The Trump Administration Confirms It Wants to Privatize Energy Star

Industry leaders are opposed to the EPA eliminating its Energy Star program, which is behind the familiar labeling on energy-efficient appliances.

Energy Star

Paul Sakuma/AP

The Trump administration wants to privatize the popular Energy Star program, which sets government standards for energy-efficient appliances, Environmental Protection Agency administrator Lee Zeldin confirmed Tuesday.

“This program is an example of one that can be run outside of government,” Zeldin told House members during a budget hearing. “I’ve actually had multiple entities reach out to EPA over the course of the last few weeks, because they want to take over Energy Star.”

Reports in early May that the EPA was considering plans to stop running Energy Star immediately drew sharp pushback from home appliance manufacturers, like those that make water heaters, boilers, and HVAC systems.

“Because the Energy Star brand is highly recognizable to consumers, it is likely that, should the program be eliminated, it will be supplanted by initiatives that drive results counter to the goals of this administration such as decreased features, functionality, performance, or increased costs,” industry officials wrote in a May 6 letter challenging the EPA’s moves.

“To ensure a lasting legacy and preserve consumer choice in appliances while reducing burden, it is important that the administration retain the program and work with ENERGY STAR partners, like our members, to develop commonsense improvements to it,” industry members wrote.

In a statement to NOTUS, The Air-Conditioning, Heating, and Refrigeration Institute said it supports Energy Star continuing as a government-run program, but added that should the EPA stop running it, AHRI may be interested in assuming the responsibility.

“While it is true that we support the continuation of Energy Star as a government program, if it were to cease as such, it is not beyond the realm of possibility that we would be interested in running it. We do not currently have plans to do so, although we do independently test and certify the energy efficiency performance of the equipment that qualifies as Energy Star,” said Francis Dietz, a spokesperson for the air conditioning, heating, and refrigeration industry group.

The program is so ubiquitous that more than 90% of Americans recognize the brand — an Energy Star logo that appears on appliances that meet the government’s standards — and consumers have saved more than $500 billion on energy costs since the program was created, the EPA estimates.

Zeldin questioned those numbers Tuesday.

“I would happily and eagerly find out from inside the the agency how they have previously calculated that figure,” he told the House panel. “I anticipate they are taking credit for a lot more than they should.”

Congress has no power over the program because it wasn’t created by statute, and so the EPA can do what it wants with Energy Star without a rulemaking or law change, Zeldin said in response to questions from Florida Rep. Darren Soto Tuesday. EPA created Energy Star in 1992 to encourage energy-efficient technological developments and to help consumers recognize efficient appliances.

Zeldin likened the Energy Star program to the LEED standards, which are a privately managed set of green building standards for energy efficiency, water conservation, and other climate-friendly practices, and suggested that Energy Star could become similar.

“Congress never created the program,” he said, citing the cost of the staff as a reason for removing it from the agency.


Anna Kramer is a reporter at NOTUS.