The federal Inflation Reduction Act just turned two years old.
Those tracking its implementation said when you peel back the layers, a lot is taking shape to help Wisconsinites make their buildings and homes more energy-efficient.
Tax credits in the act are designed to incentivize property owners to reduce their structure's carbon footprint but policy experts said there is still not enough awareness of the law's rollout and the available cost-sharing aid. Point-of-sale rebates also are being offered to homeowners, and Wisconsin just became the first state to launch the funding component.
Mackenzie Mindel, sustainability excellence fellow for the U.S. Green Building Council and a city council member in LaCrosse, said the process is set up to avoid feeling overwhelmed.
"The first step is really getting that energy audit," Mindel explained. "There are IRA-approved contractors who will come in and do an energy audit on your house and determine for you what would be the best cost savings."
They advise income-eligible residents on which clean-energy systems or appliances would be the perfect fit. Mindel pointed out the rebates can be a big help for low-income households dealing with higher energy costs. Critics of the act have said its lack of spending caps mean it could cost taxpayers more than previously estimated.
As for the federal tax credits, some programs allow for savings of 30% for energy upgrades.
Ben Evans, federal legislative director for the U.S. Green Building Council, said as a whole, the incentives are versatile with some "mixing and matching" possible.
"The beauty of the Inflation Reduction Act is that you can combine a lot of these," Evans emphasized. "It's not like you have to just pick one. You can get a couple of different tax incentives for the same project. Let's say you're renovating a building and you're also adding some rooftop solar; you can get tax incentives for each of those."
The assistance comes amid growing pressure for policymakers to mitigate the effects of climate change linked to fossil-fuel sources. Researchers said globally, buildings account for 40% of greenhouse gas emissions, by far the largest share of any economic sector.
