Bill Overview
Title: To amend the Energy Policy and Conservation Act to modify the definition of water heater under energy conservation standards, and for other purposes.
Description: This bill modifies the definition of water heater , otherwise revises energy conservation standards, and sets forth labeling requirements for water heaters. In addition, it directs the Department of Energy to determine whether electric storage water heaters should possess demand response capabilities.
Sponsors: Rep. Dingell, Debbie [D-MI-12]
Target Audience
Population: People impacted by water heater energy standards
Estimated Size: 334000000
- The bill modifies the definition of 'water heater' under energy conservation standards, which will primarily impact manufacturers and sellers of water heaters as they need to comply with the new standards and labeling requirements.
- Consumers will be indirectly affected as they may see changes in the availability, features, and possibly the prices of water heaters.
- The legislation may also impact the energy usage and bills for households that use water heaters, as new standards could lead to more energy-efficient products.
- Demand response capabilities could affect consumers' energy costs and the resilience of the electric grid by potentially reducing peak demand.
- The water heater market is significant worldwide, affecting a wide range of demographics who use water heaters in residential, commercial, and industrial settings.
Reasoning
- The impact of this policy is primarily on manufacturers and retailers, but there is an indirect impact on consumers who utilize water heaters.
- Energy-efficient standards typically lead to long-term cost savings, which could improve consumer wellbeing if initial costs are manageable.
- Households with electric water heaters could have varied impacts based on their current equipment's compatibility with new standards or demand response capabilities.
- Since this policy focuses on water heater standards, it affects nearly every household indirectly, given the ubiquitous nature of water heaters in homes across the U.S.
- Budget limitations necessitate focusing policy benefits on energy savings, which will be more evident over time rather than immediately impacting all consumers at once.
Simulated Interviews
Water heater manufacturer representative (New York, NY)
Age: 35 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 5.0 years
Commonness: 5/20
Statement of Opinion:
- This policy is a necessary step towards greater energy efficiency but comes with upfront costs for compliance.
- Our company will need to adjust production processes, and there may be initial layoffs.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 8 | 6 |
Apartment renter (San Francisco, CA)
Age: 28 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 10/20
Statement of Opinion:
- If the policy leads to reduced energy bills, that would be great, but I'm worried about rent increases if landlords pass on upgrade costs.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 5 |
| Year 2 | 5 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 5 |
| Year 10 | 6 | 5 |
| Year 20 | 7 | 5 |
Homeowner (Austin, TX)
Age: 50 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 0.0 years
Commonness: 8/20
Statement of Opinion:
- The policy is likely to make electric heaters more efficient, but I hope it also encourages similar improvements for gas heaters.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 7 | 7 |
| Year 20 | 7 | 7 |
Plumber (Columbus, OH)
Age: 43 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 6/20
Statement of Opinion:
- New standards typically increase business as more households need to replace old units with compliant models.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 8 | 6 |
Environmental advocate (Miami, FL)
Age: 60 | Gender: female
Wellbeing Before Policy: 8
Duration of Impact: 20.0 years
Commonness: 4/20
Statement of Opinion:
- I'm thrilled to see policy pushing for more energy-efficient standards. This is a crucial step for environmental protection.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 9 | 8 |
| Year 5 | 9 | 8 |
| Year 10 | 9 | 8 |
| Year 20 | 9 | 8 |
Electronics engineer (Seattle, WA)
Age: 38 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 20.0 years
Commonness: 3/20
Statement of Opinion:
- Integrating demand response in water heaters opens a new market for smart devices. This policy might boost our industry.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 9 | 7 |
| Year 5 | 9 | 7 |
| Year 10 | 9 | 7 |
| Year 20 | 10 | 7 |
College student (Chicago, IL)
Age: 26 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 0.0 years
Commonness: 12/20
Statement of Opinion:
- I'm more worried about tuition and rent than my water heater's efficiency, but lower utility fees in the future would help.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 5 |
| Year 2 | 5 | 5 |
| Year 3 | 5 | 5 |
| Year 5 | 5 | 5 |
| Year 10 | 5 | 5 |
| Year 20 | 5 | 5 |
Property management company owner (Denver, CO)
Age: 45 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 15.0 years
Commonness: 7/20
Statement of Opinion:
- This policy will require initial investments in upgrades, but long-term savings from efficiency will be worth it.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 8 | 6 |
Renewable energy researcher (Portland, OR)
Age: 32 | Gender: other
Wellbeing Before Policy: 8
Duration of Impact: 10.0 years
Commonness: 2/20
Statement of Opinion:
- The demand response capability is innovative. It could really help stabilize energy grids and promote sustainability.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 9 | 8 |
| Year 5 | 9 | 8 |
| Year 10 | 9 | 8 |
| Year 20 | 9 | 8 |
Retail worker (Philadelphia, PA)
Age: 39 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 15/20
Statement of Opinion:
- Any reduction in bills due to energy-efficient water heaters is warmly welcome. I just hope costs don't rise upfront.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 7 | 6 |
| Year 20 | 8 | 6 |
Cost Estimates
Year 1: $100000000 (Low: $50000000, High: $150000000)
Year 2: $85000000 (Low: $45000000, High: $125000000)
Year 3: $75000000 (Low: $40000000, High: $110000000)
Year 5: $50000000 (Low: $30000000, High: $80000000)
Year 10: $30000000 (Low: $15000000, High: $60000000)
Year 100: $0 (Low: $0, High: $0)
Key Considerations
- Implementation and operational costs for new standards and labeling requirements.
- Effects on manufacturers' compliance and adaptation to new standards.
- Potential growth in consumer preferences for energy-efficient products.
- Long-term environmental benefits from energy conservation.