Press Release

U.S. House's Repeal of Energy-Saving Investments Would Raise Household Costs

March 30, 2023
Energy Efficiency Policy

Washington, DC—The American Council for an Energy-Efficient Economy released the following statement from Steven Nadel, its executive director, in response to the U.S. House of Representatives passing HR 1, which would repeal key energy efficiency and electrification investments from the Inflation Reduction Act:

“This bill would leave many Americans continuing to live in homes with outdated heating equipment, poor insulation, and high energy costs.

“This is a repeal of investments that enable households and businesses to make energy-saving improvements. It’s a repeal of funding for low-carbon technologies in low-income and disadvantaged communities. It’s a repeal of job training programs.

“We have to help families and businesses reduce energy costs, and we have to reduce climate pollution rapidly. This bill does the opposite. Fortunately, it has no chance of becoming law.”


HR 1 includes provisions that would repeal the following energy efficiency and electrification investments from the Inflation Reduction Act:

  • Greenhouse Gas Reduction Fund. This $27 billion program funds competitive grants to states, tribes, cities, and nonprofit organizations to provide financial and technical assistance for projects to deploy a potential wide variety of energy efficiency and other emission-reducing measures across sectors. Most of the funds are for use in low-income and disadvantaged communities.
  • High-Efficiency Electric Home Rebate Program. A $4.5 billion program, to be administered by states, will provide rebates to low- and moderate-income households to install heat pumps and other efficient electric equipment, also providing funds for insulation, air sealing, and upgrading electric service and wires.
  • State-Based Home Energy Efficiency Contractor Training Grants. This $200 million program provides training and education to contractors involved in the installation of home energy efficiency and electrification improvements.
  • Assistance for Latest and Zero Building Energy Code Adoption. This provision provides $1 billion to help states and cities adopt and implement strong building energy codes, reducing greenhouse emissions and costs for building owners and tenants.

HR 1 would also block the Department of Energy from finalizing proposed energy efficiency standards for gas and electric stoves. These standards would ensure that manufacturers use design features from today's better-performing models in all new gas and electric stoves and ovens, reducing consumers' utility bills and planet-warming emissions. The proposed standard would not prohibit gas stoves; nearly half of the total gas stove market already meets the proposed efficiency level, including all entry-level models.

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