Evaluation
Researchers conducted a randomized evaluation of the Illinois Home Weatherization Assistance Program (IHWAP), which aims to improve energy efficiency in low-income households. The study tested the impact of performance-based pay for contractors implementing air sealing retrofits as part of IHWAP. Contractors were randomly assigned to receive either no bonus, a low bonus (US$0.40), or a high bonus (US$1.00) per unit of air sealing beyond the target. The introduction of performance bonuses led to increased air-tightness in homes, reduced the likelihood of contractors being called back due to deficiencies, and resulted in overall reductions in household energy use.