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Clean Energy Helps Local Governments

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Last Updated: 10/2024

Clean energy can provide a whole host of benefits to local governments, who spend a sizable portion of their budgets on energy costs. Transitioning local government fleets from gasoline to electric-powered vehicles can slash operation and maintenance costs, while switching to clean energy sources of power and implementing energy efficiency standards in government buildings also produce significant savings. 

One significant way in which clean energy helps local governments is evidenced in schools utilizing clean energy to power school buildings. K-12 schools spend $8 billion a year on energy costs, second only to personnel as school districts’ biggest expense. By making the switch to solar, districts across the country are already saving millions of dollars in energy costs each year, with some districts even generating a surplus from solar energy sold back to the grid. Alongside direct cost savings to local governments, the clean energy industry supports local economic growth, provides good-paying jobs, and contributes significant tax revenue. The Clean Energy Plan has created significant new opportunities for local governments to invest in clean energy. Local governments are now eligible for direct payments, instead of tax credits, for renewable energy projects, granting increased autonomy for localities to pursue renewable energy without outside financing. The Plan also established new grants for local governments that implement stringent building energy-use codes. 

Get The Facts

Localities Are Major Consumers Of Energy

• Cities consume over two-thirds of the world’s energy and account for more than 70% of global CO2 emissions.
• In the U.S., energy can account for as much as 10% of a local government’s annual operating budget, and local government agencies spend more than $10 billion a year on energy costs.
• Nearly one-third of the energy used to run typical government buildings goes to waste.
• Wastewater plants and drinking water systems can account for up to one-third of a municipality’s total energy bill.
  • A 10% reduction in U.S. drinking water and wastewater systems costs would produce annual savings of approximately $400 million and 5 billion kWh. 

Clean Energy Is Saving Local Governments Money

Transitioning Government Vehicle Fleets From Gasoline-Powered To Electric Vehicles Saves Money

• EVs are cheaper for cities to fuel and maintain over their lifetime:
  • EV drivers pay the equivalent of $1 per gallon to recharge their vehicles. Fewer moving parts means lower annual maintenance costs and no oil changes.
  • While gasoline prices are volatile in pricing, electricity has hovered around a price equivalent to $1 per gallon. 
• A 2023 report found that over the next ten years, state and local governments could save a total of over $10.7 billion in lifetime expenses by purchasing EVs as opposed to gasoline-powered vehicles for their light-duty fleets.
  • This biggest savings would come from fuel costs (68% reduction) and maintenance costs (37% reduction). 
• From 2010 to 2020, a surge in production of lithium-ion batteries has led to an 85% drop in prices, making electric vehicles and energy storage commercially viable.
• A 2019 study found that 25 of America’s largest metropolitan areas could save an average of 37% on fuel costs by electrifying their bus and light-duty vehicle fleets.

Cities Are Already Seeing The Direct Cost Savings Of Switching To EV Fleets

• South Pasadena, CA was the first city in the country to replace its police patrol cars with electric vehicles. The South Pasadena Police Department purchased a fleet of 20 EVs that are projected to save the city about $4,000 annually per vehicle on energy costs and generate savings on maintenance.
• Dallas, TX is projected to save more than $300,000 over three years in tax credits and reduced fuel costs after agreeing to purchase charging equipment and 100 EVs per year. 
• Sacramento, CA, has 80 EVs in its fleet, which cost 6 cents per mile for both fuel and maintenance, compared with 24 cents per mile for their gas-powered light-duty vehicles.
• EVs purchased in 2017 by Alameda County, CA, are projected to save $500,000 in fuel costs and reduce fleet CO2 emissions by 1.5 million pounds over a five-year period.
• Austin’s fleet of 330 electric vehicles (EVs) and plug-in hybrid electric vehicles (PHEVs) are expected to produce savings of between $3.5 million and $12.8 million over 10 years.
• Boulder, Colorado, saved about $250 a month on electricity by using a Nissan Leaf to power a city recreation building. 
• Ten of Arizona’s largest cities, including Phoenix, are projected to save a total of nearly $80 million in lifetime ownership costs by replacing their retiring light-duty vehicles with electric vehicles over the next decade.
• The city of Winter Park, Florida, purchased five Nissan LEAFs for the city’s building inspectors and saved about $1,200 per vehicle. 
• Des Moines, Iowa, leased four fully electric Nissan LEAFs for the city’s fleet and saved $7,700 per vehicle.
• Jersey City, New Jersey, saved $30,000 by leasing four fully electric Nissan LEAFs for their city fleet.  
• Bargersville, Indiana’s Police Department reported saving taxpayers $80,000 a year in fuel costs compared to gas-powered vehicles after purchasing 13 Teslas for their fleet. 
• The Clean School Bus Program, which was funded by President Biden’s Bipartisan Infrastructure Law, is expected to provide $5 billion to replace existing school buses with zero-emission and clean school buses in school districts across the country.
  • On average, each electric school bus offers approximately $100,000 in fuel and maintenance savings over the lifetime of the bus, compared to an equivalent diesel-burning school bus.  
  • As of October 2024, over $2.7 billion in investments through the Clean School Bus Program had been distributed to 1,320 schools, replacing a total of 8,854 buses. 
• Through collaborative purchasing, local governments can reap even bigger savings in procuring EVs:
  • Through collaborative purchasing, partner agencies in California (Alameda County, Sonoma County, Sonoma Water District, Transportation Authority of Marin, City of San Francisco, City of San Jose, City of Fremont, City of Concord, City of Oakland, City of Santa Rosa, and the Bay Area Climate Collaborative) saved over $349,000 (from MSRP) in purchasing 90 new EVs.
  • Through the Climate Mayors Electric Vehicle Purchasing Collaborative, Austin saved $1,300 on acquisition cost per vehicle when electrifying its fleet.
  • 127 cities and 15 counties from across 38 states committed to purchasing more than 2,100 EVs by the end of 2020 through the Collaborative. 

