A more affordable energy future: Efficiency Vermont’s new 3-year plan
The cheapest energy is the energy we don’t use. It’s a simple idea that’s guided Efficiency Vermont’s programs and rebates for over two decades. Understanding this idea is important for Vermont’s energy future and for Efficiency Vermont’s plans for the years ahead.
As we look ahead to the next three years of our work, we’re listening to your feedback. We’re focused on making efficiency more affordable. By weatherizing homes and focusing on impactful projects for businesses, we’ll help Vermonters save money and energy. And we’ll deliver those services for less—by removing $3.75 million from our planned budget.
Almost every home or business in Vermont connects to our shared electric grid. At the flick of a switch, the grid sends the electricity we need to run a refrigerator, control our thermostats, and power the technology that connects us to the internet.
Making electricity costs money. Power plants burn fuel to generate electricity. Or they rely on sophisticated equipment like hydroelectric dams, wind turbines, or solar panels. Skilled workers ensure there’s safe, reliable power at all hours of the day. Moving that electricity costs money, too. First, through networks of transmission lines, towers, and substations. Then, through the poles and wires that distribute electricity to our homes and businesses. This network requires constant maintenance and investment. As electricity demand rises, expanding this system costs money, too.
When we pay our electric bill each month, we all pay to keep this system working. Our bills cover the costs of running the entire electricity system. Efficiency is the key to keeping those costs low—because it’s cheaper to use less electricity than it is to make and distribute more of it. That’s the strategy behind energy efficiency programs. They allow us to get more out of the system we’ve already paid for.
Efficiency isn’t just about lower costs. It’s about living better with lower costs.
It means burning less fuel, or building fewer dams, solar panels, or wind turbines. At home, it means increased comfort and lower heating bills through weatherization. And lower electricity bills thanks to efficient lights and more effective appliances. At work, it means lower costs and a stronger bottom line thanks to optimized equipment.
Over time, more efficient homes and buildings cost less to keep running. They’re more resilient to extreme weather like winter storms or floods. They’re also better prepared to switch from fossil fuels to clean, all-electric solutions like EVs and heat pumps. Efficiency lowers Vermont’s greenhouse gas emissions, helping meet state climate goals while protecting our communities from the devastating impacts of a warming world. Efficiency also reduces power use when the grid needs it most. That makes electricity cheaper and expands capacity for things we want, like more homes, new business opportunities, and economic development. It means less strain on our grid today and minimizing expensive grid upgrades tomorrow.
Efficiency is one of the most powerful tools we have to keep energy bills affordable. Investing in efficiency over time creates durable, long-term affordability. Vermonters will save more than $3.5 billion over the lifetime of the efficiency investments our state has made since 2000. Today, Vermont meets more than 15% of its electricity needs through efficiency. In other words, without efficiency programs, Vermont homes and businesses would be buying 15% more electricity than they do now.
“Without efficiency programs, Vermont homes and businesses would be buying 15% more electricity than they do now.”
Efficiency Vermont’s latest Demand Resources Plan outlines our ongoing commitment to efficiency. We recently proposed this plan to the Vermont Public Utility Commission (case 25-1203-PET). It’s a roadmap for our energy efficiency programs for 2027-2029. Your feedback—from residents, business owners, and other partners—helped shape this proposal. Including:
- A public survey that reached more than 900 Vermonters
- One-on-one interviews with 68 partners and business customers
- A survey of 38 large businesses that are among Vermont’s highest energy users
- A separate survey of 200 small- and medium-sized businesses across all 14 Vermont counties
Your feedback tells us a lot about what Vermonters expect from our efficiency programs. And you’re telling us that you need help.
Survey results showed roughly half of residents rate Vermont as “unaffordable.” At the same time, more than 70% of Vermonters agreed that energy efficiency programs help make Vermont more affordable. And more than 86% believe that an independent organization running these programs—like Efficiency Vermont—is important to help Vermonters reduce their energy costs.
Weatherization makes homes and businesses more comfortable while reducing energy costs. For the more than one in five Vermont homes heating with fuel oil, weatherization means they could save about $320 each year. No matter how you heat—with heat pumps, wood stoves, or fossil fuels—weatherization results in using less energy, paying lower bills, and reducing emissions.
That’s why weatherization will be a major focus in our new proposal. Federal funding has supported this work in recent years—but no longer. We’re committed to bringing the comfort, savings, and climate benefits of a weatherized home to more Vermonters with our own programs, and through longstanding partnerships.
We’ll continue to remove barriers and put weatherization within reach for more Vermonters with rebates and creative financing solutions. We’ll also strengthen our partnerships with Vermont's Weatherization Assistance Programs by directing an additional $1.5 million each year to support projects for the low-income households and apartments they serve.
The next three years also demand deeper investments in energy efficiency. For years, helping Vermont transition to more efficient lighting was a crucial part of Efficiency Vermont’s work. Switching to LED bulbs was a fast, easy, and low-cost way for Vermonters to boost efficiency in their buildings. The value of LEDs was clear, and today, they’re the norm.
Now Efficiency Vermont is pursuing energy savings in other parts of our lives. We’re updating our heat pump programs to deliver more comprehensive heating systems. Along with many skilled partners, our technical know-how will also help bring efficiency to the 20,000 mobile and manufactured housing units statewide.
For businesses, we’ll prioritize projects with big impacts on our shared energy system. Like improved industrial processes, large-scale refrigeration, and HVAC (heating, ventilation, and air conditioning) systems. We’ll also continue working with our electric utility partners on cutting-edge solutions like flexible load management. These projects help us shift when we use power to times when it’s cheaper and cleaner.
Efficiency Vermont will achieve these goals without increasing costs for Vermonters. In fact, we’ve removed $3.75 million in spending from our proposal. Streamlining our budget helps us focus on impactful projects while supporting affordability for all Vermonters.
By focusing on these goals in the years ahead, we’ll continue to help Vermonters reduce their household energy costs. We’ll weatherize more homes and businesses. We’ll focus on projects that deliver energy savings. And we’ll strengthen the investments we’ve collectively made over 25 years at every level of our shared grid.
But you don’t have to wait. Efficiency is a solution that’s available today. If you’re not sure where to begin, start with a phone call with one of our Energy Advisors. Schedule a free Virtual Home Energy Visit for your home, or a free Energy Consultation for your business. The benefits of efficiency can be shared by everyone in our state—now, and with this new proposal, for years to come.
