Incentives for Energy Efficiency Upgrades

Published by the OneSTL Communications Committee


The historic Inflation Reduction Act (IRA), passed in 2022, is the single biggest climate package ever to become law in the United States. Those who will benefit from this law include utilities and electric co-ops who are transitioning from coal and gas to clean energy, cities who wish to become climate resilient, and individuals who are looking for ways to improve energy efficiency, electrify and weatherize their homes, and purchase electric vehicles.

Home energy efficiency, weatherization, and electrification upgrades are good for your pocketbook, but they’re also good for reducing pollution and fighting climate change. Second only to West Virginia, Missouri currently gets the majority of its electricity from coal-fired power plants. By burning coal, these plants produce nitrogen oxide and sulfur dioxide emissions that exacerbate respiratory problems and carbon dioxide emissions that contribute to climate chaos. Reducing the amount of energy purchased from utilities reduces the amount of coal needed to power the grid, which results in fewer emissions of these harmful compounds.


If you are interested in reducing your monthly utility bills while lowering your carbon emissions, check out this helpful savings calculator from Rewiring America to find out what IRA benefits you might qualify for. To round out your research, Renew Missouri offers a helpful list of energy efficiencey programs offered by Ameren on their MoSaves website.


If you are in a low-income household and aim to weatherize, the High-Efficiency Electric Home Rebate Act (HEEHRA) is for you. HEERA covers 100% of electrification projects for low-income households, including up to $1,600 for insulation and air sealing, $1,740 for heat pump water heaters, and up to $8,000 for heat pump HVAC systems.


Other tax credits from the Inflation Reduction Act include up to $7,500 for new electric vehicles, $4,000 for used electric vehicles, and a 30% tax credit for rooftop solar and batteries.


If you or someone you know is struggling to pay utility bills this winter, the Low Income Energy Assistance Program (LIHEAP) is designed to help. For those in crisis, the Cold Weather Rule prevents utilities from disconnecting customers from their power from November 1 through March 31 when temperatures are forecasted to drop below 32 degrees. Additional bill assistance resources can be found in this list of utility bill assistance programs and agencies, such as Heat Up/Cool Down St. Louis and EnergyCare.