Switching To Clean Energy Saves Local And Municipal Governments Money

• Initial costs of switching to solar, including the installation of solar panels, have decreased by 90% over the past decade, often making renewable energy more affordable than using the electric grid which, in many regions, continues to be powered by burning coal. 
• Green buildings reduce day-to-day costs year-over-year. LEED buildings have reported almost 20% lower maintenance costs than typical commercial buildings, and green building retrofits typically decrease operation costs by almost 10% in just one year.
  • A 2018 National Institute of Building Sciences (NBIS) study found that each $1 spent on mitigation activities, such as strengthening buildings and improving drainage conditions, saves $6 in response and recovery costs.
• In 2020, local governments set a record for new renewable energy procurement. 95 local governments across 33 states procured 3,683 megawatts (MW) of new renewable energy generation capacity through 143 deals in 2020 alone.
  • Houston agreed to purchase around 492 MW of off-site solar, marking the largest solar procurement and largest renewable energy deal ever signed by a local government. 
  • Los Angeles purchased 331 MW of wind power, the largest wind deal ever completed by a local government.
• Between 2015 and the first quarter of 2020, U.S. cities signed 335 renewable energy deals totaling 8.28 gigawatts (GW) — roughly equal to the electric generating capacity of Alaska, Hawaii, Rhode Island, and Vermont combined. 
• 90% of renewable energy capacity purchased by cities between 2015 and the first quarter of 2020 was through off-site power purchase agreements, which are generally larger and more cost-effective than other procurement options.
• A 2018 report outlined a roadmap for 53 towns and cities across North America to obtain 100% clean energy. The report projected that 80% of the cities would convert by 2030 and 100% by 2050, reducing each person’s energy cost by about $133 per year. 
• Community solar and on-site renewable energy projects are also popular with local governments.
  • These are typically less expensive and have the added benefit of allowing local governments to host renewable energy projects on their own property. 
  • On-site renewables not only cut emissions but provide local job training, equity, and social benefits to communities.
  • Community solar projects can target energy “deserts,” where low-income communities pay relatively higher electric bills and lack access to renewable energy, by putting solar in a centralized location and distributing savings to neighbors.
    • Current community solar projects have lowered electricity costs for families by 10% to 50%. 
• The Bipartisan Infrastructure Law expanded Energy Efficiency and Conservation Block grants for counties and local governments, providing $550 million in new funding for energy efficiency, renewable energy, and zero-emission transportation. 
• Local governments are already reaping the benefits of switching to renewable sources and implementing energy efficiency designs:
  • In Peterborough, New Hampshire, the town’s wastewater treatment plant runs on solar power, saving $20,000 in energy costs per year. 
  • In 2021, the city of Cincinnati broke ground on its New Market Solar project, which was expected to generate 203,000 megawatt-hours of energy each year, power 100% of Cincinnati’s electricity consumption for all city-owned and operated services and 25% of the power to 80,000 homes. The city expected to save $1.8 million over the 20-year contract. 
  • In 2022, the city of Auburn, New York, installed geothermal HVAC systems, saving $15,000 per year in operational costs and $250,000 over 20 years in operating costs. 
  • St. Paul, Minnesota, partnered with its electric utility to retrofit heating and cooling systems, purchase energy-efficient products, replace street lighting and traffic signals, and implement other energy efficiency improvements, saving nearly $8 million in energy costs annually. 
  • Jefferson County, Colorado, saved approximately $280,000 per year in annual energy costs by installing energy efficiency upgrades in municipal buildings.
  • City of Fullerton, California, will save $12.1 million in energy costs through energy efficiency improvements, distributed renewable energy resources, and expanding electric vehicle use. 
  • Burlington, Vermont, increased its credit rating after sourcing 100% renewable energy because of the positive economic impact and limited threat of future carbon regulations. 
  • Boston, Massachusetts, completed the first phase of its initiative to invest in energy efficiency and renewable energy with projected savings of $680,000 in the first year.
• Generally, renewable energy lowers costs:
  • Compared to conventional buildings, many new and renovated energy efficient buildings offer energy cost savings of as much as 50%.
  • Clean energy sources are now the cheapest source of new power, and wind energy is cheaper than natural gas, even without subsidies.

