New Energy Efficiency Rules to Save Americans $570 Billion Over 30 Years

New norms to also cut 2.4 billion greenhouse gas emissions in the same period


The U.S. Department of Energy (DOE) has announced final energy efficiency rules for 16 product categories to help Americans save $570 billion in utility bills and cut greenhouse gas emissions by over 2.4 billion metric tons cumulatively over 30 years.

The new standards will translate to a yearly utility bill saving of $652 million. They will be in effect from 2027.

The U.S. Congress has proposed these new standards for dishwashers, beverage vending machines and electric motors.

The DOE expects businesses in the U.S. to save approximately $464 million every year on energy bills by adhering to the new regulations on electric motors.

The consumers will save up to $8.8 billion in utility bills over 30 years of shipments and reduce carbon dioxide emissions by 91.7 million metric tons (MMT) —an amount roughly equivalent to the combined annual emissions of 20 million gasoline cars.

Electric motors convert electrical energy into mechanical energy and are commonly used in manufacturing and processing equipment.

The standards for dishwashers will help American citizens save $168 million annually. Consumers are likely to save nearly $3 billion in utility bills over the ensuing 30 years of shipments and reduce carbon emissions by 12.5 MMT— an amount roughly equivalent to the combined annual emissions of 1.6 million homes.

DOE also expects the new rule to save 240 billion gallons of water yearly, equivalent to the water in 360,000 Olympic-sized pools.

U.S. Secretary of Energy Jennifer M. Granholm said, “With today’s announcements, DOE is making rapid progress to strengthen outdated energy efficiency standards—as directed by Congress and in coordination with our industry partners and stakeholders—and support healthier, safer communities for the American people.”

The proposal for beverage vending machines will help American businesses cut their energy costs by $20 million annually.

The standards will save consumers $330 million in utility bills over 30 years of shipments while reducing carbon emissions by 3 MMT.

Last November, DOE launched the Energy Efficiency and Conservation Block Grant program, which provides $550 million in renewable energy funding for 2,700 diverse communities in the country. Under the program, the department funds 50 U.S. states, five territories, the District of Columbia, 774 Tribes, and 1,878 local governments.

In a report last year, the International Energy Agency said energy efficiency actions taken since 2000, such as investments in building insulation and efficient cars, had ensured that the energy bills in IEA countries in 2022 were set to be $680 billion less than what they would have been otherwise.