EPA Rethinking Death Of ENERGY STAR

Following intense backlash from business leaders, bipartisan members of Congress, and industry groups, the EPA is reconsidering the ENERGY STAR program after initially announcing plans to eliminate it in May 2025. EPA Administrator Lee Zeldin has stepped back from terminating the program and is now exploring options to preserve or restructure it, though no final decision has been made yet, according to EPA spokesperson Brigit Hirsch. Alternatives being considered include shifting ENERGY STAR staff and funding to the Department of Energy—which already plays a limited role—or instituting manufacturer fees to help finance the program.

Since the announcement, some staff involved in ENERGY STAR have left, retired, or been reassigned due to agency reorganization and government shutdowns. ENERGY STAR, regarded as one of the most recognizable voluntary efficiency logos, is popular among consumers and manufacturers. The program has reportedly saved households and businesses over $40 billion annually in energy expenses, supporting its continued existence despite budgetary and administrative uncertainty.

Lawmakers, especially the Senate and House Appropriations Committees, resisted efforts to defund ENERGY STAR by proposing to maintain funding for the next fiscal year, indicating strong bipartisan support for keeping the program. The debate may extend further due to federal shutdowns and ongoing agency restructuring, and the future of the ENERGY STAR program remains under review, with possible changes to its funding and administration.

EPA leadership reversed their plan to terminate the ENERGY STAR program primarily due to intense backlash from business leaders, bipartisan members of Congress, and industry groups. Many of these stakeholders pressured the agency to reconsider, arguing that ENERGY STAR is a popular, effective, and cost-saving initiative with strong public recognition; surveys indicate about 90% of Americans are familiar with the label. The program’s supporters—which included appliance manufacturers, retailers, and other major sectors—emphasized its role in promoting efficient products, boosting sales, and saving consumers and businesses over $40 billion annually in energy costs.

Faced with mounting criticism and political resistance, EPA Administrator Lee Zeldin cited the need to be a responsible steward of taxpayer funds and acknowledged legal mandates requiring the EPA and Department of Energy to administer the program under the Energy Policy Act of 2005—a statutory requirement that agency officials had previously overlooked. They also highlighted the unclear economic impact of removing the ENERGY STAR program compared to continuing it but maintained a commitment to managing costs carefully.

The reversal was driven by political, economic, legal, and public relations considerations, rather than environmental objectives alone. The agency is now evaluating alternative funding and management approaches, such as transferring oversight or instituting manufacturer fees.

More information is available here.

David Shiller

David Shiller is the Publisher of LightNOW, and President of Lighting Solution Development, a North American consulting firm providing business development services to advanced lighting manufacturers. The ALA awarded David the Pillar of the Industry Award. David has co-chaired ALA’s Engineering Committee since 2010. David established MaxLite’s OEM component sales into a multi-million dollar division. He invented GU24 lamps while leading ENERGY STAR lighting programs for the US EPA. David has been published in leading lighting publications, including LD+A, enLIGHTenment Magazine, LEDs Magazine, and more.

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