Overview
- The Supreme Court on Monday vacated the D.C. Circuit’s November 2025 ruling and remanded American Gas Association v. Department of Energy for reconsideration in light of the Solicitor General’s April brief.
- Solicitor General John Sauer told the Court the Biden-era standards are legally and factually flawed and said the Department of Energy is considering a new rulemaking to correct those errors.
- The contested DOE standards had set roughly a 95% efficiency benchmark for some natural gas furnaces and commercial water heaters, a level that industry groups say would effectively eliminate non‑condensing units that run at about 80% efficiency.
- Trade groups and a coalition of GOP attorneys general argue the rules would force many homeowners to pay for major venting renovations or switch from gas to electric heating, while proponents of the rules say they aim to cut energy waste.
- The remand does not decide the merits but revives the legal fight over the Energy Policy and Conservation Act’s ban on standards that eliminate product ‘performance characteristics’ and could let the appeals court hold proceedings or pause the case while DOE considers new regulations.