The U.S. Department of Energy has initiated a bold move, announcing the elimination of 47 regulations, potentially saving $11 billion and paving the way for a more competitive energy market.
Key Insights
- The Department of Energy (DOE) aims to eliminate or revise 47 regulations, promising significant savings and a leaner regulatory code.
- This initiative aligns with President Donald Trump’s executive order to boost American energy independence and provide cost relief to consumers.
- Energy Secretary Chris Wright underscored rapid progress in deregulation, achieved in just over 110 days.
- Proposed changes impact appliance standards, streamline energy production, and roll back previous administration climate policies.
Deregulation Efforts Focused on Savings and Independence
The U.S. Department of Energy announced on May 12, 2025, a comprehensive effort to cut 47 regulations, projecting $11 billion in savings for American citizens. This initiative results from President Donald Trump’s executive order “Zero-Based Regulation to Unleash American Energy,” which emphasizes easing appliance standards and revisiting energy production regulations. The plan is said to reduce regulatory text by over 125,000 words, positioning the U.S. for a stronger stance in global energy markets.
The measures, according to administration officials, intend to restore consumer freedom and significantly reduce costs. The DOE outlined nearly 50 deregulatory directives that involve revising appliance standards, construction codes, and DEI requirements for grant recipients. They also plan to streamline natural gas procedures and minor business loan regulations concerning DOE contracts, along with repealing grants for local government buildings.
Significant Shifts in Energy Policy
Energy Secretary Chris Wright emphasized the unprecedented pace of this deregulatory initiative: “While it would normally take years for the Department of Energy to remove just a handful of regulations, the Trump Administration assembled a team working around the clock to reduce costs and deliver results for the American people in just over 110 days.” This statement reflects the administration’s commitment to deregulation as a tool for enhancing national competitiveness.
“Thanks to President Trump’s leadership, we are bringing back common sense — slashing regulations meant to appease Green New Deal fantasies, restrict consumer choice, and increase costs for the American people. Promises made, promises kept,” Wright continued.
The DOE actions involve rescinding energy conservation standards for many appliances and removing regulatory coverage for certain products. The initiative also aims to reverse prior climate policies, notably the withdrawal from the Paris Agreement and the halting of offshore wind power development. These shifts highlight the administration’s focus on energy independence and economic growth over previous climate-focused strategies.
Today, the DOE launched the LARGEST one-day deregulatory action in U.S. history — smashing all records.
We slashed the red tape, eliminating 47 regulations. NEVER have so many harmful regulations been removed in ONE SINGLE DAY. pic.twitter.com/TlBvRPL41u
— U.S. Department of Energy (@ENERGY) May 12, 2025
Major Overhaul of Regulations
This deregulatory push is characterized as the largest in DOE history, impacting nearly all aspects of energy regulation. The package includes rescinding greenhouse gas emission reporting, eliminating renewable energy incentives, and streamlining procedures for energy transmission applications. The administration views these actions as essential for revitalizing America’s energy sector, aiming to create a system where market forces, rather than prescriptive federal mandates, guide energy production and consumption.
Looking ahead, the DOE’s deregulation efforts underscore a strategic pivot toward fostering domestic energy production and reducing dependency on foreign energy sources. As these initiatives unfold, they will likely play a critical role in reshaping the national energy landscape, potentially serving as a catalyst for increased economic resilience and competitiveness on the global stage.
Sources:
- Energy Department proposes to cut 47 rules in ‘largest deregulatory effort in history’
- Energy Department Slashes 47 Burdensome and Costly Regulations, Delivering First Milestone in America’s Biggest Deregulatory Effort
