New Brattle Report Finds Beneficial Electrification Delivers Billions in Savings to US Households

­Harnessing the benefits of electric technology over the last decade saved US households between $5.6 to $8.8 billion in 2023 alone and prevented more than 63 million tons of CO₂ between 2016 and 2023, according to a new report from The Brattle Group.

Commissioned by the Beneficial Electrification League (BEL), A Decade of Beneficial Electrification: Progress and the Path Ahead analyzes the extent to which electrification has delivered across four categories over the past decade: saving consumers money, benefiting the environment, improving product performance, and fostering a stronger electric grid.

"Our research demonstrates that electrification progress has delivered substantial, tangible benefits to households and businesses," said Ryan Hledik, Principal and Regulatory Economics, Finance & Rates Practice Co-Leader at Brattle and coauthor of the report. "As the power sector now confronts the challenges of rapid load growth, learnings from the past decade will be essential to maintaining and expanding those gains."

Key findings from the report include:

• Cost Savings: Adoption of electric vehicles (EVs) and heat pumps collectively saved US households between $5.6 to $8.8 billion in 2023 alone.
• Environmental Benefits: Electric technologies are often more energy efficient and have lower emissions than their combustion-powered counterparts; this emissions gap widens as the grid becomes cleaner. By switching to EVs and electric heat pumps, Americans avoided more than 63 million tons of CO₂ during the eight-year period between 2016 and 2023.
• Grid Strength and Flexibility: Adoption of behind-the-meter and grid-responsive electric technologies has increased in the past decade. These controllable technologies are able to respond to real-time power system conditions, helping optimize grid operations and investments. Today, US demand response capability is roughly the equivalent of 270 combustion-based peaker plants.
• Consumer Satisfaction: 80% of users are satisfied with their heat pumps, and nearly 95% of EV owners are likely to consider purchasing another EV for their next vehicle.

"The Brattle report provides the strongest data to date on how electrification, when deployed strategically, can lower energy bills, improve the environment, and bolster grid reliability," said BEL President Keith Dennis. "As the nation seeks ways to curb rising energy costs and meet soaring electricity demands, beneficial electrification is a proven solution that offers something for everyone." 

A Decade of Beneficial Electrification: Progress and the Path Ahead was authored by Mr. Hledik, Managing Energy Associate Dr. Long Lam, and Energy Associate Dr. Cristina Crespo Montañés.