United States. Previously, the current U.S. administration set robust targets for cost savings and reducing climate pollution through efficiency standards.
Experts such as Andrew deLaski, executive director of the Appliance Standards Awareness Project (ASAP), estimates that the Biden administration has already achieved 85% of the goal and may finish the job with "a final push" to the pending standards.
"The Biden administration has made great strides in updating efficiency standards for appliances and equipment that reduce energy waste and save consumers and businesses money. Now it's time to finish the job. A year ago, the administration projected that standards completed during this period would save nearly $1 trillion and reduce greenhouse gas emissions by 2.5 billion metric tons over 30 years. Since then, the Department of Energy (DOE) has completed new standards for water heaters, clothes dryers, and rooftop air conditioners, among other products. The agency has repeated the targets, but has not provided a report on their progress, a gap we are filling here," deLaski said.
Likewise, the ASAP executive stated that, according to the various regulatory analyses of the DOE, it is estimated that the Biden administration has achieved 85% of the goal of meeting the projection of reducing greenhouse gas emissions. Estimates indicate that the standards that have already been approved during this mandate will reduce emissions by 2,100 million metric tons.
"While we were unable to calculate a corresponding figure for progress in cost savings, it is likely to be about 85 per cent, or hundreds of billions of dollars. In other words, the administration has made enormous progress, but it still has work to do. The good news is that the White House has rules in its hands that could more than fill that gap, and it can give the Energy Department the green light to finalize them. These standards are now on hold at the Office of Information and Regulatory Affairs (OIRA), which conducts final reviews before the standards are published," he explains.
Support for initiatives
Many of these potential new standards have substantial backing from product manufacturers. For example, motor manufacturers support potential new standards that cover certain electric motors used primarily in commercial and industrial applications. And commercial and industrial fan manufacturers have been working collaboratively with the DOE for years to develop standards that will drive the market toward better, more efficient fans for applications ranging from ventilation and air circulation in buildings to exhaust systems. Finalizing these two standards would reduce monthly energy bills for businesses such as restaurants, farms, and commercial building owners.
The standards for motors and fans are the two most impactful standards that are pending publication, and their finalization is critical to achieving the goal. These standards have been under review at OIRA since August and September, respectively. Other outstanding regulations of great impact include those for battery chargers, commercial refrigerators, residential boilers, and portable refrigerators.
Under proposed rules for these and four other products — dehumidifiers, ceiling fans, gas-fired instantaneous water heaters, and external power supplies — it could reduce consumer and business utility bills by $8.7 billion annually. While compliant products may cost a little more at first, lower utility bills far outweigh the additional expense. Over 30 years of product sales, the pending standards could also reduce climate-warming emissions by more than 850 million metric tons, more than enough for the Biden administration to reach its projection.
A YouGov poll conducted last summer found that nearly 60% of Americans support stricter appliance efficiency standards, while only 25% oppose them, and the rest don't have an opinion on the matter. A Morning Consult survey conducted in 2023 yielded very similar results.
"The Biden administration must do the work and complete the outstanding efficiency standards," concludes Andrew deLaski, executive director of the Appliance Standards Awareness Project (ASAP).
