Big Changes Are Coming to Commercial Water Heaters in 2027—Here’s What You Need to Know

Thu, 09 Apr 2026 12:55:19 GMT

Now is the time to prepare for major changes in commercial water heating.

Major regulatory changes are on the horizon for commercial water heating systems, and they’re going to impact how businesses plan, purchase, and install equipment moving forward.

Beginning October 6, 2027 , the U.S. Department of Energy (DOE) will implement updated energy efficiency standards for commercial water heaters as part of a nationwide effort to reduce overall energy consumption. While these changes are designed to improve efficiency and sustainability, they will also introduce new requirements and considerations for building owners, facility managers, and contractors.

What’s Changing?

The biggest shift is this:

Only high-efficiency, condensing gas water heaters will be allowed to be manufactured or imported in the U.S. after the deadline.

These new standards significantly raise the bar for performance:

Gas-fired commercial water heaters must achieve at least 95% thermal efficiency
Gas tankless systems and hot water supply boilers must reach 96% thermal efficiency or higher
These efficiency levels can only be achieved with condensing technology

It’s important to note that:

Electric commercial water heaters are not affected by these changes
The 2026 update applies specifically to commercial systems , not residential units

What This Means for Your Business

If your facility currently relies on standard (non-condensing) gas water heaters, this transition will require planning. Condensing systems operate differently and may require updates to your infrastructure.

Key considerations include:

System evaluations: Review your current equipment to determine compliance
Budgeting ahead: Aging systems may need replacement sooner than expected
Installation updates: New systems may require:
Different venting configurations
Condensate drainage systems
Mechanical room modifications

Planning early can help avoid rushed decisions, unexpected costs, and operational disruptions as the deadline approaches.

The Good News

While the changes may seem complex, the industry is already adapting. Many manufacturers already offer high-efficiency, condensing water heating solutions that meet or exceed the upcoming standards.

This means businesses that act early can:

Improve energy efficiency now
Reduce long-term operating costs
Stay ahead of compliance requirements

Looking Ahead: Residential Changes in 2029

In addition to the 2026 commercial updates, the DOE has also announced new residential water heater standards that will take effect on May 6, 2029 .

Highlights include:

Increased efficiency requirements for gas storage units
A shift toward heat pump technology for larger electric water heaters
Additional updates to performance metrics like UEF (Uniform Energy Factor)

Start Preparing Now

The transition to high-efficiency water heating is coming quickly, and preparation is key. By evaluating your current systems, understanding the new requirements, and working with experienced professionals, you can ensure a smooth and cost-effective transition.

Bottom line: The 2026 DOE regulations aren’t just a compliance update—they’re a shift toward smarter, more efficient energy use. The sooner you plan, the better positioned you’ll be.

For more information, please visit: https://www.energy.gov/

The R-454B Refrigerant Shortage: What Facility Managers Need to Know

Mon, 23 Mar 2026 13:58:03 GMT

Why the transition from R-410A could impact HVAC projects, timelines, and costs—and how to plan ahead.

If you’re responsible for maintaining your facility’s HVAC systems, you’ve probably heard the buzz around R-454B—the refrigerant that’s been designated to replace R-410A in many commercial systems. But there’s a hitch: it’s in short supply.

At Goyette Mechanical, we stay ahead of industry shifts so you don’t have to. Here’s what you need to know about the current R-454B shortage and how it could impact your operations.

How This Affects Facility Managers

If your building is scheduled for an HVAC system upgrade or new installation using R-454B refrigerant, you may encounter:

Project delays due to lack of refrigerant availability
Increased costs as prices climb with demand
Limited system choices from manufacturers waiting on R-454B stock

This puts commercial property owners and facility managers in a tough spot—especially as we head into peak cooling season.

What We’re Doing at Goyette Mechanical to Keep You Covered

Our team at Goyette Mechanical is proactively managing inventory, coordinating with trusted suppliers, and staying informed on refrigerant market conditions. Here’s how we’re helping our clients stay ahead:

Transparent planning: We’re advising customers early if their projects involve R-454B so we can find the best alternatives.
Alternative solutions: Depending on your system’s needs, we can explore compatible refrigerants or retrofit options.
Reliable partnerships: We work closely with top-tier distributors to mitigate delays and source materials promptly.

What Should You Do Now?

1. Review your HVAC upgrade or maintenance plans—especially if they include newer refrigerant systems.

2. Schedule a consultation with our team to assess whether your facility is impacted.

3. Don’t wait until peak season—supply shortages could get worse as temperatures rise.

Let’s Talk Strategy

Whether you’re planning a retrofit, building a new facility, or just trying to stay compliant, we’ve got your back. Give us a call today to talk about your refrigerant options, and how we can help you navigate the R-454B shortage with minimal disruption.

Contact Goyette Mechanical today at 810-742-8530

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