In public housing, energy costs amount to about 40% more per square foot than in private or market rate housing. While differences in occupant behavior may account for some of this disparity, a large portion has been attributed to energy-efficient building construction and maintenance, or in this case lack thereof. Many public housing units were built as inexpensively as possible, resulting in higher long-term operating costs. Issues such as drafty windows, insufficient insulation, older and more energy-guzzling appliances and even wiring issues can stretch renters' already strained budgets with high utility bills.
There are similar findings when comparing the rental market with owner-occupied units. Rented multifamily units show utility costs which are 37% higher per square foot than in multifamily housing that is owner-occupied such as condos or coops. Rental units are less likely to have energy-saving measures such as florescent bulbs, low-flow shower heads and adequate central heating and cooling systems. As a result, low-income households are 25% more likely to use space heaters to supplement or sometimes entirely supply heat and are 50% more likely to use window air conditioning units.
In the private housing market, there are incentives for owners and landlords. Home owners who pay their own utilities will see direct saving from updates such as energy-efficient windows, new appliances, or better insulation. For landlords who require tenants to pay their own utilities, there is little incentive to invest in greater efficiency and pass on lower utility costs to renters. It remains a paradox that those who have the least to spend on housing often end up with much higher utility costs, and the “affordable” rental stock is often coupled with deeply unaffordable utilities. It behooves policy makers and affordable housing advocates to invest in equitable energy efficiency policies and programs to address this deep divide.