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Donald Trump, known for his aversion to regulations that restrict water and energy usage by home appliances, has frequently addressed this topic at campaign rallies. His strong feelings on the matter were evident when, amidst global market concerns over his tariff plans, he issued an executive order titled “Maintaining Acceptable Water Pressure in Showerheads.”
The president’s complaints extend beyond shower fixtures to include dishwashers, toilets, and LED lightbulbs, claiming they either use excessive electricity or do not perform adequately to meet his standards.
During his first term, Trump attempted to dismantle these regulations, facing opposition from both industry and environmental groups due to their effectiveness in reducing energy and water consumption, as well as lowering emissions and consumer costs. However, his initiatives saw limited success due to legal barriers, and the subsequent Biden administration quickly overturned his actions.
Trump’s executive order on showerheads drew attention, but its impact seems minimal compared to other developments outside the Oval Office. With support from Elon Musk’s Department of Government Efficiency (DOGE) team, Trump might aim to undermine regulations by canceling a critical Department of Energy contract with Guidehouse LLP. This contract, vital for maintaining efficiency standards, was reportedly terminated, causing significant disruption.
The potential cancellation of this contract has led to confusion among appliance manufacturers, government officials, and contractors responsible for regulation enforcement. Experts suggest that this could severely disrupt the government’s efficiency standards program due to the loss of technical expertise and testing facilities provided by Guidehouse.
George Washington University law professor Emily Hammond highlighted the potential impacts, stating that the Department of Energy (DOE) lacks the capacity to manage the program without external support, which could severely impair the agency’s regulatory capabilities.
Josh Greene of A.O. Smith expressed concerns over the possible termination of the Guidehouse contract, suggesting it could create a chaotic market environment detrimental to American manufacturing and consumers.
The DOE has not clarified the situation publicly, and inquiries to multiple relevant parties, including Guidehouse, have gone unanswered.
The U.S. government’s efficiency standards, originating from the 1975 Energy Policy and Conservation Act, necessitate the DOE to establish rules regarding energy and water use for various appliances. These regulations, which undergo extensive evaluation and consultation, include an “anti-backsliding” provision that prevents the weakening of finalized standards.
Opponents of these rules criticize them for infringing on personal freedom and limiting product choice. However, the standards are credited with significantly reducing energy and water consumption while still offering consumers a variety of satisfactory options.
Despite legal restrictions, Trump attempted to bypass these efficiency standards through various administrative maneuvers during his first term. However, most manufacturers did not adopt his proposed changes, and the Biden administration eventually reversed these efforts, implementing new, stricter appliance rules supported by both industry and consumer groups.
On resuming office, Trump quickly issued executive orders to overturn Biden’s efficiency standards. However, many of these regulations were beyond the scope of immediate change due to legal constraints.
Energy Secretary Chris Wright supported Trump’s cause by postponing several Biden-era mandates, citing them as restrictive and costly. Wright’s list included only one household regulation about tankless, gas-fueled hot water heaters that could be legally challenged.
Tankless gas water heaters represent a small portion of U.S. sales, with a focus on economic efficiency. However, the rules for these appliances were vulnerable to reversal through legislative means due to their recent implementation.
Wright has publicly stated that reversing the rule for these heaters supports consumer freedom, though the underlying beneficiary is primarily Rinnai, a Japanese company that produces these heaters and potentially faces business impacts from the new standards.
Rinnai, with administration backing, has campaigned to overturn these standards through lobbying and legislative action. Competing manufacturers, like A.O. Smith, oppose such rollbacks, arguing it unfairly favors foreign manufacturers over U.S. companies committed to developing more energy-efficient solutions.
Energy Secretary Wright announced a review of DOE’s energy standards processes, potentially reintroducing procedural hurdles reminiscent of the first Trump administration.
Trump’s attempts to modify showerhead regulations were largely symbolic, as manufacturers show little interest in exceeding existing limits. Ultimately, if the DOGE team’s efforts to cancel the Guidehouse contract succeed, this could have more significant regulatory consequences than other executive actions.