For Immediate Release: October 10, 2018

SMUD and D.R. Horton agree to build all-electric homes

Electric utility aims to reduce greenhouse gases through “electrification”

SMUD and top national homebuilder D.R. Horton are teaming up to build 104 all-electric homes in two new neighborhoods. These “all-electric communities” – “Juniper,” which is planned to include 66 homes, and “Independence," which is anticipated to include 38 homes, are both located in North Natomas and will be priced for first-time homebuyers. The homes are included in the SMUD Smart Home program and are part of a broader electrification effort by SMUD, the first of its kind in the USA.

Groundbreaking for the subdivisions began earlier this summer. The model homes are completed, and the communities are open for sale. Construction will continue through 2019. If built as planned, SMUD will provide $466,000 in incentives to D.R. Horton for including appliances and equipment to make the homes all-electric. These include heat pump heating and cooling, heat pump water heating, and induction stoves—appliances that are typically more energy efficient and can deliver lower overall energy bills.

Heat pump water heaters can reduce electricity use by up to 60 percent compared to electric resistance water heaters. Instead of using electricity to create heat, heat pump water heaters use a refrigerant cycle to transfer heat from surrounding ambient air into the hot water tank. They also cool the area where they are located, usually in the garage. Induction stoves may cook 50 percent faster than electric resistance stoves, and often as fast as gas. They also use less energy than traditional electric stoves and offer digital control of the temperature, and they have no open flame. The absence of combustion in all-electric homes may result in greater occupant safety.

These homes will help community-owned SMUD meet its aggressive commitment to reach 90 percent reduction in greenhouse gas emissions by 2050 and surpass the state’s greenhouse gas reduction goals of 80 percent by 2050.

These D.R. Horton homes are part of the SMUD Smart Home program, which offers incentives to builders and developers of up to $5,000 for new single-family homes, and up to $1,750 for new multifamily units, built to be all-electric. The homes must have all-electric appliances and mechanical systems—no gas line in the home, and no gas service at the property—in order to meet the minimum program participation requirements.

SMUD customers who own existing homes in the SMUD service territory can also qualify for up to $13,750 for existing homes that convert from gas to electricity. For example, owners of existing homes may receive up to a $4,500 incentive to replace an existing gas furnace by installing an electric heat pump space heater. A homeowner may receive up to a $3,000 rebate to switch out an existing gas water heater for an electric heat pump water heater.

There are also rebates available from SMUD for traditional efficiency measures such as duct sealing, insulation, and windows.

More information about SMUD’s all-electric conversion incentives and other energy-saving information is available at SMUD.org.

All-electric homes like the model pictured above in the “Juniper” subdivision in North Natomas, include electric appliances that are typically more energy efficient and can deliver lower overall energy bills. The homes will be priced for first-time homebuyers. The homes are included in the SMUD Smart Home program and are part of a broader electrification effort by SMUD, the first of its kind in the USA.