Last week, I traveled with Secretary Donovan to Long Island to announce PowerSaver, a pilot program offering low-cost loans for families looking to make energy-saving improvements to their homes. Backed by the Federal Housing Administration (FHA), PowerSaver loans will offer homeowners up to $25,000 to make energy-efficient improvements of their choice, including the installation of insulation, duct sealing, replacement doors and windows, HVAC systems, water heaters, solar panels, and geothermal systems.
Opening this option up for consumers can have a significant positive impact on America’s economy. In the pilot phase alone, PowerSaver will create over 3000 good-paying, green jobs. With our economic recovery still fragile, putting 3000 Americans back to work in communities all across the country is much-needed step in the right direction. The true impact of PowerSaver though, will be realized when we are able to collect the data from this pilot program that shows how much Americans who made these upgrades can save on energy costs. Just as FHA created an industry standard with the historic 30-year mortgage program, FHA can jumpstart Powersaver to become an industry standard among private lenders which would mean most Americans can have the ability to live more energy-efficient lives and save on their energy bill.
At HUD, we believe that once Americans realize the money they can save on energy costs by making these important upgrades, the demand for more “green” loans in the PowerSaver mold will make energy-efficiency improvements a booming industry, ushering in an era of conservation and efficiency in the way we live our lives and building momentum for a cleaner, more sustainable planet for our children.