California’s ambitious environmental goals are causing a slew of efforts locally to keep pace.
State law requires new construction to have electrical appliances, but another law that goes into effect in October prevents cities from placing more stringent parameters on electrification efforts.
However, before that deadline, Sunnyvale passed an ordinance requiring homeowners renovating to install electrical hookups. Further, those replacing their water heater now need to install a heat pump, a more efficient device that uses compression and refrigerants, instead of combustion, to absorb and release heat.
To complicate matters further, the Bay Area Air Quality Management District (BAAQMD) has set goals aimed to reduce nitrogen oxide (NOx) emissions. Starting in 2027, residential water heaters must be zero-NOx, and by 2029, residential furnaces must be.
Every few years, BAAQMD reviews the best technology to limit NOx emissions, said Greg Nudd, deputy executive officer of science and policy at BAAQMD.
“This is a regulation that is intended to improve public health,” Nudd said. “We expect it to save many lives across the Bay Area over the next few years.”
Santa Clara recently opted to use $1.45 million in tax money to upgrade electrical panels and install electric appliances throughout a 71-apartment below-market-rate housing complex, Riverwood Grove, located at 2150 Tasman Drive.
Federal Community Development Block Grant (CDBG) and Silicon Valley Power (SVP) money, provided by the state for just such initiatives, will fund the overhaul.
“The Riverwood Grove improvement project shows how leadership priorities, community partnerships, and diverse funding resources can be leveraged to enhance the community’s quality of life,” according to a city press release. “Retrofitting the Riverwood Grove apartments will provide tremendous benefits to a low-income housing community by helping residents save on utility costs.”
To transition to electrical, cities are also providing incentives to those switching to electrical appliances or who want to upgrade their electrical panels.
To accommodate electric appliances, according to a study by the University of California Los Angeles, 3% of single-family homes and 10% of multi-family homes will require a panel upgrade.
To make matters worse, the study concluded, “disadvantaged communities” have a higher proportion of homes with smaller electrical panels, necessitating an upgrade. There are four times more single-family homes in the smallest panel size category than those not labeled “disadvantaged.”
An electrical panel upgrade typically costs between $2,500 and $5,000, but many cities are trying to ease that burden.
SVP residential customers can qualify for up to $4,000 in rebates for converting to a smart panel. Income-qualified residents can get an additional $2,000 in rebates.
A smart panel enables residents to monitor and control circuits individually. They may also be able to notify owners when equipment is running abnormally. Smart panels can also help avoid electric service upgrades, obviating the need to replace transformers.
Traditional electric panels are sized assuming all appliances may be drawing power simultaneously. A smart panel monitors a home’s electrical load, pauses circuits when consumption exceeds capacity and resumes when use drops below maximum capacity.
Ryan Harris, chief revenue officer for smart-panel seller Span, said smart panels act as “air-traffic control for electricity.” He compared a smart panel to widening a highway to accommodate more traffic.
Although regulatory mandates and government incentives are driving some change, Harris said a shift in thinking is leading the charge.
“This transition toward electrification, if you will, is truly consumer-led … [electric appliances] are providing better functionality,” Harris said.
SVP’s rebate program is available to customers who install a smart electric panel to avoid a main service upgrade when accommodating additional electric load. To qualify, projects must be initiated after July 1 and meet eligibility requirements. For complete program details, visit siliconvalleypower.com/rebates.
Contact David Alexander at d.todd.alexander@gmail.com
