Helping create a path to equitable decarbonization in the Upper Midwest

October 11, 2024 by Shannon Stendel

The Upper Midwest leads the country in quite a few areas—dairy farming, architectural innovation, great fishing, and of course, exceptionally cold weather. Homeowners and renters dealing with these freezing temps often find it difficult to keep the chill out during the winter months, especially in older homes.  

To meet this challenge, motivated communities are looking into ways to deploy residential decarbonization pilots and demonstration projects while addressing the needs of all residents. This is particularly true for Justice40 communities who don’t always have the resources available to make energy-efficient improvements to their home.

While there are barriers to retrofitting existing residential buildings in the Upper Midwest, the U.S. Department of Energy (DOE) created the Building America program to address these kinds of hard-to-solve technical challenges of decarbonizing the U.S. housing stock.

Barriers to decarbonizing residential buildings in the Upper Midwest

Homeowners and contractors in cold climates have many factors (economics, environmental impacts, comfort, and fuel security) to consider when switching from natural gas heating to ASHPs (air source heat pumps):

Each home or building has unique retrofit needs and solutions and every homeowner has different project goals.  
Economic decisions, like high upfront costs and potentially higher utility bills which need to be balanced with environmental and fuel security priorities—like having back-up heating fuel or eliminating heating load directly reliant on fossil fuels.
Ensuring an equitable decarbonization rollout that positively impacts all residents, including those in Justice40 communities and in Minneapolis Green Zones

Overcoming these barriers can have a huge overall net gain for people in the Upper Midwest, by addressing environmental injustice, improving health and quality of life, and decreasing energy costs.

A shot of downtown Minneapolis from across a snowy bridge

About the project:

Slipstream will serve as the research lead on a new Building America demonstration project funded by the DOE that will test ways to deploy scalable decarbonization in residential properties. We’ll be collaborating with the Center for Energy and Environment (CEE) and Elevate—along with manufacturer partners and the University of Wisconsin-Madison—and combining our breadth of experience to expand technology research and small-scale pilots to address the scaling challenges of decarbonizing existing residential housing. We’ll start in Minneapolis and create a path for other areas in the Upper Midwest to deploy retrofit programs at scale that meets the needs of residents in all communities.

It’s complicated to plan a residential retrofit while also navigating homeowner and contractor needs—not to mention also managing various trade partners. The residential retrofit industry currently has many proven envelope and heat pump technologies, but few business models support this type of custom planning per project.   

However, there’s currently unprecedented funding through incentives from federal, state, and local governments and utilities for envelope improvements, heat pumps, and water heaters. Minneapolis is delivering programs that aligns closely with this work, including serving Justice40 communities and designated Minneapolis Green Zones. This research is able to build off that momentum and infrastructure.    

 Our Building America work will develop decision-making tools, methods, and training for practitioners (auditors and contractors) to incorporate building envelope improvement—with a focus on Justice 40 communities and designated Minneapolis Green Zones. Additionally, we’ll be able to share insights gained with market partners through forums such as the B4 Conference and the Midwest Air Source Heat Pump Collaborative.  

A major component of this demonstration study will be engagement with key groups and stakeholders:

  • Auditors and contractors: to develop and test tools to support them in integrating envelope retrofits with heat pump upgrades.
  • Rental property owner groups and community-based organizations: to understand the impacts of decarbonization-focused business models on customer decision-making. Decarbonization programs funded by the City of Minneapolis.  
  • Residents/homeowners: to identify participants for our field data collection and analysis, along with qualitative data on their experience with heat pumps.

Our overall goal is to develop decision-making tools and a process for auditors and contractors to use with building owners to increase the percentage of owners who implement optimal decarbonization solutions. We expect to see initial project scope results at the end of 2025, although our partnership lasts through 2028.

Related resources:

Improving heat pump commissioning with connected diagnostics

Barriers to advancing efficient fuel switching in Minnesota

Dual fuel heat pumps: advancing beneficial electrification

Pembroke Township: Community-driven electrification

Align & Activate: The power of state and regional collaboratives

Field Test of Integration Controls for Ductless Minisplit Heat

Healthy, affordable housing for all: It's the right thing to do