Building Product Spotlight: How Aeroseal Can Help Builders Achieve the 45L Tax Credit
Ekotrope partners with stakeholders across the residential construction industry to help them navigate challenges and uncover opportunities. This supports our mission to empower people to drive informed decisions that move our built environment towards sustainability.
To support this effort, we’re introducing a new series where we highlight innovative products that raters and builders can use to optimize the energy performance of new homes. We’re kicking off this series with Aeroseal, a provider of proven air-sealing solutions for HVAC ductwork and building envelopes.
How the Technology Works:
Aeroseal has two primary solutions, Aeroseal HSX for ductwork and Aerobarrier for building envelopes. The Aeroseal HSX technology injects a fog of atomized sealant into pressurized ductwork to seal air leaks from the inside. It relies on a software-based system to continuously measure airflow and leakage throughout the sealing process.
The AeroBarrier solution is similar to Aeroseal HSX but is for sealing the envelope. AeroBarrier uses the pressure from a blower door to force the airborne sealant into gaps and cracks, where it accumulates to block airflow.
Their smart technology is able to find the exact amount of leakage, measure it in real-time and target all of the cracks and holes, all while remaining non-toxic, noninvasive, and durable. Both products provide air leakage readings that are powered by Retrotec hardware, to meet RESNET and other industry standards.
How to Model in Ekotrope RATER:
Modeling homes that use Aeroseal HSX and/or Aerobarrier will be no different in practice from a traditional HERS rated home.
Homes with Aeroseal HSX will show results in tested distribution systems under the mechanical tab of Ekotrope.
Aerobarrier will directly impact the tested infiltration rate underneath the infiltration tab.
Both of these solutions have the potential to improve Blower Door and Duct Leakage testing results.
Usage Rates:
While the product has high adoption when building codes or incentive programs have tight duct and/or building envelope air leakage requirements, by combing through our HERS data we’ve found some major opportunities for builders to leverage these services. We decided to look more closely at the opportunity to increase the number of homes qualifying for the 45L Tax Rebates by using Aeroseal's technology.
Analyzing the 45L Tax Credit Impact:
To earn the 45L Tax Credit, homes must meet the requirements of ENERGY STAR (ES) v3.1. This includes meeting both an ERI (performance) target as well as completing the mandatory checklist. You can read more about the 45L Tax Credit requirements here as well as the updated guidance here.
We looked at two different ways builders leave money on the table regarding the 45L Tax Credit; one being meeting the performance target and the other is completing the mandatory checklist
To do this analysis, we used our Scenario Modeling tool to determine the impact Aeroseal HSX and Aerobarrier will have on a home. We split this analysis into 3 product combinations:
Aeroseal HSX
Aeroseal HSX and Aerobarrier with a 3.0 ACH50
Aeroseal HSX and Aerobarrier with a 1.5 ACH50
Impact on the ENERGY STAR v3.1 Performance Target Results:
We took a sample of over 80,000 HERS-rated homes across the country and of those, nearly 30,000 of those homes did not pass the ES 3.1 performance target.
Upon adding Aeroseal to these homes, 25% more homes in the Southwest passed the performance target and, in Texas, there was an increase of 13%.
Taking that a step further by adding Aerobarrier with 3.0 ACH50 to Aeroseal HSX, we saw even better results. The percentage of passing homes increased by:
39% in the Southwest
23% in the Southern Mountain West
21% in the Northern Mountain West
17% in Texas
Lastly, when we added Aerobarrier with an ACH50 of 1.5 with Aeroseal HSX, the percentage of passing homes increased by:
46% in the Southwest
36% in the Southern Mountain West
30% in the Northern Midwest and New England
28% in the Northern Mountain West
24% in Texas
17% in the Midwest, Mid Atlantic and Northeast
For builders having trouble passing the performance target for the 45L Tax Credit, leveraging Aeroseal’s technology could help. This is particularly true for builders in the Southwest, Mountain West, and Northern Midwest.
Impact on the ENERGY STAR v3.1 Mandatory Checklist Results:
As we discussed during our State of the Industry Webinar back in July, the new requirements for the 45L Tax Credit have posed a challenge for builders. This is partly due to the addition of the mandatory ENERGY STAR checklist. Based on our data, a third of HERS-rated homes submitted via Ekotrope in 2023 meet the performance criteria but failed to meet the requirements of the mandatory checklist.
We took that same sample of over 80,000 homes that we used earlier and explored how many of those 80,000 homes pass the performance criteria but do not meet the mandatory requirements. We identified 12,322 homes that pass the performance criteria but do not meet mandatory requirements
Upon adding Aeroseal HSX alone to these homes, the percentage of the 12,322 homes passing both the performance criteria and mandatory checklist increase to:
86% in Texas
43% in the Coastal West
39% in the Southern Mountain West
32% in the Midwest, Mid Atlantic and Northeast
30% in the Northern Mountain West
24% in the Southwest
10% in the Northern Midwest and New England
In summary, our analysis found that including Aeroseal’s technology in new homes can greatly impact that home’s ability to earn a builder the $2500 45L Tax Credit. For raters and builders looking to minimize duct leakage, reduce the energy cost of their projects, and improve indoor air quality all while earning the 45L Tax Credit, you may want to check out Aeroseal.
Interested in Learning More?
If you are interested in learning more about how you can upgrade your air sealing equipment, our friends at Aeroseal are more than happy to help. You can check out their website to get more information about Aeroseal and Aerobarrier or click here to contact them to get more information. Their team would be happy to help and answer any questions you might have.
Aeroseal is a provider of proven air-sealing solutions for HVAC ductwork and building envelopes that ensure compliance with code and performance requirements. The company’s patented technologies have been widely recognized for their ability to reduce energy waste and optimize building and HVAC system performance. With a mission to create healthier, more sustainable buildings, the company has over 200 employees in Dayton, Ohio, who serve contractors, engineers, builders, energy service companies, and building owners. Since 2010, Aeroseal has sealed more than 260,000 buildings – from homes, hospitals, and schools to government facilities, hotels, and offices – worldwide, generating billions of dollars in energy savings.
We hope you enjoyed the first edition of our Building Product Spotlight series! If you have any questions please don’t hesitate to contact us.
