Climate change and rising temperatures are putting increasing pressure on households in the southern and southwestern regions of the United States, which are becoming more reliant on air conditioning units to survive increasingly frequent and intense heat waves. This leads to a rise in the energy burden, defined as the percentage of a household's income that is required to cover energy costs. Households that spend more than 6% of their income on energy are considered to be experiencing 'energy poverty.' This phenomenon is increasingly present in southern states like Mississippi, Arkansas, and Alabama, where air conditioning units have become a necessity during the summer.

A study conducted by MIT shows that between 2015 and 2020, there was a significant increase in energy burden in southern and southwestern states, while traditionally cold states, such as Maine and Vermont, saw a decrease in that burden. With milder winters in the north, heating needs are decreasing, while dependence on cooling is rising in the south. In 2020, the highest energy burden was recorded in Mississippi, Arkansas, and Alabama, while Maine and Vermont, previously among the most affected, dropped from the top of the rankings.

According to data from the U.S. Energy Information Administration, these trends clearly reflect a broader picture of a warming world, where households in the south are under increasing pressure due to the costs of air conditioning units, while northern regions are facing milder winters and reduced energy needs. These changes also indicate a growing disparity between urban and rural areas. While in 2015, 23% of urban areas had a significant energy burden, that number fell to just 14% by 2020, meaning that rural areas are becoming increasingly vulnerable to energy changes.

Federal energy assistance programs lag behind

Despite these obvious changes in the distribution of energy needs, current federal energy assistance programs are not adapted to this new reality. The LIHEAP (Low Income Home Energy Assistance Program), established in 1981, provides aid to low-income households to cover heating and cooling costs. Although the program was expanded in 1984 to include cooling needs, the funding allocation formula has remained virtually unchanged since the 1980s. This means that southern states, which now have significantly greater energy needs due to rising temperatures, do not receive proportionally greater assistance.

Researchers from MIT propose a new funding allocation model that would prioritize households with the highest energy burdens. According to this model, no state would be in a worse position, while the most vulnerable households would receive greater assistance. This approach would be fairer and would allow for better alignment of resources with changing climate conditions and cooling needs in the southern U.S. While the new allocation method would require some redistribution of subsidies among states, the goal would be to help all households avoid energy poverty, regardless of their geographic location.

Consequences for socially vulnerable communities

Energy poverty often disproportionately affects low-income households and marginalized communities. In southern states, where poverty rates and economic inequality are higher, the energy burden can be eight times greater compared to households with higher incomes. This situation exacerbates intergenerational poverty and social inequalities. Furthermore, studies show that communities with a higher degree of diversity, such as those in southern states, are more frequently confronted with energy poverty due to lower incomes and poorer living conditions.

In contrast, western states, like Colorado and Washington, implement programs that combine greenhouse gas emission reductions with energy efficiency, reducing the energy burden on low-income households. These examples demonstrate that policies integrating the fight against climate change with energy justice can effectively address the rising energy burden. The case of Colorado, where low-income households have managed to reduce energy costs by 15 to 50 percent through solar energy projects, shows that it is possible to alleviate energy poverty while also working to reduce emissions.

Climate change and energy poverty are now inseparable issues, and increasingly extreme weather conditions further exacerbate the situation. Therefore, it is essential for states like Mississippi, Arkansas, and Alabama to implement comprehensive policies that will protect the most vulnerable segments of society while reducing their dependence on expensive cooling systems during the summer. Policies that encourage renewable energy sources, such as solar projects aimed at low-income communities, can offer a sustainable solution to energy injustice.

Source: Massachusetts Institute of Technology