ATLANTA - More than 12% of Americans live in extreme poverty, according to the National Association of Social Workers. As utility customers, they are faced with financial difficulties in paying their monthly energy bills, and this presents a challenge for utilities to collect revenue. That is why approximately 80% of utilities offer low-income customers assistance in some form, according to the recently released Chartwell Report on Low-Income Assistance Programs.
While some assistance comes solely from financial aid, utilities are finding other innovative ways to help customers pay energy bills, according to The Chartwell Report on Low-Income Assistance Programs. In addition to an industry analysis, the Chartwell report highlights three utilities offering low-income assistance to customers. KeySpan Energy and Memphis Light Gas & Water (MLGW) present low-income customers the opportunity to educate themselves on energy usage and energy efficiency while working their way to a good credit standing with their utility. While nearly 40% of utilities offer educational programs to low-income customers, more than 50% are considering the option.
Tacoma Power offers discounted rates to qualifying customers, and in some cases targets a certain demographic, according to the Chartwell report. For example, the utility provides the Family Need Program that is restricted to households with youth under the age of 18. Snohomish County PUD assists its elderly low-income customers by offering a discount to those 62 and older.
Weatherization is also a hot topic, as heating or cooling an inefficient home can lead to wasted energy. Some utilities even provide energy consultants to customers to help combat problems around the home that lead to expensive bills. At a national level, federally-funded LIHEAP (The Low Income Home Energy Assistance Program) is available to utility customers who qualify for the financial aid.
The Chartwell Report on Low-Income Assistance Programs, which is part of the Chartwell Customer Care Research Series, is available for $250. For more information on the report or the series call (800) 432-5879.