Category: Energy

As focus on Capitol Hill shifted to appropriations talks this week, The Real Estate Roundtable (RER) and a broad coalition of organizations representing the real estate, consumer products, manufacturing, and retail sectors sent a letter urging congressional leaders to ensure that the ENERGY STAR program remains amply funded in the 2027 fiscal year (FY’27), starting Oct. 1.

Coalition Advocacy

• On Tuesday, the multi-industry coalition requested that House and Senate appropriators include explicit funding for ENERGY STAR in the FY’27 spending bill, in line with FY’26 funding levels. (Letter, April 14)

• The letter also encouraged lawmakers to include strong congressional oversight measures in the legislation, as lead agency responsibilities for the program shift from the Environmental Protection Agency (EPA) to the Department of Energy (DOE). (Letter, April 14)

• In the letter, the coalition recommended that legislators consolidate past funding for ENERGY STAR expressly given to the EPA, plus amounts used by DOE historically to run its portion of the program. (Letter, April 14)

• Congress provided approximately $33 million for ENERGY STAR to EPA in the FY’26 appropriations bill (H.R. 6938), signed into law on Jan. 23, preserving the program through Sept. 30 following earlier reports that it could be privatized or defunded. (Roundtable Weekly, April 3)

• Though President Trump’s FY’27 budget request, released this month, does not specifically mention ENERGY STAR—as was the case last year—the White House has proposed cutting DOE and EPA’s overall budgets by 11 percent and 52 percent, respectively. (Budget of the U.S. Government, April 3)

DOE Budget Hearings

• This week, DOE Secretary Chris Wright appeared before the House Committee on Energy and Commerce (E&C) and a subcommittee of the House Committee on Appropriations to discuss the agency’s FY’27 budget request. 

• Though most of Sec. Wright’s testimony did not focus on ENERGY STAR, Rep. Paul Tonko (D-NY) raised the topic during Thursday’s E&C hearing. (Watch Hearing)

• Rep. Tonko noted the importance of ENERGY STAR and pointed out that ENERGY STAR has historically required approximately $35 million in annual funding. (Watch Hearing)

• When asked if DOE would be seeking that funding as part of its budget request, and if he could provide assurance that DOE is already working to put the people and resources in place to transition and manage the program, Sec. Wright said he would follow up on the details. (Watch Hearing)

• Still, Sec. Wright added that he is “all for” voluntary energy efficiency ratings on appliances as well as data and transparency. (Watch Hearing)

• The bulk of the two hearings this week focused on a range of other topics, including rising energy prices, permitting reform, and nuclear power. (Politico E&E News, April 16)

Roundtable View

• In March, RER and coalition partners sent a letter expressing support for DOE assuming its new role as lead federal agency for ENERGY STAR. (Roundtable Weekly, April 3)

• Additionally, the March letter underscored that DOE is well-positioned to lead a modernized program that continues to provide consumers and businesses with access to efficient products and buildings that uphold the performance they have come to expect from the ENERGY STAR brand. (Roundtable Weekly, April 3)

• RER and coalition partners have long made the business case for ENERGY STAR and emphasized its status as a federal program required by law—meaning that it cannot be privatized or operated outside the U.S. government by agency decree. (Roundtable Weekly, April 3 | Roundtable Weekly, March 6) 

• As Tuesday’s coalition letter highlighted, “Since 1992, ENERGY STAR and its partners have helped American families and businesses save more than $500 billion in energy costs.” (Letter, April 14)

• By driving cost savings through energy efficiency, the program contributes to reducing energy waste and freeing up capacity on the electricity grid, in alignment with President Trump’s goal to “unleash America’s energy dominance.” (RER Policy Priorities Document)

Next week, Sec. Wright is scheduled to appear before Senate appropriators to discuss DOE’s budget request. RER will continue to track developments related to ENERGY STAR funding and support the continuation of the program and its smooth transition to DOE.

A federal agency Memorandum of Agreement (MOA) signed this week provides that the U.S. Department of Energy (DOE) will assume lead responsibilities to implement the ENERGY STAR program as oversight of the effective, popular, and voluntary public-private partnership shifts from the U.S. Environmental Protection Agency (EPA). (E&E News, March 5)

ENERGY STAR Transition

• DOE and EPA signed the MOA for an “orderly” transition of ENERGY STAR activities including oversight of partnership agreements, trademarks, and related IT systems and databases. (Memorandum, March 2)

• The MOA explains that a 90-day plan will provide details regarding the agencies’ transition.

