Trump's plan to eliminate Energy Star could raise utility bills for American families, experts say

Bottom line: The Energy Star program was introduced by a Republican president in 1992. Now, a new Republican administration appears poised to shut it down for good. While the Trump administration speaks of organizational improvements, industry representatives are warning politicians about the dire consequences their actions could have on households budgets.

Internal sources at the Environmental Protection Agency (EPA) report that the administration plans to kill the Energy Star program. After serving as a "gold standard" of sorts for power efficiency in the US and elsewhere in the world, the familiar blue Energy Star label may soon vanish from the market. The reason, US representatives dared to say, is government efficiency.

The Energy Star program was launched by the first Bush Administration in 1992 to promote energy efficiency and help consumers make informed purchasing decisions. It operates through a voluntary partnership between government and industry. According to the EPA, Energy Star is one of the most successful voluntary initiatives in U.S. history, recognized worldwide. Since its inception, it has helped save an estimated 5 trillion kilowatt-hours of electricity and more than $500 billion in energy costs.

EPA figures also indicate that the program has prevented approximately 4 billion metric tons of greenhouse gas emissions by improving the efficiency of energy-hungry appliances. Households that choose Energy Star-certified products can save around $450 annually on utility bills. Every federal dollar spent on the program has resulted in roughly $350 in energy cost savings for businesses and consumers.

So why is the Trump administration eliminating the successful Energy Star program? According to Molly Vaseliou, acting EPA Associate Administrator for Public Affairs, the agency is undergoing a "phase of reorganization" aimed at improving air, water, and land quality for all Americans. However, this plan includes cutting both the Office of Transportation and Air Quality and the Office of Radiation and Indoor Air, the very departments responsible for managing Energy Star.

Vaseliou claims that ending Energy Star specifications will contribute to making Americans safer. But Steven Nadel, executive director of the American Council for an Energy-Efficient Economy (ACEEE), argues that the decision will only drive up energy bills for American families. Without access to clear efficiency standards, consumers will struggle to identify the best products for their needs and budgets.

Killing Energy Star specifications will make Americans safe again, Vaseliou suggests.

According to Steven Nadel, executive director of the American Council for an Energy-Efficient Economy (ACEEE), getting rid of the program will just raise the energy bills of American families. With no access to basic specifications about energy efficiency, customers will have no easy way to choose the best offer they can get for their needs and their home budget.

Eliminating the Energy Star program will also undermine numerous energy efficiency and rebate initiatives run by utilities, states, and federal agencies, according to the ACEEE. In a recent letter to the EPA, nearly 1,100 companies and organizations urged the Trump administration to continue funding Energy Star for the foreseeable future.