Press Release
☷DOE Finalizes Energy Efficiency Standards for Distribution Transformers That Protect Domestic Supply Chains and Jobs Strengthen Grid Reliability and Deliver Billions in Energy Savings
U.S. Department of Energy ( By Press Release office)
Apr 05,2024
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The U . S . Department of Energy has finalized energy efficiency standards for distribution transformers to improve the resilience and efficiency of the power grid , create high - quality manufacturing jobs , and promote the use of affordable , reliable , and clean electricity across the country . These updated standards , which have a compliance timeline of five years , are expected to save utilities and businesses $824 million annually in electricity costs and increase demand for materials like grain - oriented electrical steel . The final rules were adjusted based on feedback from stakeholders to support domestic steel production and provide more time for compliance . U . S . Secretary of Energy Jennifer M . Granholm emphasized the importance of creating jobs , strengthening manufacturing , and supporting clean energy goals . Pennsylvania Governor Josh Shapiro praised the final rule for protecting jobs at a steel production facility in Western Pennsylvania and promoting innovation and emissions reductions . Here in the Commonwealth , we appreciate the Biden Administration ' s commitment to supporting and creating energy jobs in Pennsylvania . We ' re grateful for their efforts in making the energy grid more efficient and cost - effective in the long run . The Butler Works facility is a crucial part of our community , providing good - paying jobs for over 1 , 200 workers and supporting their families . With this final rule , the Department of Energy has addressed the concerns of Pennsylvania workers and ensured that Butler Workers can continue producing steel for electricity transformers . I will continue working with Cleveland - Cliffs and the United Auto Workers to prioritize Pennsylvania workers in our energy supply chain . The UAW and steelworkers in Pennsylvania are essential to our manufacturing sector , known for producing top - quality steel globally . Through collaboration with these hardworking manufacturing workers , the Department has developed a rule that protects jobs and strengthens our steel production industry , while also improving the efficiency of our electrical grid . This decision guarantees that Pennsylvania workers will continue leading and expanding the production of electrical steel for years to come . I want to express my gratitude to Secretary Granholm for bolstering our nation ' s energy future . This decision reinforces the fact that American manufacturing is crucial for finding affordable and reliable clean energy solutions . I had a productive conversation with Secretary Granholm about this issue during her appearance before the House Appropriations Committee , and I commend the Department of Energy for listening to the concerns raised by myself and others regarding the impact of the proposed rule on domestic manufacturing and distribution transformer supply chains . The final rule strikes a good balance by reducing energy costs for consumers , ensuring national security , and supporting improvements in electrical grid resiliency and reliability . This decision will protect jobs and consumers in Ohio and ensure a domestic supply of transformers produced in the Heartland . The final rule announced by the Department of Energy today will safeguard American - made Grain - Oriented Electrical Steel and the jobs of hardworking UAW workers in Western Pennsylvania who manufacture it . I ' m happy that the Biden Administration listened to us and worked with our community to find a solution that will reduce carbon emissions , protect jobs in Western Pennsylvania , and support our domestic transformer industry . I want to thank my colleagues for their efforts in making this happen . The new standards will mainly be met with GOES , mostly manufactured in the US , with some amorphous alloy also expected to be made domestically . These changes will improve the efficiency of distribution transformers , leading to energy savings and reduced carbon emissions . The new standards are estimated to save Americans $14 billion in energy costs over 30 years and reduce nearly 85 million metric tons of carbon dioxide emissions . This will also protect domestic supply and create jobs in Pennsylvania and Ohio . The final rule gives manufacturers more time and flexibility to meet the new standards , taking into consideration concerns about feasibility and workforce reskilling . Transformers play a crucial role in modernizing the power grid and are increasingly needed for electric vehicle chargers . According to a recent study by the National Renewable Energy Laboratory ( NREL ) , the number of distribution transformer installations is expected to triple by 2050 . These new standards take into account input from various stakeholders , including manufacturers , trade associations , union workers , advocacy groups , state officials , and utility organizations . The Department of Energy ( DOE ) is not only updating energy efficiency standards for distribution transformers but also addressing supply chain challenges through government and private sector collaborations . These efforts aim to lower energy costs for American households and businesses while improving grid resilience . The Biden - Harris Administration is advancing a suite of energy efficiency standards that are projected to save consumers nearly $1 trillion over 30 years and reduce greenhouse gas emissions by a significant amount . These actions align with President Biden ' s agenda of investing in America while addressing the climate crisis . To learn more about cost - saving resources , consumers can visit DOE ' s Energy Savings Hub , an easy - to - use online resource . Check out the website for info on clean energy tax credits and upcoming rebates to help you save money and make your home more energy efficient . Whether you ' re thinking about getting an electric car , upgrading an appliance , or improving your home ' s safety and comfort , this site has got you covered . Head to www . Energy . gov/Save to find out how to lower your energy bills and keep more cash in your wallet . The DOE ' s Building Technologies Office sets energy conservation standards for over 60 types of appliances and equipment - check out the Appliance and Equipment Standards Program homepage for more details . ### .
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