• The MOA further explains that transition activities will be initially funded by each agency using their own funds appropriated by Congress. Federal law authorizes DOE and EPA to transfer funds “as the transition progresses.”

• Congress provided approximately $33 million for ENERGY STAR to EPA in the FY’26 appropriations bill (H.R. 6938), signed into law on Jan. 23. This law maintains funding through Sept. 30 and preserves ENERGY STAR following prior Trump administration reports to privatize the program – or de-fund it altogether. (Roundtable Weekly, Jan. 9) 

Why It Matters

• The Real Estate Roundtable’s (RER) advocacy, in collaboration with coalition partners in the real estate, manufacturing, and consumer products sectors, has long emphasized that ENERGY STAR is a federal program required by federal law. It cannot be privatized or run outside of the U.S. government by agency decree. (Roundtable Weekly, May 9, 2025)

• For example, RER joined dozens of industry groups last year in a letter to Congress to “strongly support continuation of the non-regulatory and non-partisan ENERGY STAR program within the federal government.” (Roundtable Weekly, June 6). The multi-industry letter cites federal statutes that compel ENERGY STAR to be a program run by federal agencies—with DOE and EPA authorized to assign program responsibilities between themselves, as indicated by this week’s Memorandum of Agreement.

RER View

• RER has long urged the “business case” to support the ENERGY STAR program.

• “We look forward to continuing our longstanding partnership with the federal government’s ENERGY STAR program as DOE assumes the lead implementation role,” said RER’s President & CEO Jeffrey D. DeBoer. “DOE has the data, talent, lab research, and other resources to run all facets of ENERGY STAR efficiently and effectively. Down the years, ENERGY STAR for buildings has saved families and businesses hundreds of billions of dollars in energy costs, and helps create greater capacity on the grid to boost economic growth. We are ready to roll-up-our-sleeves to evolve ENERGY STAR to support a new generation of cutting-edge buildings, plants, and consumer products.”

• “DOE has long been a key part of the ENERGY STAR ecosystem and is ideally suited to assume the role as the program’s primary steward,” said RER’s Sustainability Policy Advisory Committee (SPAC) Chair, Anthony E. Malkin (Chairman and CEO, Empire State Realty Trust, Inc.). “ENERGY STAR enhances profitability of buildings and establishes a voluntary reporting structure for real estate assets. It helps our industry attract investors from all over the world to the United States. ENERGY STAR works better than any other building energy ‘label’ on the market because it is grounded in quantifiable metrics and deploys standard software geared to save money on utility bills and avoid wasted energy.”

• Malkin continued, “Real estate’s coalition with the manufacturing sector will continue to impress upon Congress and the Trump administration the critical role ENERGY STAR plays to advance America’s energy dominance and global competitiveness.”

In the coming months, RER will partner with DOE, EPA, and aligned stakeholders to accomplish a seamless and productive transition of the ENERGY STAR program.

The U.S. Environmental Protection Agency (EPA) released its long-awaited reorganization of various program offices on Monday. It lists ENERGY STAR–the voluntary federal public-private partnership promoting efficiency in buildings and appliances–as falling under the newly structured Office of Radiation and Indoor Air (“ORIA”). (EPA website | E&E News, Nov. 3)

Agency Restructuring

• The new ORIA office, which includes ENERGY STAR, is part of EPA’s ongoing “comprehensive restructuring efforts” and staff reduction plans announced this summer. (EPA press release, July 18)

• For example, EPA reorganized its research office in October–carrying through on Administrator Lee Zeldin’s May testimony to Congress. (E&E News, Oct. 20)

• EPA’s new structure acts on a Feb. 26 memo of the White House Office of Management and Budget (“OMB”) directing all agencies to implement plans to reorganize, streamline, and reduce federal staff. The OMB memo itself stems from the DOGE Executive Order signed by President Donald Trump on Jan. 20.

