Energy Efficiency Reform Act of 2026
Sponsored By: Senator Lee, Mike [R-UT]
Introduced
Summary
Tight limits on DOE energy-efficiency rulemaking. This bill would sharply constrain how the Department of Energy sets conservation standards by imposing firm deadlines, higher evidentiary tests, and a new product-class and venting-category framework.
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- Families and households: It would protect consumer-valued features like reliability, sizes, fuel type, and installation methods and bar standards that remove a product's major functions. Amended standards would generally apply to products made at least 5 years after a final rule and not earlier than 10 years after the prior standard's compliance date.
- Manufacturers and small producers: The bill raises the burden to change standards by requiring "clear and convincing" evidence for petitions and pushes many petition-related actions to a minimum of 6 years after a final rule. It narrows reporting to new or changed models and forces harmonized data submissions with the electricity commission and the Environmental Protection Agency.
- States, utilities, and specific equipment makers: It preempts state or local limits on fuel use or installation choices and bars any new or amended federal standard for distribution transformers after enactment. The bill also defines "significant energy savings" as at least a 10% full fuel cycle reduction over 30 years, which sets a higher threshold for many future standards.
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Bill Overview
Analyzed Economic Effects
6 provisions identified: 1 benefits, 1 costs, 4 mixed.
New energy-savings rules and timing
If enacted, amended energy standards would only apply to products made after five years from the final rule's publication. No amended standard could require compliance sooner than ten years after the prior compliance date. Petitions to change standards would generally have to wait six years and must contain clear and convincing evidence. The bill would define "significant energy savings" as at least a 10% reduction over 30 years in full fuel cycle energy use. DOE could publish an RFI within one year after a final test procedure is issued.
Limits on DOE authority and disclosures
If enacted, DOE would need clear and convincing evidence to adopt a less-stringent standard or allow more energy use, and reasons would be narrowly defined. DOE would have to publish a finding that a proposed standard will not make certain product features unavailable in the U.S. The bill bars standards that would remove a product's major function, including fuel type. DOE would also have to disclose meetings from the prior five years with entities that had substantial ties to the People's Republic of China before issuing a standard.
New DOE rule deadlines and limits
If enacted, DOE would have to issue a final procedures rule within 270 days of enactment. Appendix A to 10 CFR part 430 would have the force of law starting 181 days after enactment. Any final test procedure would have to be published at least 180 days before DOE could propose a related energy conservation standard. If DOE missed the 270-day deadline, certain prior revisions to part 430 would become void the next day. Two specific DOE rules on consumer furnaces and commercial water heaters would be null and void on the date of enactment.
Product classes and transformer ban
If enacted, DOE would have to create product classes when products use a different kind of energy or have performance features that justify different standards. New classes tied to performance or venting would need an NPRM with a precise definition and at least 60 days for public comment. DOE would have to protect consumer-valued features like reliability, lifetime, sizes, installation and fuel type. DOE could not set new or amended energy conservation standards for distribution transformers starting on enactment.
Preempting state fuel-use rules
If enacted, federal rules would block state and local laws that prevent installation or use of covered products based on fuel source or emissions. States and municipalities could not require removal or substitution because of a product's fuel type. If a federal standard is revoked, the prior federal standard would remain in effect and states could not fill the gap. This preemption would apply to all state and local governments, including home-rule cities and special districts.
Harmonized manufacturer reporting rules
If enacted, manufacturers would only have to report new, changed, or revoked models and test-related changes. DOE, FERC, and EPA would use a single harmonized submission and share the data securely. Component makers, not finished-product makers, would submit component information. FERC and EPA could not demand separate reports unless they explain why.
Sponsors & CoSponsors
Sponsor
Lee, Mike [R-UT]
UT • R
Cosponsors
There are no cosponsors for this bill.
Roll Call Votes
No roll call votes available for this bill.
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