AGA’s New Study – Building for Efficiency: Home Appliance Cost and Emissions Comparison.

On Tuesday, AGA launch a new study, “Building for Efficiency: Home Appliance Cost and Emissions Comparison” which highlights the benefits of both high-efficiency natural gas appliances in new homes and the use of renewable natural gas as a cost-effective way to decarbonize buildings. This study spotlights today’s market for residential energy-efficiency space heating appliances and why most new homes that use natural gas are already set to see lower life-cycle costs and competitive emissions reductions compared to alternative fuels.  . comprehensive research focuses on the cost and greenhouse gas emissions associated with various home energy options, offering valuable insights for our industry and stakeholders.

Key Highlights from the Study:

• Significant Cost Savings: A baseline new home using natural gas saves an average of $1,132 per year compared to an equivalent all-electric household. An advanced natural gas home with high-efficiency appliances can save about $492 annually over a home equipped with an electric cold-climate heat pump.
• Preference for High-Efficiency Gas Appliances: More than 75% of new homes with natural gas are installing furnaces with 90%+ efficiency. In moderate to cold climates, homeowners prefer gas heating over electric heat pumps by a ratio of 5 to 1.
• Reduction in Greenhouse Gas Emissions: An advanced all-gas home featuring a condensing natural gas furnace can reduce lifetime emissions by 17% compared to a typical all-electric household. When compared to an advanced all-electric home with a cold-climate heat pump, the natural gas home can match or exceed emissions reductions while saving thousands in lifetime costs.
• Innovative Consumer Solutions: Emerging technologies like natural gas heat pumps, hybrid gas-electric systems, and renewable natural gas offer even greater opportunities to reduce both costs and emissions more effectively than many electric or standard natural gas home setups. For instance, a home with a natural gas heat pump could save $651 per year compared to one with an electric cold-climate heat pump.

This study underscores the critical role that natural gas and innovative technologies play in delivering efficient, reliable, and cost-effective energy to homes now and in the future. It highlights the real-world choices builders and homeowners are making towards high-efficiency gas appliances, leading to tangible benefits in cost savings and emission reductions. It is also a valuable resource that can be cited during federal, state, and local legislative or regulatory end use codes and standards activities illustrating the economic and emissions reduction benefits of the direct use of natural gas to the built environment.  

Access the Full Study Here: Building for Efficiency

AGA’s Press Release: New Study Shows Natural Gas Appliances Superior for Saving Money, Reducing Emissions  – American Gas Association (aga.org)

If you have any questions or need additional information on the study, feel free to contact AGA’s Brendan O’Brien,  Director, Energy Analysis by phone at 202-824-7220 or email,  [email protected]

HUD Issues a Final Rule Amending the Federal Manufactured Home Construction and Safety Standards (MHCSS or the Construction and Safety Standards).

On Monday, HUD issued a Final Rule on the federal MHCSS that provides all the requirements for construction and safety standards for manufactured  (formerly known as mobile) homes.  For the most part, the revised MHCSS provisions applicable to natural gas and propane applications are improvements with the exception that AGA submitted comments to update the reference standards and codes related to natural gas and propane appliances and accessories were not approved by HUD who stated that “HUD cannot enact these suggested changes unless the MHCC first considers the commenter’s suggestion in a consensus process and provides the Secretary with a recommendation. The Administrative Procedure Act also requires HUD to place the public on notice regarding standards upon which it may take future enforcement action and provide an opportunity for public review and comment. Considering these statutory limitations, HUD acknowledges these comments and requests that the commenters propose a code change to incorporate more recent versions to be reviewed by the MHCC. HUD requests that copies of the exact version proposed for incorporation be included with the proposal. The public may submit proposed standards via the internet at mhcc.homeinnovation.com. Please note that HUD is unable to broadly incorporate standards into Federal regulation without specificity.” This results in the MHCSS retaining outdated reference standards for most natural gas and propane appliances and components. AGA BECS staff will be working with the CSA Group to provide the standards necessary for submittal in code changes to get the most updated versions included in the next addition of the MHCC.  The new version of the MHCSS is effective on March 17, 2025.  Please don’t hesitate to contact us if you have any questions on the HUD MHCSS final rule.