Using Clean Energy To Operate Schools Can Save School Districts Millions In Energy Costs

• Schools are a major consumer of energy. K-12 school buildings consume about 8% of the energy used in all commercial buildings.
• Due to human-caused climate change, back-to-school cooling demand has increased by about 34% over the last 10 years. 
• K-12 schools spend $8 billion a year on energy costs, second only to personnel as school districts’ biggest expense.
  • The Bipartisan Infrastructure Law provides new federal funding for school energy upgrades and incentives to install solar energy. 
• Nearly 1 in 10 K-12 public and private schools in the U.S. were using solar energy by early 2022.
  • Since 2014, K-12 schools have seen a 138% increase in solar installations.
  • About 8,400 schools have solar installations, and the solar capacity at schools has tripled in 8 years. 
  • Half of public schools with solar panels are eligible for Title 1 funding, meaning at least 40% of their students qualify as low-income. 
• As of October 2024, nine states had over 200 schools with solar installations.
  • California ranked first with at least 2,815 schools with solar installations. 
  • New Jersey ranked second with at least 696 schools with solar installations. 
  • Illinois ranked third with at least 568 schools with solar installations. 
• The vast majority of schools go solar with minimal to no upfront capital costs. According to a 2020 report, 79% of the solar installed in schools were financed by a third party.
• Before its repeal by President Trump and Republicans in Congress, the Inflation Reduction Act allowed schools to cover at least 30% of the cost of solar projects through direct pay tax credits from the federal government. 
• School districts across the nation have already seen savings from switching to clean energy:
  • Black River Falls High School in Wisconsin installed a 100-kilowatt solar array of 240 panels. The school district received a 30% tax rebate that dropped the project’s payback rate to 12 years and was expected to save up to $25,000 a year. 
  • Wayne County Public Schools in West Virginia was expected to install the largest K-12 school solar project in Appalachia, and by 2025 it will be the first in the state to solarize all school buildings.
    • The district was expected to install over 10,000 solar panels with over five megawatts of cumulative solar capacity. 
    • The district was expected to save $6.5 million over the next 25 years. 
    • Once the project is complete, Wayne County Public Schools will have more than tripled the amount of solar installed by West Virginia’s K-12 schools from 2.1 MW to 7.1 MW.  
  • In March 2021, savings from installing nearly 1,500 solar panels at a high school in Batesville, rural Arkansas, resulted in all teachers receiving up to $15,000 raises. The school district saved more than $600,000 in utility costs through the solar installation.
    • The installation helped slash the district’s annual energy consumption by 1.6 million kilowatts, and in three years generated enough savings to transform the district’s $250,000 budget deficit into a $1.8 million surplus.
    • The school district is set to save at least $2.4 million over the next two decades from the solar project.
    • The Batesville school district was the first in the state to go solar after legislation passed in 2018 that permitted both third-party solar ownership 
  • Buncombe County School District in Asheville, North Carolina, has 3.13 MW of solar panels installed at 11 of its schools. The district is expected to save $13 million over the next 30 years, and by 2042, planned to be powered 100% by renewable energy.  
  • In Fall 2024, The Elmer A. Henderson: A Johns Hopkins Partnership School in Baltimore, Maryland was expected to launch a community solar project that would dedicate 100% of clean energy generated to the benefit of an estimated 150 low-to-moderate (LMI) income households in the community.
    • The school system was expected to install an 804 kW rooftop array that would generate enough power to serve up to 150 schools. 
    • Participating households were expected to save up to $200 a year. 
  • Tucson Unified School District in Arizona, the state’s third-largest school district, expects to save $43 million over 20 years from its solar panel installation. 
