Staff Reports
In a bold move against the Biden administration, the American Gas Association, which represents over 200 energy companies providing natural gas to 180 million Americans, has taken a stand against new regulations on gas-powered furnaces. The AGA, alongside several trade associations and one manufacturer, filed a lawsuit arguing that the new rules would outlaw many furnace models still in use by American consumers, potentially impacting a staggering 60 percent of furnaces. The ruling would raise the required efficiency ratings of new furnaces from 80 to 95 percent, effectively eliminating non-condensing gas furnaces as consumer options.
Biden Admin’s Natural Gas Crackdown Runs Into Legal Challenge: ‘Increased Costs with Little Environmental Gain’ pic.twitter.com/Val4RH9jq8
— The Liberty Loft (@thelibertyloft) December 20, 2023
These new regulations spell trouble for American households, with the AGA predicting that more than half of American households would be affected, leading to higher costs for senior households, small businesses, and low-income households. The Department of Energy, however, claims that the new rules will save Americans $570 billion and reduce greenhouse gas emissions by over 2.4 billion metric tons over the next 30 years. Sounds impressive, right? But let’s put that into perspective. With U.S. greenhouse gas emissions totaling 6.34 billion metric tons in 2021 alone, the impact of these regulations over the next 30 years amounts to less than one-fifth of 1 percent. In other words, it’s a drop in the bucket.
AGA President and CEO Karen Harbert didn’t hold back, stating that the American families with natural gas heat would be “saddled with increased costs with little environmental gain” if these new rules go into effect. And she’s not wrong. The DOE’s final rule effectively bans the sale of non-condensing natural gas furnaces and would force consumers to choose between retrofitting for electric with increased monthly utility bills or engaging in costly and time-consuming renovations for a different type of natural gas furnace. It’s a lose-lose situation for American families and small businesses.
President Joe Biden’s energy secretary, Jennifer Granholm, predictably tried to point the finger elsewhere, shifting the blame for the impacts of the new regulations to Congress. Let’s be real here: when was the last time Congress made a decision without being heavily influenced by the White House? It’s all a game of smoke and mirrors. The AGA had tried to work with the Department of Energy to address the rule’s impacts on consumers, but their efforts were summarily ignored, leaving them no choice but to take legal action.
The natural gas industry has already been making strides in driving down emissions and paving the way for a cleaner energy future, with natural gas utilities collectively spending almost $1.6 billion on energy efficiency programs in 2020. These efforts resulted in total savings of at least 325 million therms of energy and 1.7 million metric tons of greenhouse gas emissions. The industry is doing its part to reduce emissions without the heavy-handed regulations imposed by the Biden administration.
