By Emily Holden
The authors of a study that riled environmental groups are responding to criticism of their finding that not all energy efficiency programs are cost-effective.
Economists from the University of Chicago and the University of California, Berkeley, tracked 30,000 low-income Michigan households eligible for the federal Weatherization Assistance Program, which provides funding to conduct energy audits and install new furnaces and insulation.
About 6 percent of the homes received weatherization upgrades worth roughly $5,000. On average, the households saved about $2,400 on energy bills—far less than originally projected, according to the paper.
The researchers say the results mean policymakers should question conventional wisdom that residential energy efficiency upgrades pay for themselves while reducing pollution and greenhouse gas emissions…