If you are one of the homeowners that was receiving these subsidies, this cut is going to hurt, especially with energy prices at all times highs. However, rather than discuss the pros/cons of the action, I wanted to look at a different segment of homeowners and how they are addressing the financial strain that home energy costs place on their bank account.

We are finding that many people are adopting high efficiency wood-fired central heating as a means to stem the flow of monies out the door to pay for heating their home. People with access to money or a loan — use that money to pay for high-efficiency wood furnace and then pay back the loan from the annual savings on their oil bill. This is pretty clever, and kudos to the local banks who provide these types of loans.

Now back to the LIHEAP contingency budget. What if that same loan-based approach was applied to the families and homeowners that currently receive funding or might be on the cusp of needing money from the program?

From a policy perspective it’s the “teach a man to fish parable” — the choice between a our tax dollars paying for foreign oil for 1 day of warmth, versus those dollars staying in our country and providing warmth year after year. The program has an incredible opportunity to reduce our dependence on imported energy, one low-income family at a time.

To learn more about LIHEAP in your area, visit the State Grantees website.

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I am not against short-term subsidies, but the money being discussed begs the question — “Isn’t there a better way?” The same families that require the help this winter will most likely require the same help next year when fuel oil prices are even higher. Have we really made in any progress? We may have bought ourselves a little time, but that is all.

Of course the time we buy this winter will not save us for next winter — all of the wonderful energy projects being discussed on the national scene — wind farms, new oil production, solar power are years from widespread realization. So what is the answer?

Basically, there are two things that can be done aside from turning down your thermostat:

Improve home energy efficiency — sixty percent of the nergy used in the home is in the heating system. Insulation, weather stripping, and programable thermostats are just a few of the ways to reduce the fuel requirement in the home. In those regions of the country that are facing a crisis, why not make these improvements a requirement of, or even better yet, part of any fuel subsidy.

Move to a cheaper fuel source — In hard hit rural and small towns, wood or pellet fired systems are a viable option. Now, take that $750 subsidy and apply that to buy-down the interest rate on a loan or even better yet, provide a government guaranteed low interest loan. Imagine what that would do for to make a new wood/pellet heating system affordable AND provide a long-term solution to the heating dilemma. This type of program has been available in Europe for quite some time, so why are we so slow in exploring them?