The Basics of Home Electrification

In 2020, 26% of U.S. households used electricity as the only source of energy (32.25 million out of 123.53 million homes), according to the U.S. Energy Information Administration.

With new incentives for electrification and renewable energy in the Inflation Reduction Act to help households save thousands of dollars in upfront costs, the trend of home and building electrification is expected to increase rapidly in coming years. In addition to the upfront savings, homeowners can expect to save an average of $1,800 annually on their energy bill according to Rewiring America.

“If the United States successfully ramps up to 100% electric adoption by the end of the Inflation Reduction Act, $858 billion in residential electrification benefits will have been invested across every community, generating 1.4 million direct and 5 million total new jobs in the United States.”

Rewiring America

With climate change affecting communities all around the country through wildfires, drought, and rising ocean levels, it’s expected that more and more communities will push regulations to reduce their greenhouse gas emissions and curb the effects of climate change. Across the United States, more than 106 cities and counties have already adopted policies that require or encourage homes and buildings to become all-electric as opposed to using fossil fuel inputs, according to the Building Decarbonization Coalition. 

That’s where electrification fits into the climate action plan. Home electrification means that 100% of the appliances and heating/cooling systems are powered by electricity. 

The home performance industry often refers to the “big four.” 

• Heating/cooling
• Water heating
• Cooking
• Clothes drying 

In fully electric homes, there is no combustion within the systems, so no natural gas or propane-fired equipment. As our electric grid continues to retire fossil fuel assets in exchange for renewable electricity generation sources, we make a collective shift to clean, renewable energy throughout our electric systems and grid.

For residential solar companies, it may make sense to offer services related to home electrification. Oftentimes, clients investing in onsite solar energy production are also interested in electrifying their homes by utilizing energy storage, transitioning to all-electric appliances, and adding electric vehicles. If a client is interested in home electrification, what’s the next step?

A home assessment. 

You can learn more about the home assessment process in our free course, How Electrification Can Expand Business & Climate Impacts for Solar Businesses. 

The webinar will walk you through steps to home electrification:

• Setting homeowner goals & expectations
• Investigating and documenting in a home assessment
• Recommending and prioritizing solutions
• Providing resources