MxM News

Quick Hit:

The Environmental Protection Agency is planning to shut down its long-standing Energy Star program, which has certified energy-efficient appliances for over three decades. The move is part of a sweeping agency reorganization that also includes eliminating the climate change office and other environmental initiatives not mandated by law.

Key Details:

• EPA officials announced the dismantling of the Energy Star program in a staff meeting on May 6, 2025.
• The agency is eliminating its climate-related divisions, including those overseeing Energy Star and greenhouse gas reporting.
• The move is framed as part of a broader restructuring to prioritize statutory obligations and reduce government overreach.

Diving Deeper:

In a significant shift for federal environmental policy, the Environmental Protection Agency will eliminate the Energy Star program, a popular certification used to identify energy-efficient home appliances like refrigerators, dishwashers, and dryers. Internal documents and a recorded staff meeting reveal that EPA leadership is dismantling entire divisions focused on climate change and voluntary energy initiatives.

Paul Gunning, director of the EPA’s Office of Atmospheric Protection—which is also being cut—told staff the agency would “de-prioritize and eliminate” all climate-related work outside of what’s legally required. The Energy Star program, created in 1992 under President George H.W. Bush, has helped save American households and businesses over $500 billion in energy costs and prevented billions of metric tons of greenhouse gases from entering the atmosphere.

Supporters argue the program has been a bipartisan success story. Nearly 90% of U.S. consumers recognize the Energy Star label, and manufacturers have long relied on it to market efficient products. Even the U.S. Chamber of Commerce and major industries, from lighting to food-equipment makers, have urged the EPA to keep it in place. A joint letter in March from dozens of trade organizations to EPA Administrator Lee Zeldin warned that ending the program would not benefit Americans.

Critics of the move, like Paula R. Glover of the Alliance to Save Energy, say the Energy Star program costs just $32 million annually but delivers $40 billion in utility bill savings. “Eliminating the Energy Star program is counterintuitive to this administration’s pledge to reduce household costs,” she said. Glover added that with electricity demand set to rise 35–50% by 2040, energy-saving measures are more important than ever.

The Biden-era EPA heavily prioritized climate policy and environmental regulation, often blurring the lines between environmental stewardship and bureaucratic overreach. In contrast, the current administration—under 47th President Donald Trump—is refocusing the agency toward its statutory mission, aligning with the broader conservative agenda of streamlining government and cutting redundant or ideologically-driven programs.

While Trump previously attempted to defund Energy Star during his first term, the effort failed amid bipartisan concern that privatization could lead to lowered standards. The current plan appears to accomplish the same goal through internal restructuring, cutting not just Energy Star but programs related to methane emissions reduction, climate science, and policy.

Notably, the agency’s largest union has cried foul over how the reorganization was handled. Marie Owens Powell, its president, accused the agency of “union busting” after being blocked from attending reorganization meetings. Staff have been told they may be reassigned or let go as the EPA scales back to staffing levels not seen since the Reagan administration.

For an agency that has long served as the regulatory spearhead for the left’s climate agenda, this realignment could represent a return to core environmental functions—clean air and water—while removing the taxpayer burden of subsidizing climate-centric programs with questionable returns. The decision also signals a shift away from corporatist alliances that prop up select industries under the guise of energy policy.