CEI leads coalition letter urging Congress to end Biden rule against tankless water heaters

Today the Competitive Enterprise Institute sent a coalition letter to the House of Representatives urging an end to the Biden administration’s crackdown on gas-fired instantaneous (tankless) water heaters used by many consumers. The letter calls on Congress to vote on a resolution of disapproval under the auspices of the Congressional Review Act (CRA) that would void the Biden Energy Department (DOE) rule.

Rep. Gary Palmer (R-AL) introduced the resolution H.J. Res. 20 on which the House is expected to vote Thursday, February 27.

“The DOE itself estimated that its new standards would raise the cost of compliant water heaters by $231,” the coalition explained. The actual cost could be nearly twice that amount, according to one outside estimate.

Unfortunately, some manufacturers of water heater types relatively unaffected by the rule lobbied for the rule and now against H.J. Res.20, the letter points out. “However, it is not the proper role of federal regulators to pick winners and losers and hand an advantage to some manufacturers at the expense of others, especially when consumers pay the price in the form of reduced choices and potentially higher prices.” 

Tankless water heaters provide hot water as needed and thus do not require a storage tank. Though less common than conventional tank storage water heaters, some consumers prefer them for their smaller size and generally lower operating costs. Without action by Congress, the Biden Department of Energy (DOE) issued standards in December, 2024 for tankless water heaters that will effectively outlaw them by making them prohibitively expensive.

View the letter