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Solar & Energy Efficiency

DOE Awards $30M Energy Efficiency Boost to 28 Communities Nationwide

GFH Editorial Team
October 12, 2023

A Major Investment in Community-Level Clean Energy

The U.S. Department of Energy has announced $30 million in clean energy funding distributed to 28 state, local, and Tribal governments, marking the first wave of awards from the Energy Efficiency and Conservation Block Grant (EECBG) Program. Administered by DOE's Office of State and Community Energy Programs, this initiative is a cornerstone of President Biden's Investing in America agenda, channeling federal dollars directly into neighborhoods to reduce energy bills, cut emissions, and modernize aging infrastructure.

Of the $30 million announced, $21.87 million flows to eight states and eight local governments as formula grants, while an additional $8.8 million goes to 12 recipients through a competitive award process. The EECBG Program as a whole will ultimately make more than $430 million available nationwide, meaning this announcement is only the leading edge of a much larger federal commitment to community-scale energy efficiency.

Who Benefits and How

Grantees will deploy the funds toward a wide range of energy efficiency upgrades touching buildings and spaces that Americans use every day. Recipients plan to retrofit schools, hospitals, multi-family and single-family homes, libraries, streets, and even ballparks. The upgrades include installing heat pumps, replacing older lighting with LEDs, adding solar energy systems, and building out electric vehicle charging stations.

Homeowners in participating communities stand to see direct benefits. In several jurisdictions, the funding will support weatherization, insulation, and HVAC upgrades in single-family and manufactured housing, helping residents reduce monthly utility costs while improving comfort and indoor air quality. Manufactured housing parks, which have historically been left out of energy efficiency programs, are explicitly named as a focus area.

Prioritizing Disadvantaged Communities

A notable share of the grantees will direct funds into or toward disadvantaged communities, aligning the program with the administration's Justice40 Initiative. That initiative sets a goal of delivering at least 40 percent of the overall benefits of certain federal climate and clean energy investments to communities that have been historically overburdened by pollution and underinvestment.

For many of these communities, the EECBG awards represent one of the first sustained streams of federal energy funding they have received. Local governments plan to use the money to cut operating costs at public buildings, redirect savings into other community services, and create pathways for residents to access clean energy technology they could not otherwise afford.

Formula Grants vs. Competitive Awards

The EECBG Program offers two funding tracks. Formula grants are allocated by population and other statutory factors, giving eligible states, cities, counties, and Tribes a predictable share of program dollars they can use for locally defined priorities. The $21.87 million in this announcement represents formula awards to 16 jurisdictions.

The competitive track, which accounts for the remaining $8.8 million across 12 recipients, rewards innovative and high-impact proposals. Projects selected through this track typically demonstrate measurable emissions reductions, leverage additional private or state investment, or serve as replicable models that other communities can adopt.

What Homeowners Should Watch For

Homeowners interested in accessing EECBG-funded programs should contact their state energy office or city sustainability department to learn which local programs are enrolled. Because each grantee designs its own implementation plan, benefits for residents vary by location. Some communities will launch rebate programs for heat pumps and efficient appliances. Others will fund whole-home weatherization for income-qualified households, while still others will focus on community solar or EV charging access.

The broader EECBG Program also continues to accept applications from eligible local governments, meaning additional communities are expected to come online in future funding rounds. Residents whose local government has not yet applied can advocate for participation through city council or county commission meetings.

The Bigger Picture

This $30 million announcement is a small but meaningful slice of the more than $430 million EECBG will ultimately distribute, itself just one program within a much larger federal clean energy push funded by the Bipartisan Infrastructure Law and the Inflation Reduction Act. Together these initiatives are reshaping how American homes, schools, and public buildings use energy, and they are creating new opportunities for homeowners to lower bills, increase property values, and participate in the shift toward cleaner energy.

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