Why Utility Stability Matters and How CAP-HC’s Programs Help
Utility stability—reliable access to affordable electricity, heating, and other basic services—is a fundamental cornerstone of health, safety, and economic stability. But for Minnesota families with low incomes, keeping the lights on and the heat running is a monthly financial challenge. Families with low incomes face impossible choices each month: pay for heat and electricity or pay for food, medicine, and other essentials. Rising energy prices over the last several years make utility stability even more difficult as choices between basic needs become even more dire.
Rising Energy Costs and Increased Energy Burdens
Nationwide, residential energy expenditures have been rising. In recent years, average monthly electricity bills have climbed significantly, rising roughly 30% between 2021 and 2025. This trend has continued into 2026, driven by inflation, aging infrastructure, and other systemic costs that utilities pass on to customers. As a result, millions of households have seen higher utility bills and increased risk of service disconnection.
As energy costs rise, families with limited incomes are among the hardest hit. More is spent to heat and provide power for the home, leaving less for essentials like food, medical care, and other basic needs. Researchers refer to this as high energy burden.
Energy burden is the average annual housing energy costs divided by the average annual household income. According to the American Council for an Energy Efficient Economy (ACEEE), energy burden above 6 percent is considered a high energy burden. In Minnesota, research shows that households with low incomes average an 8 percent energy burden with some facing energy burdens exceeding 30 percent.
This financial strain has real consequences that deepen the cycle of poverty:
- Economic instability — consistently high utility bills erode savings and increase debt
- Housing insecurity — falling behind on utility bills can put families at risk of disconnection or eviction
- Health and safety risks — lack of heat in the home or being unhoused during the coldest months of the year can exacerbate chronic conditions and lead to other medical emergencies
How CAP-HC’s Programs Support Utility Stability
Community Action Partnership of Hennepin County (CAP-HC) has two programs that help families with low incomes reduce their energy burden.
Energy Assistance Program
CAP-HC administers the Energy Assistance Program (EAP) for residents of Hennepin County. EAP helps income-eligible households reduce their energy burden with assistance grants paid to utility providers.
- The program operates October 1-May 31, coinciding with Minnesota’s Cold-Weather Rule that limits disconnections during the colder months.
- Program eligibility is based on gross household income, with limits that vary by household size.
- Grants are paid directly to utility providers on behalf of qualifying residents.
- Households facing utility disconnection, dangerously low fuel levels, and other emergencies can qualify for crisis assistance of up to $600.
- Reduced energy burden helps families stay current on payments and lowers the risk of shut-offs in months when heating is critical to the health and safety of household members.
- Reduced energy burden also helps people shift a larger portion of household income from utilities toward food, medicine, childcare, and other basic needs.
Energy-Related Repair Program
Beyond helping with urgent bills, CAP-HC also offers an Energy-Related Repair Program (ERR), which helps income-eligible homeowners make their homes safer and more energy efficient in the long term by repairing or replacing malfunctioning heating systems.
- This program also operates October 1-May 31.
- Homeowners must be eligible for EAP to receive ERR services.
- CAP-HC coordinates with licensed technicians to make repairs/replacements in homes.
- Repairing or replacing a broken heating system helps improve home safety, improve energy efficiency, and reduce energy burden on an ongoing basis, especially in older homes.
Real-Life Benefits
For Hennepin County residents with low incomes, utility bills aren’t line items in the family budget. They’re foundational to the family’s health, safety, and economic survival. Rising utility costs can quickly consume a larger share of limited incomes, forcing hard choices between essential needs. CAP-HC’s Energy Assistance and Energy-Related Repair Programs translate directly into real-world benefits:
- Lower bills mean less debt and more financial breathing room.
- Reduced risk of utility shut-offs means increased housing stability and fewer health and safety risks.
- Energy system repairs improve efficiency and lower costs, extending assistance benefits for years.
Together, these programs promote not only utility stability, but overall financial stability and health, too. CAP-HC helps thousands of households reduce their energy burden each year, so that families can focus on long-term goals rather than daily survival. Because no one should have to choose between heat or food.
Sources: “5 Big Reasons Why Electricity Prices Are So High Right Now,” January 2026, TIME; “Minnesota Energy Data Dashboard,” May 2022, Department of Commerce; QuickFacts: Hennepin County, Minnesota, U.S. Census Bureau