Energy and Buildings

It takes a lot to keep the lights on in Hailey - the design of your home or commercial space can have a big effect on our environment, your health, and your wallet.

Some energy efficient technologies have been around for decades, while other new technologies and innovations are entering the market at a rapid rate. With the single-largest federal investment in America's climate and energy security passed into law in 2022, there is also a lot to keep track of in terms of tax credits, rebate programs, and infrastructure investments.

Whether you've never heard of a "heat pump" before, you're building your first home, or you're looking to make big moves with reducing your carbon footprint, you've come to the right place.

This page is designed to serve the citizens of Hailey and our surrounding community members, providing information and resources on making your home and/or business more energy efficient, powered on cleaner energy, and designed to save you money on your energy investments wherever possible.

If you're new to these topics, check out this video from Energy Star to get started.

Learn More Here

Efficiency Solutions for Home and Business

There are many technology options out there to improve the livability and efficiency of your home. A useful first step is to learn more about these solutions, to better prepare you for conversations with qualified local contractors (see Local Contractor tab!) or equipment suppliers. The best time to plan for some of these upgrades is well in advance of your existing equipment failing, so that the proper plumbing and electrical provisions are in place. No one wants to deal with a faulty water heater or gas boiler in winter! 

The (+) tabs below show an overview of these technologies, along with pointers from other locals in the Wood River Valley who have made the switch and adopted these technologies.

These upgrades are presented in approximate increasing order of cost/challenge, allowing you to gradually “level up” as you proceed on your clean energy and efficiency path.

Financial Incentives for Upgrading

Looking for ways to cost-effectively electrify to improve air quality, noise and energy bills? Consider what federal, state, local or corporate incentive programs may be available.

Rewiring America is a leading nonprofit that works nationally to build energy efficiency and grow clean energy in homes, businesses, and communities. They have created an easy-to-use Incentives Calculator that matches both homeowners and renters with the energy efficiency/electrification incentives they qualify for.

(Note: The calculator will provide applicable federal incentives, in addition to state/local incentives, for some communities. Unfortunately, state programs and local utilities for the Wood River Valley have not yet been listed within the calculator. The City of Hailey is working with our regional partners to address this gap). 

Incentive programs are constantly being updated so make sure to get current with the latest information from official websites/providers. We’ll break these into four basic categories:

Federal

State

Local

Corporate/Utility


Federal

The Inflation Reduction Act of 2022 increased the availability of many tax credits and deductions on electrification and energy efficiency projects for both homes and businesses. Most credits/deductions apply to the total cost of both purchasing and installation of upgrades. Some examples of federal tax credits available as of March 2024, subject to various conditions, include:

  • New Electric Vehicle
    • up to $7,500
  • Used Electric Vehicle
    • up to $4,000
  • Electric Vehicle Charger
    • up to 30%, or $1,000
  • Heat Pump
    • up to 30%, or $2,000
  • Solar Installation
    • up to 30%
  • Heat Pump Water Heater
    • up to 30%, or $2,000
  • Weatherization: Windows, Doors, & Insulation
    • 30% or $1200 

The power of these federal incentive programs is that they can be combined and stacked for maximum tax savings; there is no limit to the number of individual credits you can claim in a given year. Many incentives/credits also reset annually, meaning that homeowners can scale their projects over time to meet their budget needs, while still benefiting from tax credits each year. Many of the same benefits are offered for commercial buildings and/or business owners as well.

Homeowners and businesses can also take advantage of state and local incentive programs for the same upgrades, described in more detail below. Each energy efficiency and electrification project can, in theory, result in thousands of dollars worth of savings and tax credits. There truly has not been a better time to make these upgrades.

The most current list of those and others for homes and businesses can be found on the IRS webpage:

https://www.irs.gov/credits-and-deductions-under-the-inflation-reduction-act-of-2022

If you need assistance in understanding the IRS website or credits available under the 2022 Inflation Reduction Act, we recommend you consult a qualified tax advisor. City of Hailey Sustainability Staff can also provide guidance on certain federal tax incentives, but we are not licensed tax professionals and cannot give tax advice.


State

Key resources to learn about Idaho state programs and incentives:

Some existing programs/incentives include:

  • Residential Alternative Energy Tax Deduction
    • Income tax deduction of 40% of the cost of solar, wind, geothermal, and certain biomass (e.g. wood pellet) energy devices, applicable for the year the energy devices was installed. PLUS 20% of the cost each year for 3 years after installation. 
    • Maximum deduction in any one year with this program is $5,000; Total maximum deduction over time is $20,000. 
  • Weatherization Assistance Program
    • The Weatherization Assistance Program (WAP) helps low-income individuals and families conserve energy, save money and increase the comfort of their homes by making their home more cost effective and energy efficient. Community Action Agencies work with utility companies and state and local agencies to assess, recommend, and install weatherization improvements in eligible homes throughout Idaho. 

    • What does weatherization mean? 

