Washington, D.C. – The Department of Energy (DOE) finalized new efficiency standards for gas tankless water heaters, which will drive significant energy savings for American households and businesses. The standards will require new gas tankless water heaters to use approximately 13% less energy than today’s least efficient models and will result in $112 life cycle costs savings.

“The new standards are a win for consumers,” says Courtney Griffin, Director of Consumer Product Safety at Consumer Federation of America. “By reducing energy usage and lowering utility bills, these standards help American families and businesses save money while also contributing to a cleaner future.”

The standards are based on joint recommendations from manufacturers and energy efficiency advocates. More than 60% of new units sold are already meeting the new standards. Earlier this year, DOE finalized electric and gas tank water heater standards. DOE estimates that the standards will save American consumers $3.1 billion.

More information about the final standards and its benefits to consumers is available in an Appliance Standards Awareness Project (ASAP) fact sheet.