Tech & Biz

Cash for Clunkers: Appliance Version Suggested by Scott Stringer

by Jordan Yerman | August 20, 2009 at 11:00 am

1046 views | 24 Recommendations | 4 comments

Manhattan Borough President Scott Stringer has proposed an interesting extenstion to the Cash for Clunkers program: household appliances.

New Yorkers tend not to drive much, but they still use other durable goods, like fridges, washing machines (if they live in an elevator building), and stoves. Most of these appliances are ancient, espeecially in older rentals like walkups and prewar buildings.

For the 77% of Manhattan households (and over half of all city households) who do not have a car, the picture is clear: By limiting the clunkers program to automobiles, urban consumers have been left out of the recovery picture, and the program's impact has been narrowed.

According to the Energy Star website, New York State's average kilowatt-hour electric rate is 64% above the national average, and more expensive than every other state in the nation except for Connecticut Hawaii. Electric rates are even higher in New York City.

The target market here is building management companies, since renters who pay two grand a month in rent are highly unlikely to dip into their own pockets for a new fridge, whereas landlords in the city cut every corner they can.
This type of extension is actually already in the works, according to the Wall Street Journal:

Beginning late this fall, federal rebates will be available for purchasers of high-efficiency household appliances, furnaces and air-conditioning systems. Congress authorized $300 million for the program earlier this year as part of the federal economic-stimulus bill.

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Pythiian1

at 12:37 on August 20th, 2009

Interesting concept though I'm sure many non-New Yorkers will protest and carrying on... It makes sense to give some incentives to the landlords.

It is so true that New Yorkers (city) don't drive much; there are just as many natives who don't even have a driver's license!

Paschen

at 13:19 on August 20th, 2009

There are similar programs in the EU and Japan since the late 80, to help get rid of high energy and or polluting appliances. This was mainly done so the old appliances do not end up on the land fields and pollute there for decades to come.

Had nothing to do with the present bail out, but it was a great success and some of those laws are still in place today.

eastvanray

at 13:38 on August 20th, 2009

Will the insane lust for "free" government handouts ever stop in the US? It is amazing how fast the US public can be sold on socialism! Doesn't anyone believe in working for what you get anymore? Governments are the problem not the solution.

Abby Allan (not verified)

at 15:59 on August 24th, 2009

How about a real cash for clunkers program? People who were irresponsible in buying wasteful vehicles were rewarded with new wasteful vehicles. Replacing a truck with a truck that gets 2 miles per gallon more than the "clunker" is not very efficient, while those with fuel efficient vehicles that are now "clunkers" were excluded from the program. Does this make sense?