DOE: New efficiency standards could save Americans more than $1 billion per year

Published on August 04, 2023 by Liz Carey

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New efficiency standards announced by the U.S. Department of Energy will save Americans nearly $20 billion over the next 30 years, the agency said in a recent press release.

On July 28, the DOE announced three new energy efficiency actions that the department says will save Americans more than $1 billion on their utility bills each year. The actions, the department said, are its latest steps to promote innovation and reduce costs for American families and businesses through appliance efficiency, as directed by Congress.

“Today’s announcement reinforces President Biden’s efforts to update and strengthen outdated energy efficiency standards that cut costs for working families and businesses while slashing greenhouse gas emissions,” U.S. Secretary of Energy Jennifer M. Granholm said. “This Administration remains laser-focused on promoting innovation that saves Americans money, and we’ll continue to work with our industry partners to improve consumers’ options and increase the reliability and performance of household appliances and critical commercial and industrial products.”

The first efficiency action concerns commercial water heaters and require a change to performance standards centering on condensing technology for new models starting in 2026. The standards for water heaters, the department said, have not been revised since 2003. The standard applies to commercial gas-fired storage, instantaneous and hot water supply boilers, the department said.

Additionally, the department said a final rule for dedicated-purpose pump motors would require that replacement pool pump motors are as energy efficient as the ones commercially available today. The action is estimated to lower utility bills by $738 million annually, and is similar to efficiency standards established in California.

The DOE also released a proposal for consumer boilers that would reduce energy costs by $188 million. Essentially, the standard would require modern condensing technology to provide efficiency gains. If adopted, the new rules would go into effect in 2029.

As of July 28, the DOE had issued proposed or final efficiency standards for 21 product categories so far, actions it said were critical to carrying out Congressional direction for energy saving while increasing reliability and performance in household appliances, as well as commercial and industrial equipment.