  • Solar installations at seven schools in Orange County, Virginia, would offset up to 91% of electric usage per school, saving about $130,000 a year and $9.5 million over 35 years.
  • In Heart-Butte, Montana, three-quarters of the energy credits generated by the district’s new solar panels are used to help lower the electric bills of households in the community, which is located on the Blackfeet Indian Reservation. 
  • A school district in Louisa County, Virginia, is forecast to save $8 million in three decades from solar panels. Savings can be used to enhance existing school programs and create new programs.
  • In Wise County, Virginia, schools used the savings from solar panels to pay for a solar apprenticeship program.
  • Solar installations at the North Putnam Community School Corporation in Bainbridge, Indiana, saved $241,895 in its first year and are projected to save the district a total of $8 million over 20 years.
    • The school added 300 kW of battery storage to complement an existing 1.6 MW solar farm, allowing the building to be used as a disaster shelter. 
    • The project created a positive cash flow for the district by reducing electricity bills and selling energy back to the grid. 
  • Atrisco Heritage Academy High School in New Mexico was selected to be a part of a solar and battery storage program that is expected to save the school district over $3.5 million over the next 25 years.
    • The project included 2,200 solar panels to create 1.3-gigawatt hours of energy annually from solar and a battery energy storage system that could store up to 2,884kWh of energy. 
  • In 2011, a school district in Pittsburg, California, was expected to avoid energy costs of over $1 million per year and achieve lifetime cost savings of over $11 million after installing solar panels at 12 district campuses and its support center.
    • The school district installed a battery storage system in 2022 that was expected to save the district $78,000 per year and an additional $50,000-$70,000 in incentives for the first five to seven years of operation.
  • The Steelton-Highspire school district in Pennsylvania installed 3,900 solar panels and was expected to save the district roughly $16,000 per year for the first 13 years and $3.6 million over 20 years. 
  • In 2019, Fairfax County Public Schools, the tenth largest school district in the country, received funding to install solar panels on 87 schools and was expected to see long-term energy cost savings of $60 million. 
  • A three-phase solar project in the Tucson Unified School District in Arizona was expected to save the district $43 million over 20 years. 
  • The Santa Barbara Unified School District was estimated to save a total of $7.8 million over 28 years after installing solar panels across twelve schools, a district office, and a food storage warehouse.
  • A school district in Middleburg, Pennsylvania, installed solar panels to offset 110% of its electricity use. The district was estimated to save $17 million over 40 years. 
  • Solar installations at 12 public schools in Virginia’s Prince William County saved the district $16 million in energy costs over the next 25 years while avoiding 4,005 tons of carbon dioxide emissions.
  • Munday Consolidated Independent School District in North Texas saved over $40,000 yearly on energy costs thanks to an onsite solar project.
  • The Croton-Harmon Union Free School District in New York recovered $1.5 million in the 18 months after it installed an energy-saving project, including rooftop solar and efficiency upgrades.
  • The Bridgman Public School District in Michigan is expected to save about $3 million over the next 25 years by installing a solar array.
  • Solar installations in Roanoke City Public School District in Virginia are expected to have a net savings of $3 million over the first 25 years of the deal.    
  • The Midd-West School District in Pennsylvania became the first school district to offset more energy than used in the United States. The district was estimated to save $17 million over 40 years if the district purchased the system after year five. 
  • The Austin Independent School District in Texas is expected to save $1.2 million a year in reduced energy costs after installing new solar panels. 

