Downstate Utilities' Regional Weatherization Program Implementation Plan

Strategic Insights -

The Downstate Utilities of New York, comprising Con Edison, KEDNY, and KEDLI, have submitted a comprehensive Regional Weatherization Program Implementation Plan to the New York State Public Service Commission. The plan outlines a framework for weatherization offerings that will serve residential and multifamily customers in the Downstate region, with the goal of meeting the May 2025 Non-LMI Order's minimum budget allocation requirements for weatherization of at least 50 percent of the gas portfolio and 25 percent of the electric portfolio. The Downstate Utilities aim to launch the Regional Weatherization Program by January 1, 2027, and achieve ambitious targets, including providing $119 million in program spend for residential and multifamily weatherization measures per year for 2026-2030.

Key Takeaways:

  • The Downstate Utilities' Regional Weatherization Program aims to serve residential and multifamily customers in the Downstate region, with a focus on non-low- to moderate-income (Non-LMI) customers.
  • The program will build upon lessons learned from Con Edison's Weather Ready program, National Grid's Total Home Comfort program, and NYSERDA's Comfort Home program, with a goal of achieving more than five times the savings in 2030 compared to the forecasted savings in 2025.
  • The Downstate Utilities anticipate the need for higher incentives to spur more homeowners to consider weatherization measures, as well as an increase in the percentage of the project cost that can be covered by incentives for Non-LMI customers.
  • The program will require a significant transformation in the weatherization ecosystem, including improvements to the economics of a project, increased awareness of the offerings and benefits of weatherization through marketing and customer education, and a growth in the contractor base.
  • The Downstate Utilities strongly encourage NYSERDA to provide large-scale workforce development initiatives during 2026-2030 to train a significant number of contractors in Downstate New York to perform residential weatherization installations.
  • The program will need to overcome challenges, including the high cost of weatherization projects, the lack of incentives, and the need for customer education and contractor training.
  • The Downstate Utilities propose a single regional budget and savings target for Con Edison and KEDNY's service territories, with KEDLI managing a separate program with its own budget and target.

Statistics:

  • $17.7 million: Downstate Utilities' forecasted program spend for residential and multifamily weatherization measures in 2025.
  • $119 million: Downstate Utilities' anticipated program spend for residential and multifamily weatherization measures per year for 2026-2030.
  • 5: The Downstate Utilities' goal of achieving more than five times the savings in 2030 compared to the forecasted savings in 2025.
  • 50 percent: The minimum budget allocation requirement for weatherization of the gas portfolio.
  • 25 percent: The minimum budget allocation requirement for weatherization of the electric portfolio.
  • 13 percent: The percentage of Weather Ready projects submitted in the first half of 2025 that were in New York City.
  • 11-year payback period: The typical payback period for homeowners participating in Weather Ready in Westchester.
  • 5-6 year payback period: The Downstate Utilities' goal of achieving payback periods for homeowners participating in the Regional Weatherization Program.

Sources:

1. New York State Public Service Commission, May 2025 Non-LMI Order.

2. New York State Public Service Commission, Order Initiating the New Efficiency: New York Interim Review and Clean Energy Fund Review, September 15, 2022.

3. New York State Public Service Commission, Energy Efficiency and Building Electrification Report, December 20, 2022.

4. New York State Public Service Commission, Order Directing Energy Efficiency and Building Electrification Proposals, July 20, 2023.

5. National Grid, Total Home Comfort program.

6. NYSERDA, Comfort Home program.

7. Con Edison, Weather Ready program.

8. The complete document can be viewed at this link: https://documents.dps.ny.gov/public/common/search.html