President’s Budget Eliminates (LIHEAP) – Low Income Home Energy Assistance Program

(March 23, 2017) — In yesterday’s “NPGA Report,” the National Propane Gas Association noted that in President Donald Trump’s recently released budget proposal, the document detailing the White House’s spending priorities for the upcoming fiscal year, would increase defense spending by $54 billion. This is paid for by cutting a commensurate amount from discretionary, domestic spending. It is important to note that this budget is only the President’s suggestion. Ultimately, it is up to Congress to debate and pass the country’s budget and spending bills.

One major program of interest to the propane industry is that this budget proposes to eliminate is the Low Income Home Energy Assistance Program (LIHEAP). LIHEAP assists low-income families and seniors with their energy bills. In 2016, the LIHEAP program received $3.39 billion. This reflects a reduction from its high funding level of $5.1 billion in 2010. This reduction has already forced states to cut benefits, and the zeroing out of this program will result in its closure, shifting pressure to the states to cover this gap. Many low-income customers rely on this program to help with their propane deliveries during the winter heating season.

The budget also calls for the elimination of the EnergyStar program, the voluntary energy efficiency program that allows high efficiency products to bear a specific logo to help consumers identify these products in the marketplace.

The National Propane Gas Association (NPGA) will continue to examine the President’s budget. It marks the beginning of the fiscal discussion by policymakers for the upcoming year. We will continue to work with Congress to ensure that the budget supports the needs of the propane industry and our customers.