The U.S. Department of Energy proposed energy efficiency guidelines for water heaters on Friday, claiming that doing so would result in yearly consumer savings of $11.4 billion on energy and water costs.

The efficiency requirements for home water heaters mandated by Congress have not been changed in 13 years. According to the DOE, the yearly home energy use and consumer utility expenses are both accounted for by around 13% of water heating.

According to the idea, gas-fired water heaters would need to use condensing technology to increase efficiency, while the most prevalent sizes of electric water heaters would need to use heat pump technology.

If adopted, the standards would go into effect in 2029 and, according to the DOE, would save close to $200 billion while reducing carbon dioxide emissions by more than 500 million metric tonnes over a period of 30 years, which is roughly equal to the combined annual emissions of 63 million homes, or roughly 50% of all homes in the US.

According to Energy Secretary Jennifer Granholm, the proposal “builds on the unprecedented actions already taken by this administration to lower energy costs for working families.”

In a joint statement, Rheem, a manufacturer of water heaters, the environmental organization Natural Resources Defense Council, and efficiency and consumer advocacy groups welcomed the new criteria.

This year, the Democratically-elected administration of President Joe Biden has released proposed or final efficiency criteria for 18 different product categories.