The Idaho Governor’s Office of Energy and Mineral Resources (OEMR) is also working on translating Department of Energy/Inflation Reduction Act funding opportunities into statewide home energy rebate programs. These rebates would provide homeowners direct repayments for energy efficiency and/or clean energy upgrades installed in their homes, similar to the eligible upgrades listed with the IRA/federal funding. The difference in these financial incentives is where and when the incentive is gained. A rebate will give a homeowner cash back for the upgrade, once it is installed. The tax incentive/deduction will reduce your household's overall taxable income, come tax season. Again, we recommend consulting a tax advisor or other qualified tax resources to understand the financial incentive option(s) best suited for your situation.

As of Spring 2024, these funding sources and programming are not yet in place, as OEMR awaits federal guidance on how to disburse the allocated funds, which total just under $81,000,000 for the state of Idaho. Idaho is lagging states like Colorado, Washington and Oregon that provide robust tax credits for upgrades like heat pumps, heat pump water heaters or EVs. It is important for both citizens and local governments to advocate for their communities and ensure that our state representatives understand the impact of this funding on real Idaho households. 

Keep an eye on OEMR programs at their webpage: https://oemr.idaho.gov/


Local

Blaine County and each city may have incentive programs for various upgrades. These can come and go, so keep an eye out on the various pages, especially for those cities that have dedicated sustainability programs:

Blaine County: https://www.co.blaine.id.us/1025/Sustainability-Department

Ketchum sustainability advisory committee: https://www.ketchumidaho.org/bc-sac

Hailey EV Charger and Solar Rebate Program


Corporate/Utility 

Idaho Power has extensive incentive programs for homeowners, renters, and businesses/commercial buildings (including multifamily residential developments).

Some examples of incentives from Idaho Power include: 

  • Central Air Conditioner: $50-$150
  • Ducted Air and Water-source Heat Pumps: $500-$1,000
  • Ductless Heat Pumps: $500
  • Duct Sealing: $200
  • ECM Air Handler Motors: $50
  • Evaporative Coolers: $150
  • Ground Source Heat Pump: $1,000-$3,000
  • Hybrid Heat Pump Water Heater: $300
  • Smart Thermostats: $50
  • Whole-house Fans: $200

Generally, these incentives can also be combined with federal and state incentives as well, boosting your savings and return on investment!

While clean electricity generation can provide greater reductions in greenhouse gas emissions than natural gas, we understand that full electrification may not be a viable option for all homes and buildings. The critical action step for all homes and businesses should be reducing their energy use overall. This is achieved through more energy efficient appliances (i.e. heat pumps), as well as building design and construction that minimizes heat/cold loss.

Summary

Programs come and go, so it can be tough to track them. Folks like Rewiring America have useful resources that track things at the Federal level, but it is hard for any one organization to keep up with all the various state and local programs. If you are aware of other incentive programs – government, private or nonprofit – please spread the word!

Local Contractors

Are you looking for experienced local contractors to help you with a project?

While the city does not endorse specific contractors, the following firms responded positively to surveys distributed by the Climate Action Coalition asking about their interest and capabilities for electrification. It always helps to get a reference from a friend who has had similar work done. Many of these firms have webpages; search online for the latest links to get the most current contact information. 

This alphabetical list may be updated as additional firms express interest in electrification projects.

Bluebird Solar

Phone: (206) 931-6274

Email: everett@bluebirdsolaridaho.com 

Services Offered: Residential solar photovoltaic systems

Current Solutions, LLC

Phone: (208) 309-0158

Services Offered: EV level 2 charging stations, electrical panel upgrades, smart thermostats, heat tape installation and repair, initial power connections for solar photovoltaic or HVAC systems

Great Solar Works!

Phone: (208) 721-7003

Services Offered: solar photovoltaic systems, battery storage, heat pump hot water heaters, heat pumps, solar hot water and radiant systems

Hydronics Unlimited Inc

Phone: (208) 726-2076

Services Offered: heat pump water heaters, heat pumps, smart thermostats

Idaho Power

Apply for a home energy audit (Cost of $100-$150) through their portal here: https://www.idahopower.com/energy-environment/ways-to-save/savings-for-your-home/home-energy-audit/

Services Offered: home energy audit, including a blower door test, as well as up to 20 energy saving light bulbs, 1 high-efficiency showerhead, and insulating pipe wrap from the water heater to house wall 

John Reuter Greenworks

Phone: (208) 721-2922

Services Offered: energy audits, solar photovoltaic systems, HVAC design, energy and solar modeling 

Jon's Heating

Phone: (208) 720-1535

Services Offered: heat pumps, smart thermostats, hydronic heating systems

Magic Valley Electric, Plumbing, Heating, and Air

Phone: (208) 254-5514

Services Offered: solar photovoltaic systems, battery storage, heat pump water heaters, heat pumps, weatherization, EV level 2 charging stations, electric panel upgrades, smart thermostats

Contact a Sustainability Staff Member

This page was made possible by the hard work and dedication of local citizen volunteers with the Climate Action Coalition (CAC), the grass-roots community awareness and citizen action group for climate efforts in the Wood River Valley. The City of Hailey regularly collaborates with the CAC on events, climate goal-setting, and public outreach. We are so grateful for their presence in our community!

For more information, you can contact the Climate Action Coalition at CACWRV@gmail.com.