iinitcd ~tatlS ~mat( 

The Honorable Ernest J. Moniz 

Secretary 

U.S. Department of Energy 

1000 Independence Avenue, S.W. 

Washington, DC 20585 

Dear Secretary Moniz: 

WASHINGTON, DC 20510 

May 21, 2013 

We are writing to comment on the Department of Energy's (DOE) February 15, 

2013 Notice of Proposed Rule Making (NOPR) regarding the proposed waiver for large 

capacity electric resistance water heaters capable of being used in demand response and 

thermal storage programs, It is important that DOE act to permit manufacturers to 

continue producing the water heaters used by hundreds of utility load control programs 

across the country. 

We appreciate DOE's recognition of the importance of demand response and 

thermal storage to electricity consumers, to the reliability of the electric grid and to the 

integration of renewable resources into our nation's power supply. We also appreciate 

DOE's recognition of the need to mitigate the impact of its 2010 efficiency standard on 

those programs. However, we believe DOE's current proposal falls well short ofthe 

mark. An annual waiver allowing the manufacturing of only a limited number of electric 

water heaters with the restrictive conditions in the proposal will not meet the needs of 

manufacturers, utilities, or their consumers - our constituents. 

We support demand response and the development of alternative energy resources 

as a means of achieving energy efficiency standards. Utilities' demand response 

programs use large-capacity electric-resistance water heaters to increase the integration of 

renewable resources, decrease peak demand, and help stabilize the grid, all while 

lowering the cost of electricity to our constituent consumer-members. Used in this 

manner, electric resistance water heaters are helping achieve multiple energy objectives --

something that would be all but eliminated with the proposed annual waiver of the new 

standard. 
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DOE's proposed annual waiver in the recent NOPR provides insufficient certainty 

to ensure continued manufacturing capacity for demand response products, and will 

preclude new thermal storage programs to integrate additional renewable energy sources. 

A separate product class for grid interactive water heaters, as expressly supported by 

numerous utilities, manufacturers, associations and several other members of Congress, 

would provide such certainty. In the alternative, a more realistic, 5-year waiver, without 

the limitations imposed in the NOPR, should be considered. 

We urge DOE to reconsider the proposed annual waiver process and reach a 

solution that is practical, allowing electric cooperatives and other utilities to continue to 

operate and expand their demand response programs while providing consumers with 

affordable hot water. On behalf of our constituents, manufacturers, and utilities, we 

appreciate your consideration of our views and look forward to your response. 

22~ United States Senator 

United States Senator 

/l~1 

DANIEL COATS 

United States Senator 

Sincerely, 

• f'A.MUL- ~/~ MARK PRYOR 

United States Senator 

d&noo~~~ United States Senator 

THAD COCHRAN 

United States Senator 
BOB CORKER 

United States Senator 

111;L 

MIKE CRAPO 

United States Senator 

JOHN HOEVEN 

United States Senator 

JOE DO, """'1%ijjO~ 

United States Senator 

.... _ ...• ------------------------

d"??~ RISCH 

United States Senator 

A lL.\~ ~UCHAR United States Senator 

TOM HARKIN 

United States Senator 

HEIDI HEITKAMP 

United States Senator