House Passes Rollbacks of Energy Efficiency Rules and Rebates

The House voted to roll back several green energy policies, including a major appliance rebate created in the Inflation Reduction Act.

The two bills deal with energy efficiency standards administered by the Department of Energy for home appliances. The House has passed several other bills aimed at reducing green energy regulations and mandates passed by Democrats.

House Bill 4758, sponsored by Texas Republican Rep. Craig Goldman, rolls back the $4.5 billion Home Electrification and Appliance Rebates program, created and funded by the Inflation Reduction Act in 2022. It passed 210 to 199 Wednesday morning.

That program offered rebates for low- and moderate-income households to buy energy-efficient appliances. Another part of it offers some training grants for contractors.

Ohio Republican Rep. Robert Latta said it was a "backdoor fossil fuel ban." Republicans say they believe the move will lower energy costs. Goldman and others said during floor debate that green energy rebates increase the costs of building new homes as well.

Latta cited a National Association of Home Builders study that meeting the 2021 International Energy Conservation Code would increase the cost of building a single-family home by $31,000.

But the numbers Latta cited were "flawed and intentionally misleading," said New Jersey Democratic Rep. Frank Pallone, who noted that the study included many updates that weren't required by the code. Green energy advocates have also pushed back on that study.

"Republicans are trying to demonize energy codes that actually save Americans money," Pallone said.

Tuesday, the House passed House Bill 4626 by a vote of 217 to 190. Sponsored by Georgia Republican Rep. Rick Allen, it rolls back the Department of Energy's ability to implement energy efficiency rules that impact stoves, water heaters, dishwashers, and other appliances.

The DOE gained the power to regulate appliances in the 1975 Energy Policy Conservation Act. The bill still allows energy-efficient products but prevents the energy department from creating a new conservation standard "that is not technologically feasible and economically justified."

Allen said after the vote those rules "significantly drove up costs and reduced availability" of appliances.

What is the cause of rising energy costs?

The increased attention to energy costs is one of several larger issues Congress is examining amid an affordability crunch. The two parties have traded blame for what's causing rising costs.

Republicans attacked Democratic-led energy efficiency regulation, while Democrats attacked President Donald Trump's tariff policy.

Trump also announced in his Tuesday night State of the Union address a new "ratepayer protection pledge" that would require data center developers to provide their own power.

Data centers are a frequent target of blame for rising energy costs.