When it comes to heating our homes, many people worldwide have no other option during the cold winter. Whether they choose an energy source of wood, gas, electricity, or another option depends on various factors, including location. In the United States, most people heat their homes with an energy-efficient furnace powered by gas or electricity. However, some still rely on burning wood or coal.

Regardless of the fuel source, heating properties can be an expensive endeavor. Not only is the equipment a costly investment, but many furnaces – especially older models – are not as energy efficient as property owners would prefer, causing fuel bills to rise while they are in use. Since heating is hardly optional when temperatures drop below freezing levels, choosing the most efficient furnace is in every property owner’s best interest.

Likewise, the U.S. Department of Energy has a vested interest in conserving the energy used by people around the country. It sets standards for various equipment and appliances, requiring that they meet minimum efficiency standards and other metrics. Periodically, the DOE revises these standards in its efforts to boost Americans’ energy conservation.

What are the current energy efficiency standards for furnaces, and will they increase more in the future? How do they affect HVAC professionals and property owners? Read on for these answers and more.

History of Energy-Efficient Furnaces

Americans have been heating their homes in one form or another throughout history. Still, it’s only been in recent decades that legislation has regulated furnace efficiency. California enacted the first standards in 1974. The following year, the federal government established policies for consumer product test procedures, labeling, and energy targets. In 1979, the government amended the Energy Policy and Conservation Act to direct the DOE to design energy conservation standards for consumer products, including furnaces and other HVAC equipment.

It took a few years, but the National Appliance Energy Conservation Act of 1987 eventually established minimum efficiency standards for household appliances like furnaces. At that time, Congress set the first federal standards for an energy efficient furnace. Changes included a rule that new furnaces be at least 78% efficient, creating a schedule for the DOE to review and update the standards in future years.

Congress made multiple attempts to increase the minimum efficiency of furnaces further over the years, but most were either amended or blocked. In 2007, through the Energy Independence and Security Act, the DOE raised the minimum efficiency for new furnaces from 78% to 80%. That’s when things got a little tricky.

At the time, most furnaces on the market already met the went into effect in 2015. Therefore, the changes wouldn’t drive much difference in the market. Lobbyists pressured Congress for even more stringent standards, especially in climates with greater furnace use. As a result, Congress divided the country into regions and proposed new regional standards: 90% in cooler climates but just 80% in warmer climates. That rule, however, was also challenged, leaving the national standard at 80% until the present day.