NEFI, Industry: Make Renewable Fuels Part of National Energy Strategy


NEFI and 18 allied trade associations penned a letter to Congress this week urging inclusion of renewable fuels as part of a national strategy to reduce emissions in the residential energy sector.

The National Energy & Fuels Institute issued a statement that reads, in part:

“Democrats are working on a filibuster-proof $3.5 trillion reconciliation bill that could include a myriad of energy, climate, and tax provisions. Among the proposals being considered are robust new tax incentives for the installation of energy efficient HVAC appliances that exclude oil-fired systems; and direct-to-consumer rebates of up to $10,000 or more for the installation of air source heat pumps. In short, federal policymakers are currently focused on an “electrify everything” agenda that may overlook our industry’s more cost-effective, lower carbon solutions.

“The coalition letter circulating Congress this week highlights the pitfalls of leaning solely on heat pumps to reduce emissions in the building sector. According to the letter, heat pumps are “unaffordable or impractical for many homeowners”, as a system conversion can cost $35,000 or more, potentially placing massive economic burdens on vulnerable communities and families on a fixed income.

“The letter also shines a bright light on the inefficiencies of heat pumps in colder climates and warns that overreliance on heat pumps can overwhelm the electric grid, increase reliance on fossil fuel generation, and even result in catastrophic power outages.”


To read the complete letter, click here.


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