Businesses applaud multistate action plan to cut energy costs and expand clean home heating options

Businesses welcome the release of a new roadmap designed to help states accelerate the transition to energy-efficient, zero-emission home heating equipment amid rising energy costs and growing efforts to secure energy affordability, improve indoor air quality, and strengthen local economies.  

The roadmap, titled “Multistate Action Plan: Accelerating the Transition to Zero-Emission Residential Buildings,” was developed by a coalition of states under a February 2024 agreement setting a shared goal for heat pumps to meet at least 65% of residential-scale heating, air conditioning and water heating sales by 2030 and 90% by 2040 across the participating states.  

“Accelerating the transition of our aging and obsolete infrastructure will require collaboration across the public and private sectors,” said Nick Sracic, public sector, energy executive, at Johnson Controls, Inc. “As the number of administrators shrink in the public sector, contract models that de-risk the adoption of technology and leverage future savings will be essential. Traditional models like Energy Performance Contracting can be essential tools but emerging Energy and Infrastructure as-a-service offerings promise much potential.” 

“Clean, energy-efficient buildings help households and businesses save money while supporting local jobs and economic growth,” said Andy Frank, president and founder of Sealed. “Sealed supports expanding incentive programs and workforce development to make these upgrades easier and more accessible, and we’re encouraged that states are working together to advance these solutions.” 

Businesses support responsible policies that expand efficient technologies to cut costs, reduce energy waste, and improve indoor air quality—delivering benefits for the electric grid, the economy, and public health nationwide. Following the February 2024 announcement of states shared commitment to accelerate clean technologies like heat pumps in new and existing homes, more than 20 companies sent a letter to governors endorsing collective state action to decarbonize the building sector and speed market adoption of energy-saving solutions. 

“States are stepping up where it matters most—delivering the energy-efficient technologies people want in the midst of an affordability crisis," said Kelly Trombley, senior director, state policy, Ceres. “Businesses have made it clear: aligning state strategies to scale heat pump sales is a winning approach that saves consumers money and boosts local economies. NESCAUM's action plan will help states accelerate those benefits.” 

The Multistate Action Plan was released today by Northeast States for Coordinated Air Use Management (NESCAUM). NESCAUM also announced that Washington signed onto the multistate agreement, joining California, Colorado, Maine, Maryland, Massachusetts, New Jersey, New York, Oregon, Rhode Island and the District of Columbia. The agreement builds on a 2023 commitment by U.S. Climate Alliance member states and territories to quadruple heat pump installations by 2030.  

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About Ceres

Ceres is a nonprofit advocacy organization working to accelerate the transition to a cleaner, more just, and resilient economy. With data-driven research and expert analysis, we inspire investors and companies to act on the world's sustainability challenges and advocate for market and policy solutions. Together, our efforts transform industries, unlock new business opportunities, and foster innovation and job growth – proving that sustainability is the bottom line. For more information, visit ceres.org.