Here & Now

Chad Laibly on Winter Weather and Soaring Home Heating Costs

Zac Schultz:

A lot of furnaces across the state turned on this week for the first time since last spring and the cost of keeping it running this winter is expected to make a big jump. The National Energy Assistance Directors Association put out a report this month saying the cost of heating the average American home will rise by 17% compared to last year. Joining us now is Chad Laibly with Focus on Energy, Wisconsin’s energy efficiency program. Thanks for joining us.

Chad Laibly:

Yeah, thank you.

Zac Schultz:

When a report like this comes out, do you see an increase the number of people all of a sudden realizing winter’s about to come here?

Chad Laibly:

Absolutely. Usually with a cold snap too. We always see a lot of inquiries.

Zac Schultz:

What should people be thinking of right now? What is the first response you’re giving them when they call and say what can I do?

Chad Laibly:

First, they need to do is be aware that they need to prepare their house for winter, right? Get your storm windows on. Definitely want to get a smart thermostat. We have discounts through Focus on Energy for those. Look into insulation and air sealing now because if you wait, typically the next three or four months, the schedules are pretty packed with companies.

Zac Schultz:

How much money can someone save on energy costs compared to the cost of weatherizing? Are there two scales there?

Chad Laibly:

Quite a bit. A deep retrofit of a home for insulation and air sealing can save up to 30% which is quite a lot. Doing just a minor job with just the attic may save anywhere between 10% and 15%. The one thing really nice about insulation is it tends to pay for itself within seven years, give or take two or three years.

Zac Schultz:

What do we know about the international supply? Obviously, we’ve got Russia/Ukraine. We’ve got hurricanes going through the gulf. We’ve got fires at refineries. Is that making it look even worse right now?

Chad Laibly:

It sure is and it’s keeping the energy prices really much higher than we would expect them to be. Propane has increased quite a bit. You just mentioned the article that said a lot of people’s propane might go up $30-ish. That’s not what I’m seeing. I’m seeing much more than that.

Zac Schultz:

Okay. Now, as much as no one wants to pay more for energy, can rising costs incentivize people to actually do some of these upgrades because the pay back is faster?

Chad Laibly:

Absolutely. Absolutely. We get a lot of inquiries about it. Particularly with the next year with the Inflation Reduction Act, there’s going to be a lot of opportunity for people to spend a little more than they normally would even when they have less just because the savings are going to be there.

Zac Schultz:

So with the Inflation Reduction Act that has a lot of the climate change and green issues in there, do we know yet what’s going to be coming? Are you starting to hear or is that still being finalized?

Chad Laibly:

Yeah, we’re shifting through the information and we’re seeing how that money will flow practically but we are expecting there to be some really good opportunities particularly with dual-fuel heat pumps. Dual-fuel heat pumps for those of you who don’t know are basically an air conditioner that acts in reverse and the technology wasn’t really there at a good price point for the type of cold climate that we have in Wisconsin, particularly negative 20. That’s kind of the sweet spot you want them to work to but now they do and so that’s going to be a really good option because there’s a lot of money for residential homeowners in the Inflation Reduction Action for that type of technology.

Zac Schultz:

We’ve been talking a lot about homeowners but there’s a lot of people that live in apartments. Are there things they can do that they should be thinking about as well?

Chad Laibly:

The same thing. Our program, Focus on Energy, works for renters as well.

Zac Schultz:

Where should they go? What should they be looking?

Chad Laibly:

They should look at www.focusonenergy.com. There’s a residential tab and we update it quite often. It has all the listings of our incentive dollars. Wisconsin really has won the lottery for home energy performance programs. Ours has been around for 22 years and it’s really well managed. The money doesn’t really run out because it’s so well managed. It’s a great opportunity.

Zac Schultz:

I’ve seen some of the forecasts. Whether you believe in the Farmers’ Almanac or if you want to go with the national weather service —

Chad Laibly:

I looked at my woolly bear caterpillar the other day.

Zac Schultz:

It says there’s a higher percentage chance we could have a colder and perhaps wetter winter than average, which just adds on to some of these energy costs, right?

Chad Laibly:

It does. It does. The bottom line is they’re going to be heating degree days. They are going to be used for heating your home regardless of whether it’s a really cold winter or not and heating costs are really on the rise so it’s something to be aware of. Something to be aware of now because, as again, like I said, the insulation companies are going to be really busy moving forward. Also, if you’ve called an HVAC company because of those dual-fuel heat pumps and just because of the general rise in costs, everybody wanting to get their machines tuned up, they are very busy as well. You’ve got to be patient.

Zac Schultz:

Chad Laibly with Focus on Energy, thanks for your time today.

Chad Laibly:

Thank you.