Biden’s Energy Dept. suggests stricter regulations for water heaters.
The Department of Energy Proposes New Energy Efficiency Standards for Water Heaters
The Department of Energy (DOE) recently announced a plan to crack down on home hot water heaters, part of a series of proposed rules from the Biden administration on appliances. Critics warn that these rules will limit consumer power, but the DOE argues that they will lead to significant benefits.
The new proposed rule would tighten requirements for water heaters, dictating that most common-sized electric water heaters achieve efficiency gains with heat pump technology and gas-fired instantaneous water heaters achieve efficiency gains through condensing technology, according to a press release from the agency.
According to the DOE, these standards would save consumers $11 billion annually on utility bills and $198 billion over a 30-year period. Additionally, the regulations would reduce greenhouse gas emissions by roughly 500 million tons during the same time period.
Energy Secretary Jennifer Granholm Supports the Proposal
Energy Secretary Jennifer Granholm expressed her support for the proposal, stating, “Today’s actions — together with our industry partners and stakeholders — improve outdated efficiency standards for common household appliances, which is essential to slashing utility bills for American families and cutting harmful carbon emissions.”
She added, “This proposal reinforces the trajectory of consumer savings that forms the key pillar of Bidenomics and builds on the unprecedented actions already taken by this Administration to lower energy costs for working families across the nation.”
While the DOE believes that the proposed standards will accelerate the deployment of electric heat pump water heaters, critics argue that they will force cheaper gas heaters off the market. Non-condensing gas-fired heaters are cheaper, smaller in size, and have lower installation costs.
Representative Thomas Massie (R-KY) voiced his opposition to the proposed rule, stating, “Leave us alone.” He believes that the rule is unlikely to benefit many Americans financially due to the high cost of equipment.
DOE has stated that the new rule would go into effect in 2029 if adopted within the proposed timeline. However, the proposed standards could still be revised after the agency considers public comments and holds a public hearing.
The Biden administration has already finalized or proposed 18 different efficiency standards for various products, including gas stoves, air conditioners, washing machines, and refrigerators. This trend of increasing regulations has raised concerns among experts.
Ben Lieberman, a senior fellow at the Competitive Enterprise Institute, expressed his skepticism, stating, “It seems that almost everything that plugs in or fires up around the house is either subject to a pending regulation or soon will be.” He believes that these rules are often bad for consumers as they restrict consumer choice.
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