy Efficiency of Affordable Rental Housing Nationwide

Author(s):

March 2014

Community Development Investment Review

Improving the energy efficiency in homes is an important strategy for reducing poverty’s impact on low-income families. Low-income individuals and families spend a disproportionate share of their income on utility bills, and energy costs are one of the highest operating expenses in residential housing. Correspondingly, the benefits of efficiency investments in low-income housing include higher net discretionary income for poor households, a more stable affordable housing stock, and healthier living environments. These outcomes directly affect the quality of life of disadvantaged families as well as the physical and economic resilience of low-income communities.

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