SOURCE: SBI

SBI

August 26, 2009 11:44 ET

Government Funding of Energy Efficiency Programs Generates Growth in $21 Billion Energy-Efficient Home Remodeling Market

NEW YORK, NY--(Marketwire - August 26, 2009) - Supporting energy efficiency as a way to decrease U.S. dependency on foreign fuels and reduce greenhouse gases moved to center stage in 2009. In the one year alone, the Obama administration has provided more money to advance energy efficiency programs across the board than in the last 10 years combined. Going into 2010, portions of this vast sum of energy efficiency money will also be matched by each state, further growing the pool of available funds for the initiative.

This huge surge of funding supports the U.S. energy-efficient home renovations market in a big way, according to "Energy-Efficient Home Renovations Market, Part 2: Appliances & Lighting" by leading industrial market research publisher SBI. The report cites the Congressional Budget Office's (CBO) expectations that the newly available funding will generate an estimated $6 billion in remodeling work by the end of 2010, all of which is energy efficiency related according to the provisions of the funding.

SBI projects the energy-efficient home renovations market, which reached an estimated $21 billion in 2008, to experience a compound annual growth rate (CAGR) of 15% from 2009 to 2013, growing 50% faster than the U.S. renovations market as a whole. Ultimately, SBI forecasts energy-efficient renovations will total $35 billon and progress from claiming 12% of the overall home renovations market to 15% in the five years to 2013.

Growth in two prominent product segments, energy-efficient appliances and lightening, is expected to mirror the overall energy-efficient home renovations market. SBI projects that both segments will achieve a CAGR of about 13% for the five-year forecast period.

"With remodeling to improve a home's energy efficiency over buying a new home emerging as the preferred option in today's market, more and more homeowners will undoubtedly take advantage of the benefits of the tax credits offered by the stimulus plan for installations of energy-efficient appliances and lighting," says Shelley Carr, publisher of SBI.

"Energy-Efficient Home Renovations Market, Part 2: Appliances & Lighting" is the latest installment in a three part series. The report highlights two specific home improvement product segments: energy-efficient appliances and lighting fixtures (including bulbs). Along with analyzing the economic factors affecting the energy-efficient home remodeling market, the report explores the trends that are driving renovations and examines the market potential of energy-efficient home renovations in the U.S. through to 2013.

The remaining reports in the Energy-Efficient Home Renovations series are available throughout 2009. Published in July, Part 1 explores the market for energy-efficient doors and windows, caulking and weather stripping, and insulation used in home renovation projects. Part 3, scheduled to publish later this year, explores energy-efficient heating and cooling systems and the growing trend of energy-efficient roof renovations. For further information, visit: http://www.sbireports.com/redirect.asp?progid=71175&productid=2287648.

About SBI

SBI (Specialists in Business Information) publishes research reports in the industrial, energy, building/construction, automotive/transportation and packaging markets. SBI also offers a full range of custom research services. To learn more, visit www.sbireports.com. Find us on Twitter: http://twitter.com/SBI_Reports.

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