On July 9, 2026, the Department of Energy (DOE) withdrew its direct final rule that would have implemented, starting July 13, 2026, “zero-based regulating” sunset provisions across a range of DOE regulations. DOE did so after receiving adverse comments during the public comment period on the direct final rule, as it committed to do when it issued the rule on May 29, 2026. However, DOE issued the direct final rule alongside a companion notice of proposed rulemaking (NOPR) with the same goal, meaning that the DOE may still act to sunset the relevant regulations sometime in the future.
What is Zero-Based Regulating?
DOE’s direct final rule was designed to implement Executive Order 14270, “Zero-Based Regulatory Budgeting to Unleash American Energy,” issued April 9, 2025. The executive order directed DOE, along with the Environmental Protection Agency, the Federal Energy Regulatory Commission, and the Nuclear Regulatory Commission, to insert “sunset provisions” into regulations issued