DOE Throws Cold Water on Biden Legacy

by Greg Walcher on January 22, 2025

Headlines this week claimed that “Heading Out the Door, Biden Seeks to Ban 40 Percent of Water Heaters.” It is highly unlikely that President Biden is even aware of the last regulation published by his Department of Energy (DOE). Though he supported their green agenda over the past four years, most details have been left to his appointees at DOE and their environmental industry allies.

This last rule was pushed out during the holidays, another federal rule restricting another of the most common household appliances, hot water heaters. Almost half of the water heaters in America are powered by clean-burning natural gas, and tankless water heaters are becoming increasingly popular, the trend in new home construction because they save so much space. The new rule zeroes in on those, ratcheting up “energy efficiency” standards to a level such water heaters do not meet. The result would be, beginning with sales in 2029, a ban on gas tankless water heaters. Despite the White House’s denial, that would eventually phase out existing water heaters, too, as they inevitably wear out and need replacement. New electric tankless models are estimated to cost $450 more, and that’s on top of the $2,800 increase in water heater prices caused by other already-implemented DOE rules.   

Confronted by angry consumer groups, DOE referred to the proposal as “long-awaited standards,” because Congress required appliance standards to be reviewed every six years. That does not mean, of course, that Congress authorized or directed the department to ban stoves, furnaces, water heaters, or other gas appliances. Even DOE acknowledges that it has no such statutory authority, so it relies on a consent decree it signed as part of a lawsuit settlement with a friendly environmental group.

That has become an all-too-common work-around when agencies want to implement rules without legal authority, such as DOE regulating the amount of gas, electricity, and water that appliances can use. Courts are increasingly hostile to such assertions of authority where Congress did not explicitly grant it. Last year the Fifth Circuit Court of Appeals ruled that DOE has no authority to regulate water use by dishwashers and washing machines, and it is likely this latest rule will face similar scrutiny if left standing.

The White House has tried to claim consumers will ultimately save on heating bills because of the new rule, though the obvious goal is to reduce CO2 emissions, not save money. The higher up-front cost of new electric water heaters is very real, though. And it is just the latest – and hopefully last – example of appliance regulations that drive up consumer costs.

The Alliance for Consumers now estimates that such appliance regulations promulgated during Biden’s term have increased the cost of items the average family needs by $9,166. That includes new standards that drove up furnace prices by $494, washing machines by $200, air conditioners by $1,100, dishwashers by $225, and stoves anywhere from $800 to $3,200. Even the cost of ceiling fans and light bulbs has been pushed up by regulations. 

The good news is that these new rules will likely be rolled back by the new Administration. There is reason to expect that, because the earlier Trump Administration moved to roll back Obama-era appliance standards, too. That began with getting DOE to create a new category of dishwashers and washing machines that completed their cycle in less than an hour – like all machines once did before there were DOE “efficiency” standards. Trump’s DOE leaders called that new category, to which they applied different efficiency standards, a “recognition of cycle time as a valuable consumer utility.” That led to the Fifth Circuit ruling that DOE had no authority to limit the use of water by those appliances.

Trump’s incoming Secretary of Energy, Colorado’s Chris Wright, is expected once again to roll back these new rules, though at least some economic damage will have been done. Biden himself continues to pledge that the government will pursue its climate commitments, though he clearly does not fully understand the relationship between hot water heaters and climate, if indeed there is any relationship.

That may be the real tragedy of DOE’s attempts to ban everyday appliances – its overreaching and sometimes illegal efforts are part of the bad feeling left in the wake of Biden’s nanny state buttinsky-ism. He may not understand why Americans are so tired of government intrusion in every aspect of their lives. But it is his reputation that will suffer, not the DOE bureaucrats whose names the public doesn’t even know.

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Do It Now, Even If It’s Wrong

by Greg Walcher on January 14, 2025

My grandparents were avid card players, spending many happy hours with family playing hearts, rummy, pinochle, and similar games. I remember occasionally, when Grandma was a little frustrated that someone was taking too long, she would say, “Well play something, even if it’s wrong.” That’s actually one of the oldest and most reliable strategies, especially in military tactics, explained by the famous 18th Century Prussian General von Clausewitz as, “It is better to act quickly and err than to hesitate until the time of action is past.”

Modern presidents have certainly taken that advice to heart, knowing the “time of action” ends at the end of their term in office. But there is a difference between being decisive and being just plain rash. Former Intel CEO Andy Grove is quoted saying, “Leaders have to act more quickly today, because the pressure comes much faster.” But last-minute actions by outgoing leaders are arguably much less about responding to fast-moving pressure than about avoiding public scrutiny. The tactic is on display at the end of every American president’s term.

Last week President Joe Biden established a new National Monument in Maine, at the 57-acre home of the late Labor Secretary Frances Perkins. It is the 433rd addition to the National Park System, the tenth created by Biden, including an Indian boarding school in Pennsylvania, a 1909 schoolhouse in Texas, and Camp Hale in Colorado – not just the historic 1,400-acre army training camp, but 53,000 additional acres at the Continental Divide where there is no development threat.

Also in December, the Interior Secretary created five new National Historic Landmarks, none of which were voted on by Congress. At the same time, EPA set a deadline for the removal of lead pipes all across America, as well as a new series of fines for methane emissions from oil and gas wells. And the Energy Department is racing to sign 28 new contracts totaling $37 billion for electric vehicle and other green technology subsidies.

Biden may be trying to set a new record for last-minute executive actions. For 20 years, Jimmy Carter held that record, signing 26 executive orders during his last 3 weeks that added 24,500 pages of new rules to the Federal Register. Bill Clinton issued 12 orders during his last 90 days, but added over 30,000 pages, another new record not yet surpassed. Those included new national monuments, federal hiring rules, “ergonomic standards” dictating detailed office chair requirements, and an order that banned new roads on nearly 60 million acres of public lands, effectively walling off vast swaths of land from grazing, logging, energy exploration, mining, off-road recreation, and other uses.

Last-minute actions have become common. Lyndon Johnson issued 9 executive orders in his last 3 weeks, Gerald Ford 17, Ronald Reagan 5, George H.W. Bush 6, Bill Clinton 12, George W. Bush 4, Barack Obama 7, and Donald Trump 14. Many of Trump’s were rescinded by Biden, as has also become common for incoming presidents (Reagan froze the last two months of Carter’s executive orders). 

Nor is Biden finished yet. In addition to his new all-time record number of pardons and commutations, his appointees are also rushing to finish regulations to ban menthol cigarettes, set new housing standards, raise minimum wages for childcare workers, and reportedly more than 130 others – possibly including a couple more national monuments.

None of these are responses to crises of any kind, unless you think the end of Biden’s term is a crisis. There is no other deadline making such actions urgent. Some of these late-night regulations may withstand public scrutiny – and transparency is among America’s most important governing principles – but waiting until the end of an Administration to publish them is designed specifically to avoid public debate. Executive Orders, almost by definition, are used by presidents to implement policies they could not get Congress to enact by law, through the democratic republican process we all learned in school.

The new president ought to do two things about it. He should rescind all the rules, regulations, and orders issued during the previous few weeks, and he should vow not to repeat the practice at the end of his own term. This system has become routine but needs to end. Important policies deserve public thought, input, debate, and consensus, not surprise edicts.

Grandma was able to hurry things along by suggesting the slow player “Do something, even if it’s wrong.” But the stakes were low in her card games (no money at all). Not so in government.

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