LIHEAP IM 2023-04 Community Solar and LIHEAP Considerations

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LIHEAP IM 2023-04 Community Solar and LIHEAP Considerations
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New Low-Income Home Energy Assistance Program guidance is making solar power more accessible & affordable. POTUS is delivering on the Justice40 initiative ensuring federal investments benefit disadvantaged communities.

Community Solar and LIHEAP Considerationscan be used for solar energy use through new and existing electric payment mechanisms, such as community solar subscription fees

LIHEAP is a block grant and as such, grant recipients have wide latitude to tailor their program to serve low-income households in their service territory. However, there are some activities that are statutorily restricted under LIHEAP. Specifically, financing the costs of constructing solar facilities, which might include the purchase or improvement of land, construction or permanent improvement of a building or facility are not allowable expenses under LIHEAP.

Flat fees that are not in alignment with the reduction in the energy bill and cancellation fees to unsubscribe should be avoided. LIHEAP community solar customers should be allowed to cancel the subscription agreement without fee or penalty, within such period as the state allows.

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