New Energy Star Standards Set for Water Heaters

The Department of Energy has set new Energy Star criteria for water heaters, giving American shoppers better information to use before making one of the most important home appliance purchases. The water heater accounts for 17% of the energy consumption in the average U.S. home, ranking third behind heating and cooling, and kitchen appliances (though the living room, filled as many are with electricity-hogging flat-screen HD TVs, are vying for a spot in the top).

The new Energy Star labels, which compare various models and identify the most energy-efficient among them, will debut in January 2009. Even stronger standards will be phased in beginning in September 2010. Buying an Energy Star-labeled water heater in Phase 1 will save the average consumer between $26 and $277 a year, depending on the type of water heater.

The new standards will apply to solar water heaters, advanced drop-in integrated heat pump water heaters, and three gas-fired designs: high-performance storage tank, condensing, and whole-home tankless water heaters.

Within five years, the Department of Energy expects this simple labeling system to influence the market, increase the number of efficient water heaters in use, and ultimately save Americans $780 million in utility costs and prevent 4.2 million tons of carbon dioxide pollution.

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