"Cash for caulkers" aims to boost energy efficiency of U.S. homes

Dec 9, 2009 4:30 PM

Cash for caulkers targets home energy savings.

During his speech yesterday about job creation and the economy, President Barack Obama announced at the Brookings Institution in Washington, D.C., that he's "calling on Congress to consider a new program to provide incentives for consumers who retrofit their homes to become more energy efficient, which we know creates jobs, saves money for families, and reduces the pollution that threatens our environment."

The initiative, to be paid for by the American Recovery and Reinvestment Act of 2009, has been dubbed "cash for caulkers." It's another example of clunkernomics, which now includes the U.S. Department of Energy's $300 million State Energy Efficient Appliance Rebate Program.

The details of the plan aren't finalized, but it appears you could earn up to $12,000 on the cost of labor and materials to weatherize your home. Unlike the Weatherization Assistance Program, the cash-for-caulkers incentives would not be limited to low-income households. The program would likely cover weatherization efforts such as caulking, duct sealing, and insulating, as well as heating and cooling equipment.

As for the president's goal of job creation, renewable-energy, energy-efficiency, and other new-economy companies could benefit. For instance, if more households opt for a home energy audit, there might be increased demand for energy auditors.

Certainly some industrial sectors seem receptive to cash for caulkers. "The president's proposals on weatherization and industrial energy efficiency will have the triple benefit of creating jobs quickly, saving consumers money, and reducing our nation's carbon footprint," said Bob Plishka, a spokesman for Dow Chemical Co., in a statement. And as reported in this article on Bloomberg.com, the sales of Dow's foam insulation, sealants, polyurethane foams, tapes and adhesives could get a boost, according to Plishka.

We'll provide more details on the program as they emerge.

—Daniel DiClerico

Essential information: If you're looking to do some weatherizing on your own, check out our weekend project on attic weatherization. (Read "Tip of the Day: Find the Right Caulk for Your Home Project" to be sure you buy the proper caulk for the job.) Also try these easy steps to save money on your utility bills.

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