NEADA Survey Details Impacts of Unaffordable Energy

The first national study of the effect of energy costs for poor families shows an alarming impact on basic needs, the National Energy Assistance Directors' Association (NEADA) announced April 26. Among the findings in the NEADA study: over 25 percent of families in the survey sacrificed medical care, failed to make a rent or mortgage payment – and 22 percent went without food for at least a day.

"This report shows that families who can't pay their home energy bills not only can't keep the family warm – they have agonizing problems keeping them fed or healthy," said Mark Wolfe, Executive Director of NEADA, in releasing the study. "The survey shows clearly that LIHEAP works," Wolfe added, pointing to figures that showed the number of recipients spending over 25 percent of their income on energy declined by two thirds with LIHEAP help. "It's a great program. The problem is we only had enough money to help 13 percent of those eligible," he said.

Among the findings of the study:

Impact on Health: 22 percent of LIHEAP recipients went without food for at least one day, 38percent went without medical or dental care, 30 percent went without filling a prescription or taking the full dose of a prescribed medicine, 21 percent became sick because their home was too cold, 7 percent became sick because their home was too hot, and 5 percent reported that an illness resulted in a doctor or hospital visit. Of growing concern, 20 percent of recipients said that they were not able to pay their energy bills due to medical expenses.

Impact on Shelter: 28 percent of LIHEAP recipients did not make a rent or mortgage payment, 9 percent reported that they moved in with family or friends, 4 percent were evicted, and 4 percent were homeless.

Some LIHEAP recipients faced life-threatening challenges: 17 percent of LIHEAP recipients were unable to use their main source of heat due to discontinued utility service or an inability to pay for fuel, and 8 percent had their electricity shut off due to nonpayment.

Even with LIHEAP families have to take drastic actions to pay their energy bill:

78 percent reduced basic expenses for household necessities to afford their energy bill 30 percent used their kitchen stove for heat
51 percent paid less than their entire home energy bill

A copy of the report abstract, executive summary and complete report be downloaded on the NEADA website – www.neada.org

Page Last Updated: December 7, 2005