• The Inflation Reduction Act allowed schools to cover at least 30% of the cost of solar projects through direct pay tax credits from the federal government. 
• School districts across the nation have seen savings from switching to clean energy:
  • Black River Falls High School in Wisconsin installed a 100-kilowatt solar array of 240 panels. The school district received a 30% tax rebate that dropped the project’s payback rate to 12 years and was expected to save up to $25,000 a year. 
  • Wayne County Public Schools in West Virginia was expected to install the largest K-12 school solar project in Appalachia. By 2025, it was expected to be the first in the state to solarize all school buildings. The district was expected to save $6.5 million over the next 25 years. 
  • In March 2021, savings from installing nearly 1,500 solar panels at a high school in Batesville, Arkansas, resulted in all teachers receiving raises of up to $15,000. The school district saved more than $600,000 in utility costs through the solar installation.
    • The school district is set to save at least $2.4 million over the next two decades from the solar project, enough to transform the district’s $250,000 budget deficit into a $1.8 million surplus.
  • Buncombe County School District in Asheville, North Carolina, installed 3.13 MW of solar panels at 11 of its schools, driving an expected $13 million in savings over 30 years. 
  • In Fall 2024, The Elmer A. Henderson: A Johns Hopkins Partnership School in Baltimore, Maryland, was expected to launch a community solar project to help low-to-moderate income households in the community save up to $200 a year on their utility bills.
  • Tucson Unified School District in Arizona, the state’s third-largest school district, expects to save $43 million over 20 years from its solar panel installations. 
  • Solar installations at seven schools in Orange County, Virginia, were expected to offset up to 91% of electric usage per school, saving about $130,000 a year and $9.5 million over 35 years.
  • In Heart-Butte, Montana, three-quarters of the energy credits generated by the district’s new solar panels were used to help lower the electric bills of households on the Blackfeet Indian Reservation. 
  • A school district in Louisa County, Virginia, is projected to save $8 million over three decades by installing solar panels, which will enhance existing school programs.
  • In Wise County, Virginia, schools utilized the savings from solar panels to fund a solar apprenticeship program.
  • Solar installations at the North Putnam Community School Corporation in Bainbridge, Indiana, saved $241,895 in its first year and are projected to save the district a total of $8 million over 20 years.
  • Atrisco Heritage Academy High School in New Mexico was expected to save over $.35 million on energy costs in the next 25 years thanks to a solar and battery storage program. 
  • In 2011, a school district in Pittsburg, California, was expected to avoid energy costs of over $1 million per year and achieve lifetime cost savings of over $11 million after installing solar panels at 12 district campuses and its support center.
    • The school district installed a battery storage system in 2022 that was expected to save the district $78,000 per year and an additional $50,000-$70,000 in incentives for the first five to seven years of operation.
  • The Steelton-Highspire school district in Pennsylvania installed 3,900 solar panels, which were expected to save the district roughly $16,000 per year for the first 13 years and $3.6 million over 20 years. 
  • In 2019, Fairfax County Public Schools, the tenth largest school district in the country, received funding to install solar panels on 87 schools and was expected to see long-term energy cost savings of $60 million. 
  • The Santa Barbara Unified School District was estimated to save a total of $7.8 million over 28 years after installing solar panels across twelve schools, a district office, and a food storage warehouse.
  • A school district in Middleburg, Pennsylvania, installed solar panels to offset 110% of its electricity use. The district was estimated to save $17 million over 40 years. 
  • Solar installations at 12 public schools in Virginia’s Prince William County saved the district $16 million in energy costs over the next 25 years while avoiding 4,005 tons of carbon dioxide emissions.
  • Munday Consolidated Independent School District in North Texas saved over $40,000 yearly on energy costs thanks to an on-site solar project.
  • The Croton-Harmon Union Free School District in New York recovered $1.5 million in the 18 months after it installed an energy-saving project, including rooftop solar and efficiency upgrades.
  • The Bridgman Public School District in Michigan is expected to save about $3 million over the next 25 years by installing a solar array.
  • Solar installations in Roanoke City Public School District in Virginia are expected to have a net savings of $3 million over the first 25 years of the deal.    
  • The Midd-West School District in Pennsylvania became the first school district to offset more energy than used in the United States. The district was estimated to save $17 million over 40 years if the district purchased the system after year five. 
  • The Austin Independent School District in Texas is expected to save $1.2 million a year in reduced energy costs after installing new solar panels. 

Clean Energy Helps Grow Local Economies 

Clean Energy Supports Local Economic Growth And Good-Paying Jobs In Communities Across The U.S.

