With federal elections looming in the United States, time is of the essence as Canadian regulators set out to update home appliance efficiency standards to align with the United States, experts say.
Both governments see the value of making everyday home appliances more efficient for cost and emission savings. Natural Resources Canada (NRCan) estimated that its last regulatory update in 2022—Amendment 17—would lead to annual energy consumption reductions of 0.79 petajoules in 2030, increasing to 2.11 petajoules in 2050 “as the sale of more efficient products steadily replaces the pre-Amendment stock.”
Energy savings will bring emissions reductions, and consumers will see their energy costs lowered, added NRCan: “It is estimated that almost C$1.49 billion in cumulative present value energy savings will be realized by 2050.”
Given the close economic ties between Canada and the U.S. across various appliance markets, the two countries signed a memorandum of understanding (MOU) to align their energy efficiency regulations in 2018. NRCan later signed another MOU with the U.S. Department of Energy (DOE), with both countries pledging to collaborate on new efficiency and testing standards “where feasible and appropriate.”
But there’s some question about the where and when. Harmonizing efficiency standards and test procedures with the U.S. would “minimize unintended burden on Canadian appliance and equipment manufacturers and importers, and for most categories would improve Canada’s minimum efficiency standards,” writes [pdf] Efficiency Canada. “However, given Canada’s colder climate and ambitious emissions reduction targets, there are times when the benefits of more stringent minimum energy performance standards (MEPS) in Canada outweigh the costs of not harmonizing with the U.S.”
Efficiency Canada cites the example of furnaces, where Canada adopted the U.S. ENERGY STAR minimum parameter of 95% annual fuel utilization efficiency (AFUE) in 2019, almost a decade ahead of the U.S. compliance date of December 18, 2028.
As the U.S. lagged on efficiency standards during the Donald Trump administration, NRCan aimed to move ahead, initially proposing through Amendment 17 to make ENERGY STAR certification mandatory for all new home appliances in Canada after July 1, 2023, Efficiency Canada writes.
But then, amid pushback from the Association of Home Appliance Manufacturers (AHAM) Canada, and with the possibility of new standards developing across the border, NRCan stalled on MEPs for major home appliances like dishwashers, refrigerator-freezers, clothes washers, and clothes dryers.
At the time, Efficiency Canada’s director of policy research Brendan Haley warned that delaying the updates would result in “more emissions and higher energy costs.” But in August, 2023, NRCan gave notice that “effective dates for these new standards will be aligned with the anticipated effective dates for those in the U.S. and not in 2024, as previously announced.”
New U.S. rules are expected in 2024, with some updates already rolled out for stoves, refrigerators, and freezers in January, and for water heaters in April. An effort to increase standards for dishwashers was struck down by a U.S. federal appeals court.
With the U.S. moving forward, so shall NRCan, which “closely monitors actions taken by the DOE,” a spokesperson told The Energy Mix. “Since the DOE has recently completed final rulemakings for major home appliances, NRCan will initiate amendments to maintain harmonization as promised.”
The spokesperson added that with forthcoming Amendments 18 and 19, “NRCan is considering adding or updating 39 energy-using products in the upcoming years,” including water heaters and stoves.
NRCan did not indicate when those amendments will be finalized. But experts say elapsing time means missed opportunities to lower emissions, and both Canada and the U.S. have looming federal elections that could affect policy and regulation.
“If Canada delays taking action, we risk losing the opportunity to make near-term, tangible, and critically needed improvements to appliance and equipment standards that in some cases haven’t been revised in over a decade,” Efficiency Canada writes. “This risk is heightened by the uncertainty of the proposed U.S. amendments or their Canadian alignment under a potentially different administration in either country.”
