State rebates, federal tax credits target residential energy efficiency
by Ray Mueller Review Correspondent
With the memories of the sometimes-record home-heating bills from the past winter still fresh in their minds, and with some of those bills yet to be paid, many owners of homes and rental properties might now be interested in testing programs which identify why the energy use was so high and in learning about financial incentives designed to reduce the energy consumption.
One of many energy-use consultants addressing that point is Scott Wigger of Discovery Energy Consultants LLC at Sobieski. He notes that Wisconsin’s Focus on Energy program provides incentives to both homeowners and homebuilders while federal tax credits are available to homeowners.
Titled Energy Star, Wisconsin’s program for homeowners starts with an energy efficiency test by a qualified consultant, Wigger points out. His firm’s testing procedure, which includes the simulating of a 20- mile-per-hour wind on all sides of a building, infrared imagery, and a check of combustion safety, typically takes more than 3 hours and will cost about $300 to $350.
To be eligible for the Focus on Energy rebates, the owner of an occupied or rental property must be obtaining heating fuel from a participating public utility. Properties heated with liquified petroleum gas or other heat sources are not eligible.
Although windows are often cited as the culprit for letting cold air into residential properties, Wigger says the problem is most often due instead to not sealing the movement of air around window sills and baseboards. A related part of the problem, he adds, is the natural phenomenon of how warm air rises and thereby sucks cold air from the bottom to create a stacking effect of cold air being pulled into a building.
Part of the energy efficiency study is a rating of what corrective measures would provide the most benefits, Wigger explains. He recommends completing the top three items on such a list.
Among the frequent candidates are insulation of the attic, sidewall cavities, entire sidewall, interior and exterior walls, floors, or sill boxes, the installation of exhaust fans to control humidity, air sealing, or a change in the type of water heater or heating fuel source. Cash back rewards of $50 to $250 for most items are available from Focus on Energy after the work is completed and the paperwork is submitted.
The overall purpose of the Energy Star program is to provide owners and renters with comfortable, durable, and safe homes, Wigger indicates. With thermal security and integrity, he promises that the payback on the investment in insulation or equipment could be in as little as two years.
Although heating tends to account for two-thirds of a residential unit’s energy costs, Wigger asks owners and renters to also be aware of the “phantom load” on use of electric power. This is the draw on power that continues when computers, television sets, and calculators are turned off and the plug is left in the electric socket. Either put such equipment on a timer or pull the plug during non-use, Wigger advises.
For home builders, Wisconsin’s Energy Star program provides per home rewards of $50 to $250 for energy efficient construction practices, materials, and equipment. Among the items which qualify are the type of windows, insulation, heating and cooling system, water heater, furnace, drain water heat recovery, plumbing, solar units, moisture control, and lighting.
Homeowners are also eligible for tax credits, most of which are for 30 percent of the cost or a maximum of $1,500 per line item. They apply to storm windows, storm and exterior doors, exterior windows and skylights, metal and asphalt roofs, insulation, air conditioning, air source heat pumps, furnaces, water heaters, fans, and bio-mass stoves.
Geo-thermal heat pumps, solar energy systems, and small wind energy units qualify for a tax credit for 30 percent of the project cost. Fuel cells can also obtain a tax credit of 30 percent or up to $500 per .5 kilowatt of power capacity. Purchasers of plug-in hybrid electric vehicles can earn tax credits of $2,500 to $7,500 while hybrid vehicles with other fuel sources qualify for a tax credit based on their weight, technology, and fuel economy.
A separate Wisconsin program targeted to lower income households could cover up to 90 percent of the cost of weatherizing a dwelling. Based on documented annual or quarterly income and household size, this program offers a no-cost home energy evaluation and combustion safety test and emphasizes education on the use and misuse of energy, Wigger points out.
Depending on the findings of the evaluation, corrective measures could include insulation, heating and cooling system updates, sealing of air leaks, and the installation of products that save on light, electric power, and water use.
For this and the other Focus on Energy programs, call (800) 762-7077 or check the www.focuson energy.com Web site. Other information sources are the www. energystar.gov and www.dsire usa.org Web sites and the Internal Revenue Service forms 5695, 8910, and 3800 (the latter two are for vehicles).
Wigger can be contacted by phone at (920) 822-6772 or (920) 562-0412 or by e-mail at srwigger@ peoplepc.com. His company’s Web site is http://www.discoveryenergy. net. Its mailing address is 6722 S. Chase Road, Pulaski, WI 54171.