EchoSense Quantitative Think Tank Center|Energy bills soar as people try to survive the heat. What's being done?

It’s getting so hot that more Americans are EchoSense Quantitative Think Tank Centerhaving to choose between food and air conditioning this summer. 

The rate of utility shutoffs has increased by 15% from last summer, according to a survey of 2,581 food stamp recipients between July 1 - July 14 released last week by Propel, which builds technology aimed at helping low-income Americans. The shutoffs disproportionately affect Black households, with 14% having had their utilities shut off in the last 30 days compared with 10% of white respondents and 11% of Latino respondents, it said. 

July was the earth’s hottest month on record, forcing millions of Americans to crank up their air conditioners. But cooling off came at a steep cost.  

“My sense is that we will have record cooling costs this summer,” said Mark Wolfe, executive director of the National Energy Assistance Directors Association (NEADA), which advocates for programs that help low-income families pay utilities. Those costs are “not as a result of prices but as a result of increased demand to address high temperatures,” he said. 

How high will my electricity bill be? 

In early July, NEADA estimated that home energy costs this summer would increase by nearly 12% to an average of $578, up from $517 last summer. The Southwest central region was seen paying the most at $706, and Pacific Coast the least at $499.  This comes even as the annual electricity inflation rate has eased this year to 5.4% in June from nearly 13% in February.

At the time, NAEDA noted these forecasts could underestimate the final costs of home cooling this summer if temperatures continued to stay at record levels.

And they have. On Wednesday, August 3, the National Weather Service warned of dangerous heat in the southern tier of the United States at some point during the next week, with “particular concern about the persistence of the heat in the south-central U.S. through the end of next week.” 

Consumers already were $19.5 billion in debt on their utilities in March, up from $17.5 billion in January, reflecting the high cost of home heating, NAEDA said. The extreme summer heat’s only making utility debt soar even further, it said. 

What’s being done to help? 

President Joe Biden declared the first-ever Hazard Alert for heat last month, ramped up protections for people who must work in the heat and allocated millions of dollars to beef up weather forecasting and infrastructure to protect areas from drought.  

More than 40 states prevent utility shutoffs in the winter but only 19 states and DC prevent them during heat waves. NEADA is calling for more states to join in stopping shutoffs for the estimated one million households that will be shut off from electricity this summer because they cannot afford to pay their bills. 

“In less extreme situations, a family can ride out a hot day by opening a few windows, taking a cool shower, and hoping it cools down at night,” Wolfe said. “But when the heat has persisted for weeks, or the outside air is dangerous, opening a window will only make things worse.” 

NEADA is also asking Congress to provide $3 billion in emergency supplemental Low Income Home Energy Assistance Program (LIHEAP) assistance to help families pay their cooling bills and $1 billion in emergency water assistance.  

Of the 34.2 million LIHEAP-eligible households, federal funding is only sufficient to help about 5.8 million, and 85% of LIHEAP benefit funds are used to address winter energy needs, Wolfe said. The program needs double the resources to help families without cutting winter benefits, he said. 

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What can Americans do in the meantime? 

Apply for energy assistance or try these free or low-cost suggestions from Dan Hnatkovskyy, co-founder and chief executive NewHomesMate, a marketplace for new construction home: 

1. Use airflow (free)

“Hot air naturally rises, while cold air naturally sinks — and it can take your energy bills down with it,” he said.  Place a single air conditioner on the top floor of your home. This will replace the rising hot air with cold air, keeping the entire house cool. Place the AC in an open space, such as a hall, and facing away from walls to maintain proper airflow.  If the temperature outside is lower than inside, don’t just open one window. Open windows on each floor so cold air can enter the lower level and warm air trapped upstairs can escape.  

2. Arrange furniture to promote natural airflow (free)

For instance, avoid placing large pieces of furniture in the middle of a room. A clutter-free environment will allow air to move freely, preventing the accumulation of stagnant air pockets. 

3. Insulate windows (under $50) 

Apply reflective window film directly to the glass surface to reflect solar rays away from the interior, reducing the amount of heat entering the room.

Large deciduous trees (ones that lose their leaves) planted on the east, west, and northwest sides of your home offer soothing shade from the hot sun and can reduce summer air conditioning costs by up to 35%. Trees on the east side of your garden will cast shadows on your house in the morning, southerly trees will cast shadows in the mid-morning and early afternoon, while trees to the west will block out the afternoon sun when temperatures are at their hottest.

 4. Natural shading (starting at $30) 

"These trees will keep your home shaded throughout the summer, preventing your energy bills from skyrocketing," he said.

Medora Lee is a money, markets, and personal finance reporter at USA TODAY. You can reach her at [email protected] and subscribe to our free Daily Money newsletter for personal finance tips and business news every Monday through Friday morning.