Decarbonizing Everything

The Economics of Electrifying Buildings

Sherri Billimoria, Leia Guccione, Mike Henchin, Leah Louis-Prescott, August 2018 (Rocky Mountain Institute)

“Seventy million American homes and businesses burn natural gas, oil, or propane on-site to heat their space and water, generating 560 million tons of carbon dioxide each year—one-tenth of total US emissions. But [a new report shows that in most cases] electrification of space and water heating and air conditioning reduces the homeowner’s costs over the lifetime of the appliances when compared with performing the same functions with fossil fuels. Costs are also reduced for customers…switching away from propane or heating oil, for gas customers who would otherwise need to replace both a furnace and air conditioner simultaneously, and for customers who bundle rooftop solar with electrification. New homes and homes currently lacking natural gas service also avoid the cost of gas mains, services, and meters not needed in all-electric neighborhoods…

Reaching ‘deep decarbonization’ goals of 75 percent or greater reduction in greenhouse gas emissions will require eliminating most of the CO2 produced by furnaces and water heaters across the country, alongside other measures across the economy. Further, electric space and water heating can be intelligently managed to shift energy consumption in time, aiding the cost-effective integration of large amounts of renewable energy onto the grid.” click here for more

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