HB 37 – Community Energy Efficiency Development (CEED) Block Grant Act

Sponsored by Rep. Kristina Ortez
HB37 – Community Energy Efficiency Development (CEED) Block Grant Act seeks to improve utility affordability, reduce energy burden, and increase utility access of low-income New Mexicans. New Mexicans living in rural, low-income, and other underserved communities spend a high portion of their income on utility bills. On average, those living below the poverty line pay 15% of their income toward energy bills alone.  Making energy efficiency improvements in low-income housing cuts energy bills for these New Mexicans, improves the quality of affordable housing stock, and will help New Mexico achieve its zero-carbon electricity target.

Unfortunately, New Mexico is behind other leading states when it comes to funding energy efficiency improvements for low-income households. 26 states provide at least double the amount of low-income efficiency investments per capita through state or utility funds. It’s time for the State of New Mexico to invest in services to help low-income residents reduce their energy burdens while enabling the state to reach its climate goals.

The CEED Block Grant Act offers a set of solutions to reduce energy burdens for low-income New Mexicans and enable the state to meet its climate goals:

Community Energy Efficiency Development (CEED) grant fund.
The Community Efficient Energy Development (CEED) Block Grant provides funding for local communities to reduce energy burdens of low-income residents, creates jobs, and build capacity in communities that need it the most. This fund, established at EMRND, will provide block grants to local and Tribal governments, and the Mortgage Finance Authority, to make targeted energy efficiency improvements in underserved communities in partnership with local community organizations. CEED complements existing federal, state, and utility efficiency programs and extends the number of New Mexicans living in poverty who receive assistance

• CEED gives flexibility to local communities to determine what is needed most in their area. Each
  project can choose to focus on “low-hanging fruit” like replacing old, inefficient appliances or they
  offer more comprehensive retrofits of residences. CEED is a needed addition to the federally- and
  IOU-funded programs which are a “one size fits all” approach that provides whole house
  weatherization with cost-effectiveness restrictions.

Reporting Requirements for Utilities. Too many New Mexicans don’t have consistent access to
electricity or water – and we don’t even know how many. This bill requires reporting on utility arrears,
disconnections, and access, and requires the PRC to hold hearings and take action to increase affordability
and access.

Energy Efficiency and Affordability for All. PRC action is set in motion to move towards the goal of
achieving 100% energy affordability for all low-income New Mexicans by 2050.

Low-Income Rates Authorized. The PRC is given authority to approve low-income rates, providing
another tool for increased energy affordability long term.

For more information, please contact: Tammy Fiebelkorn, SWEEP tfiebelkorn@swenergy.org
505–410–3884