Working-class families stand to lose the most if the Environmental Protection Agency follows through on its plan to eliminate the popular Energy Star program, industry insiders warn.
The program offers rebates for a wide range of products, including dishwashers and HVAC systems. It also allows homeowners to claim tax credits for energy upgrades to their homes that they may not otherwise be able to afford.
“These incentives often make the difference in whether someone can afford an energy-efficient appliance,” said Dennis Godynuk of Comfort Appliance Repair in Nashville, Tennessee.
“Without them, the initial cost becomes a major barrier, even if the long-term energy savings are there. In many cases, families might have no choice but to go with less efficient models simply because they’re more affordable upfront. That’s a step backward for both household budgets and environmental progress.”
What is Energy Star and Why Does it Matter?
Launched in 1992 by President George H.W. Bush under the Clean Air Act, the Energy Star label is a trusted symbol for efficient appliances, homes, and electronics. Backed by the EPA and Department of Energy (DOE), it covers more than 75 product categories from dishwashers to HVAC systems.
Consumers who choose Energy Star products save about $450 annually on energy costs, per the Lawrence Berkeley National Laboratory. In 2024, more than 330,000 buildings - nearly 25% of U.S. commercial building floorspace - used the program’s Portfolio Manager tool to track energy, water, and waste.
Energy Star upgrades aren’t just efficient, they’re also a financial win for consumers. Through 2032, homeowners can claim up to $3,200 annually in federal tax credits for energy-efficient improvements, cutting upgrade costs by up to 30%.
A separate Residential Clean Energy credit also provides a 30% tax break for installing solar, wind, geothermal, and battery storage systems, phasing down to 22% after 2032.
If the Program Disappears
It’s not just about appliances. Dr. Naeem Turner-Bandele, Ph.D. and CEO of Latimer Enterprises in Indianapolis, Indiana, says the ripple effects will reach local programs.
“Countless states, local governments, and utilities rely on Energy Star to benchmark energy efficiency and to support their rebate programs,” he said.
“For example, in New York, Con Edison offers a $100 rebate for Energy Star-certified windows and doors. Ameren provides a $100 rebate for Energy Star-certified smart thermostats in Missouri. North Carolina has an $8,000 rebate for an Energy Star-certified electric heat pump as part of the recently launched Home Electrification and Appliance Rebate program.”
“These are only a small subset of the countless examples. Without the Energy Star certification, these rebate programs could fall apart, and homeowners needing the upgrades might never make them.”
Builders Staying the Course
Despite uncertainty, Beazer Homes says its energy-efficiency standards are here to stay.
“Beazer Homes has long been committed to high-performance, energy-efficient construction,” according to a spokesperson from the builder. “Our dedication to energy efficiency has never been driven by any single policy, program, or accolade.”
“Our commitment is deeply rooted in who we are as a company and our promise to build homes that inspire sustainable and healthy living. We will continue working with independent third-party inspectors to assess the performance of the homes we build so we can confidently deliver this promise to our homebuyers.”
"Without Energy Star, buyers could lose a key point of clarity", Godynuk said. The program helps bring consistency and clarity to a very crowded marketplace, he said, and "if the program is scaled back or removed, people may no longer know what to look for."
“Without a trusted standard, it becomes harder for homeowners to make informed decisions,” he said. “On top of that, manufacturers might start cutting corners on energy performance if they’re no longer held to those benchmarks. The result could be a slow erosion of quality and efficiency across the board—something no one benefits from in the long run.”