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HomeProductsСommercialDOE Conservation Standards

new conservation standards

Navigating Department of Energy’s Changes

New conservation standards for commercial gas water heaters take effect October 6, 2026. Enforcement of civil penalties begins October 6, 2027.

On April 24, 2026, the U.S. Department of Energy (DOE) issued an enforcement policy stating it will not seek civil penalties concerning violations of the certification and/or energy conservation standards for gas-fired commercial water heaters and hot water supply boilers manufactured on or after October 6, 2026, but before October 6, 2027, effectively resulting in a 1-year delay of the compliance date of the new standards. While the standards remain in effect and the enforcement policy may be rescinded at any time, Rheem Commercial is here to help you navigate through the upcoming changes to enable you to make choices that fit your long-term needs.

Equipment current amended standards
Gas Fired Storage
TE = 80%
SL = Q/800 + 110(Vr)1/2
TE = 95%
SL = 0.86*(Q/800 + 110(Vr)1/2)
Gas-Fired Instantaneous
TE = 80%
SL (≥10gal) = Q/800 + 110(Vr)1/2
TE = 96%
SL (≥10gal) = (Q/800 + 110(Vr)1/2)
Residential-Duty Commercial Gas-Fired Storage
Medium Draw Pattern
UEF=0.6002-(0.0011xVr)
Medium Draw Pattern
UEF=0.8702-(0.0011xVr)
High Draw Pattern
UEF=0.6597-(0.0009xVr)
High Draw Pattern
UEF=0.9297-(0.0009xVr)

What to Expect

Lower Carbon Emissions
According to the DOE, the adoption of these standards will reduce carbon emissions by 38 million metric tons between 2026 and 2055.
Reduced Utility Bills
Businesses may experience lower utility bills.
Phase out of Non-Condensing Water Heaters
Non-condensing water heaters, which allow excess heat to escape through venting are targeted for phase out.
Installation Complexity
Replacing older water heaters will most often mean replacing the venting.

High-Efficiency Products and Training

As the industry adapts to these changes, Rheem Commercial Water is with you Every Step of the Way with products and training to help you through the transition.
Have questions or want to receive updates? Complete the form today.

Compliant Product Solutions
High-efficiency condensing products capture and utilize the latent heat energy from the combustion process that would otherwise be wasted, resulting in improved overall efficiency. Rheem Commercial Water offers the following high-efficiency products that are compliant with the new regulations.
ROI Calculator
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