Industry Advocacy

• In May, Zeldin stated to Congress that EPA was considering whether it might be appropriate to privatize ENERGY STAR. This followed a proposed White House budget to eliminate a now-defunct EPA office that previously housed ENERGY STAR. (Roundtable Weekly, May 9)

• RER and leading real estate organizations responded with letters to EPA (April 4) and the Department of Energy (May 14), highlighting ENERGY STAR’s importance for U.S. buildings and explaining why ENERGY STAR should remain a federal program. (Roundtable Weekly, May 23)

• A multi-industry coalition followed suit. Trade associations representing real estate, product manufacturers, consumer technology, and retailers took the issue to Congress. Their June 6 letter emphasizes that ENERGY STAR is a statutorily required federal program that cannot be privatized. (Roundtable Weekly, June 6)

• These efforts resulted in ENERGY STAR funding approved by House and Senate Appropriations Committees. Both chambers have clearly signaled that ample funds for EPA’s buildings and appliance partnership program are available once the government reopens. (Roundtable Weekly July 25; Sept. 5)

ENERGY STAR Continues During Shutdown

• While EPA’s funding bill for FY ’26 (that started Oct. 1) has yet to pass the full Congress and reach President Trump’s desk, ENERGY STAR has continued to function amid the ongoing shutdown. For example:

• The important Portfolio Manager benchmarking tool remains available.

• The ENERGY STAR registry of certified buildings remains accessible to CRE stakeholders, as well as the world’s largest publicly available data set related to building energy efficiency.

• 164 NextGen buildings have been certified since the summer.

• The open-access federal contracting database shows that the consultant contract to support ENERGY STAR for commercial buildings is paid through at least July 13, 2026.

• While ENERGY STAR finds a place in EPA’s new indoor air office–with Congress prepared to fund it, and the program continuing during the shutdown–EPA’s overall reorganization continues. An agency spokesperson reportedly stated, “No final decision has been made at this time” regarding ENERGY STAR’s long-term status. (New York Times, Nov. 1)

RER and our industry partners will continue to track these events closely. The coalition will advocate for EPA to operate the bipartisan, highly successful ENERGY STAR program robustly and efficiently once the government reopens.

Today, The Real Estate Roundtable (RER) joined a broad coalition of manufacturing, consumer technology, retail, and real estate allies in a letter to Congress urging continued federal support for the overwhelmingly bipartisan ENERGY STAR program. (Letter, June 6)

Cross-Sector Advocacy Push

• The coalition letter emphasized that ENERGY STAR has delivered hundreds of billions of dollars in energy savings since its inception—approximately $40 billion in annual savings alone for American consumers, families, and businesses. 

• More than 30 leading organizations signed today’s letter including RER, many real estate partners, and manufacturing, consumer products, and retail groups. They include the Air-Conditioning, Heating and Refrigeration Institute (AHRI); American Chemistry Council (ACC); Consumer Technology Association (CTA); National Association of Manufacturers (NAM); National Retail Federation (NRF); National Electrical Manufacturers Association (NEMA); and the Retail Industry Leaders Association (RILA).

• The multi-industry letter also highlights ENERGY STAR’s brand as a highly successful, non-regulatory, and bipartisan public-private partnership that promotes energy efficiency and consumer trust across industries that drive the U.S. economy.

• The industry letter stated that ENERGY STAR is fundamental to an “all of the above” energy strategy, crucial for accommodating growing electricity demands from artificial intelligence, crypto assets, and advanced manufacturing. (Letter, June 6)

Real Estate Sector Support

• The real estate industry previously sent letters to Congress, the Department of Energy (DOE), and the Environmental Protection Agency (EPA) explaining the importance of ENERGY STAR focusing on U.S. commercial and residential buildings. (Roundtable Weekly, May 23) (Letters: May 23, May 14, and April 4)

• In response to indications that the Trump Administration might eliminate ENERGY STAR as federally managed, RER President and CEO Jeffrey DeBoer commented the program “is integral to the U.S. real estate industry. Its software is embedded in the fabric of how profitable, energy efficient buildings are run and managed in all markets across the nation.”

• “ENERGY STAR provides the key tools for families and business to save money on their utility bills,” DeBoer continued. “Owners and developers rely on ENERGY STAR to attract investment capital so U.S. building infrastructure can compete with the best real estate assets in the world.” (Roundtable Weekly, May 9)

Press Coverage

• A recent op-ed in The Hill made the economic case for ENERGY STAR, arguing that its elimination would raise operational costs, disrupt performance standards, and weaken a public-private partnership that delivers measurable benefits to businesses, consumers, and the environment. (The Hill, May 31)

• A former Republican EPA Administrator who helped create ENERGY STAR in the 1990s commented that the energy efficiency and waste avoidance goals of the program “should make a DOGE bro swoon.” (Washington Post, May 14). 

RER will continue to advocate with aligned groups in the real estate sector and across industry lines to preserve ENERGY STAR as a voluntary, federal public-private partnership.