• More than 3.5 million Americans were employed in clean energy sectors at the start of 2025.
  • Three times as many Americans work in clean energy today as in oil, gas, and coal combined.
  • Clean energy employment increased by 2.8% in 2024, compared to overall U.S. employment growth of 0.8%.
  • Clean energy jobs have increased by 17% since 2020, resulting in the addition of more than 500,000 new jobs.
• Most clean energy jobs are local by nature, and clean energy companies support a range of secondary jobs in their surrounding communities. 
• In rural areas, the clean energy economy employed over 400,000 people, outnumbering jobs in the fossil fuel industry by more than 82,000.
  • In 21 states, rural areas accounted for more than 25% of the state’s total clean energy employment, and in four states, the majority of clean energy jobs were in rural areas.
  • North Carolina is first in the nation in rural clean energy employment. In 2020, North Carolina had a total of 25,563 rural clean energy jobs, representing 25.6% of all clean energy jobs in the state.
  • Rural counties in Virginia are pivoting from coal to clean energy, creating well-paying jobs in the process.
• Wind turbines increase local incomes by about 5% and house values by 2.6%, with the largest increases in rural areas. 

Clean Energy Projects Can Also Provide Significant Tax Revenue To Local Governments

• Wind and solar facilities delivered over $2.5 billion annually in state and local tax payments and landowner lease payments.
  • In 2021, the clean power industry paid about $1.2 billion in state and local taxes.
  • Land-lease payments for clean power were nearly $1.3 billion in 2021. 
• Nationally, clean power projects paid landowners $1.1 billion in lease payments in 2020, $1.5 billion in property, state, and local taxes, and $323 billion in capital investments.
• Wind projects generated an estimated $761 million each year in state and local tax revenue, which helps to support roads, schools, and a variety of other services.
  • In 2022, the U.S. wind energy industry paid an estimated $1 billion in state and local taxes. 
• In 2018, the wind sector alone paid $1 billion to state and local governments and private landowners in tax and lease payments.
  • Wind projects create a range of economic benefits, especially for rural communities. Landowners who host turbines receive annual land-lease payments, a reliable source of income for farmers and ranchers. 
• Upfront investment in green buildings makes properties more valuable, with a growing number of building owners seeing a 10% or greater increase in asset value. 

State And Local Communities Benefited From Clean Energy Tax Revenue

• In North Carolina, properties that developed solar saw a 2000% increase in tax revenue, growing from $513,000 cumulatively in the year before their projects were constructed to $10.6 million in the year after. 
• A 2020 study projected that wind and solar projects in Texas would generate $4.7 billion and $5.7 billion, respectively, in new tax revenue for rural communities over the projects’ lifetimes.
  • Texas landowners would also see lease payments of between $4.8 billion and $7.3 billion from renewable energy projects.
  • Even in Texas counties where the oil and gas industry has typically provided a significant source of tax revenue, wind energy has contributed a more reliable source of tax.
• Wind and solar projects contributed $16 million in production tax revenue to rural Minnesota counties in 2020.
• In Gratiot County, Michigan, a wind farm generated $4.5 million in tax revenue for the county in just two years.
  • County wind projects have also provided 300 temporary skilled construction jobs and 38 full-time maintenance jobs.
• Cheyenne, Wyoming, received $1.3 million from renewable energy taxes, avoiding a budget shortfall when sales tax revenue dropped due to the COVID-19 pandemic.

The Inflation Reduction Act Helped Local Governments Transition To Clean Energy

• Before Trump and the GOP repealed the IRA, the legislation’s competitive grant programs, local resilience funding, and clean energy tax credits created opportunities for counties and municipalities to invest in clean energy.
  • The IRA allowed counties to elect for a direct payment instead of tax credits for clean energy and clean vehicles, allowing cities to benefit from long-standing clean energy tax credits. 
  • The Greenhouse Gas Reduction Fund established competitive grants for local government projects that would provide financial and technical assistance so that disadvantaged communities can deploy zero-emission technologies or reduce greenhouse gas emissions through private-sector partnerships or community-led efforts. 
  • The IRA established a Low Emissions Electricity Program, which will provide $17 million for outreach and technical assistance to local governments for programs that reduce emissions through domestic electricity generation.
  • Local governments could have received funds for increasing energy efficiency. The IRA appropriated $1 billion for award grants to local governments that adopt the latest building energy or zero-energy codes for residential and commercial buildings. Counties and local governments may receive rebates for electrification projects conducted on behalf of low- or moderate-income households. 
• Local governments with jurisdiction over a port or port authority could have received large grants for port decarbonization, including purchasing or installing zero-emission equipment or technology, planning and permitting for zero-emission technologies, or port climate action planning. 
• Numerous IRA programs also included set-asides for disadvantaged communities and energy communities, areas that meet certain thresholds for fossil fuel investment, to drive equitable funding.  
• In September 2024, the Department of Energy announced the selection of 12 local governments and tribes to receive over $31 million in clean energy project funding through the Local Government Energy Program funded by the IRA.