Heat Pump Data

Equity Budget Report

What is equity, and why is it important?

Making the clean energy transition equitable requires commitment and significant resources. Without intentional intervention, disproportionately impacted communities will not have the same level of access to and resources for electrification. Equity is transforming the behaviors, institutions, and systems that disproportionately harm people of color. Equity means increasing access to power, redistributing, providing additional resources, and eliminating barriers to opportunity to empower disproportionately impacted populations to thrive and reach their full potential. These equity approaches are also applicable to other groups such as the elderly and people with disabilities.

Funding and Equity Reporting

For the purposes of TECH Clean California reporting, “equity community” includes several categories that expand upon traditional low-income and disadvantaged community definitions. For programs operating under CPUC decisions (including Aliso Canyon-funded activities), equity eligibility follows CPUC-approved program definitions such as CARE/FERA eligibility, ESA eligibility, low-income thresholds, or Disadvantaged Community (DAC) status.
Funding Source Equity Framework Goal or Requirement Threshold Eligible Criteria
Cap-and-Trade Original TECH Clean California Equity Framework (TECH Equity Customer) Goal 40% Goal* Disadvantaged and hard-to-reach communities; CARE/FERA; low-income; multifamily affordable housing
Statewide / AB 179 TECH Clean California Equity Customer Requirement ≥40% Disadvantaged and hard-to-reach communities; CARE/FERA; low-income; multifamily affordable housing
GGRF / AB 102 CARB Priority Populations Requirement 1 ≥35% Disadvantaged and low-income communities or households; low-income and 1/2-mile from disadvantaged communities
GGRF / AB 102 TECH Clean California Equity Customer Requirement 2 ≥40% Disadvantaged and hard-to-reach communities; CARE/FERA; low-income
Aliso Canyon / AB 157 Aliso Canyon Equity Customer Requirement ≥50% Income Qualified: ≤80% AMI SF; ≥66% occupied Multifamily units ≤80% AMI; categorical eligibility

TECH Clean California incentive levels do not differ for equity communities, and you do not need to meet an equity definition to participate. For information about incentive budgets available to Californians statewide, view our Incentives page.

Terms Used

Residential multifamily properties where a majority of tenants have incomes at or below 60 percent of the area median income (AMI), or that are located in a disadvantaged community as identified by the California Environmental Protection Agency (CalEPA).

CalEnviroScreen is a mapping tool that helps classify California communities that are most affected by pollution and where people are most vulnerable to the effects of pollution. Environmental, health, and socioeconomic information is used to create scores for state census tracts, where a higher score implies a higher pollution burden on an area.

Customers on a CARE/FERA rate or have previously participated in an Energy Savings Assistance (ESA) program.

A census tract that scores in the top 25 percent of CalEnviroScreen 4.0, along with those that score within the highest 5 percent of CalEnviroScreen 4.0's Pollution Burden but do not receive an overall CalEnviroScreen score; all Tribal lands; low-income households; and low-income census tracts.

There are common and separate criteria when defining hard-to-reach for residential versus small business customers. The barriers common to both include a lack of access to program information or low participation in energy efficiency programs due to a combination of language, business size, geographic, and lease (split incentive) barriers. For small businesses, added criteria to the above include business size and leased or rented facilities. For residential customers, added criteria to the above include income, housing type, and designations like disadvantaged communities as defined by CalEPA.

Read the full definition in Section 2.5.2 of CPUC D18-05-041.

Low-income communities are identified based on the income of an area. Households or census tracts with household incomes at or below 80 percent of the statewide median income or with household incomes at or below the threshold designated as low income by the Department of Housing and Community Development's list of state income limits adopted pursuant to Section 50093. Low-income households are priority populations regardless of location.

Eligibility is based on household income verification requirements. Single-Family households are qualified at or below 80 percent of the adjusted area median income for county and household size. Multifamily is low-income if at least 66 percent of occupied living units are at or below 80 percent of area median income, as defined by the California Department of Housing and Community Development.

A method of verifying a participant/ household’s Program eligibility through its participation in certain state or federal programs including CalFresh/SNAP (Supplemental Nutrition Assistance Program), Head Start Income Eligible, LIHEAP (Low Income Home Energy Assistance Program), Medi-Cal/MediCaid, or other agreed upon programs.

Per Senate Bill 535 and Assembly Bill 1550, 35 percent California Climate Investments must be allocated to disadvantaged communities, low-income communities and low-Income households, collectively referred to as priority populations.