Minimum Energy Performance Standards (MEPS) are mandatory requirements that specify the minimum level of energy efficiency a product must meet before it can be sold or supplied in a particular market.
MEPS commonly apply to energy-using products such as refrigerators, air conditioners, electric motors, lighting equipment, water heaters and other appliances. They are designed to prevent inefficient products from entering the market and to gradually improve the energy efficiency of products available to consumers.
The exact requirements vary by product and country. A MEPS regulation may specify a minimum efficiency level, maximum energy consumption, testing method, performance metric, or other technical requirements that a product must satisfy.
In simple terms: MEPS set the minimum energy-performance bar that a product must meet.
This guide explains how MEPS work, which products they apply to, how compliance is determined, how MEPS differ from energy labels, and how requirements vary between countries.
t efficient product on the market. Instead, MEPS establish the minimum acceptable level of energy performance.
Minimum Energy Performance Standards (MEPS) are mandatory minimum efficiency requirements for products or equipment covered by a particular regulatory program.
The basic idea is simple: a regulated product must achieve a defined level of energy performance before it can be supplied or sold in the market where the standard applies. The specific requirement depends on the product, the test method used to measure its performance, and the jurisdiction setting the standard.
In other words, MEPS create an efficiency floor.
A product that performs below that floor does not meet the applicable standard. A product that performs above it can still be sold, provided it satisfies the other relevant requirements.
The word minimum is important. MEPS do not necessarily identify the most efficient product available. Instead, they establish the lowest permitted level of performance for products within the scope of the regulation.
For example, imagine a standard requiring a particular type of appliance to achieve at least a specified efficiency level:
LESS EFFICIENT MORE EFFICIENT
───────────────────────┬────────────────────────────────
│
MEPS FLOOR
│
Minimum permitted
performance
Products below the threshold do not meet the requirement. Products above the threshold may offer progressively better energy performance.
MEPS normally rely on defined test procedures so that products can be assessed using consistent methods. Regulators can then compare the measured performance with the applicable minimum requirement.
The process can be thought of as:
TEST → MEASURE → COMPARE → COMPLY
The exact testing and compliance requirements vary between regulatory systems. In the United States, for example, the Department of Energy establishes energy-efficiency standards and test procedures for covered appliances and equipment, with manufacturers and importers required to demonstrate compliance.
Australia uses MEPS within its Greenhouse and Energy Minimum Standards (GEMS) framework, where specified products and equipment must meet minimum energy-performance requirements before they can be supplied or used commercially.
Without a minimum standard, the market can contain products with very different levels of energy performance. MEPS establish a baseline that prevents covered products from falling below a defined efficiency level.
This is different from choosing the most efficient product. MEPS determine what is allowed at the bottom of the market; energy ratings and other information can help consumers distinguish between products above that minimum.
That distinction becomes important when comparing MEPS with energy rating labels, which serve a different purpose.
MEPS work by setting a minimum performance threshold for a particular product or equipment category. Manufacturers then use an approved testing method to measure the product's energy performance and determine whether it meets the applicable requirement.
The exact process differs between countries and product categories, but the basic sequence is straightforward:
SET THE STANDARD → TEST THE PRODUCT → COMPARE THE RESULT → DEMONSTRATE COMPLIANCE
Regulators determine the minimum energy-performance level that covered products must achieve. The requirement can differ depending on the type, size, capacity or other characteristics of the product.
Standards may also be reviewed and updated as technology changes. In the United States, for example, the Department of Energy develops and revises energy-conservation standards and associated test procedures through a formal regulatory process.
A product's energy use or efficiency is measured using a defined test procedure.
This is important because products need to be assessed under consistent conditions. A test procedure specifies how energy performance or energy use is measured and calculated, rather than simply relying on a manufacturer's own description of how efficient a product is.
The measured performance is then compared with the applicable minimum standard.
PRODUCT
↓
TEST PERFORMANCE
↓
COMPARE WITH MEPS
↓
┌─────────────────────┐
│ MEPS THRESHOLD │
└─────────────────────┘
↓ ↓
BELOW MEETS
↓ ↓
NON-COMPLIANT COMPLIANT
↓
MARKET ELIGIBILITY
A product that does not meet the applicable requirement cannot simply be treated as compliant because another model performs better. Each regulated product must satisfy the requirements that apply to its category and characteristics.
Depending on the regulatory system, manufacturers or importers may need to provide test results, certification or other documentation demonstrating that the product complies.
For example, the US Department of Energy requires manufacturers and importers of covered products to use prescribed test procedures to demonstrate compliance with applicable energy-conservation standards.
MEPS are not necessarily fixed forever. Regulators can review standards as products, technologies and test methods change.
This matters because a minimum standard established years ago may no longer represent the level of performance that newer technology can achieve. Australia, for example, continues to update and expand requirements under its GEMS program, including recent work on motors, pool pumps and air conditioners.
MEPS don't measure whether a product is the best available. They determine whether it reaches the minimum required level.
That makes MEPS different from an energy rating: MEPS establish the floor, while rating systems can help show where a product sits above that floor.
The main purpose of Minimum Energy Performance Standards is to raise the minimum efficiency of products available on the market.
Without a minimum requirement, manufacturers can sell products with very different levels of energy performance, including products that may be significantly less efficient than technologies already available. MEPS establish a baseline and prevent covered products from falling below it.
More efficient products generally require less energy to provide the same service. When inefficient products are gradually replaced with products that meet higher standards, the energy consumption of the overall product stock can fall.
The International Energy Agency identifies MEPS as an important tool for ensuring that the least-efficient appliances and equipment are not sold, while also encouraging manufacturers to improve product efficiency. Academic research also identifies MEPS as an important policy instrument for reducing energy consumption and supporting climate goals.
Using less energy can also reduce the cost of operating an appliance or piece of equipment.
This is particularly relevant for products with long operating lives, such as refrigerators, air conditioners, water heaters and other equipment that may consume energy every day for many years.
However, MEPS do not guarantee that every compliant product will have the same running cost. Actual energy use still depends on the product, how it is used, how often it operates and the local energy price.
Minimum standards can also influence what manufacturers develop and supply.
As standards are reviewed and strengthened, manufacturers may need to improve the efficiency of new products to remain compliant. Over time, this can shift the market toward more efficient technologies.
The IEA notes that regularly updated MEPS can encourage suppliers to increase appliance efficiency and help move markets toward more efficient products.
This is perhaps the simplest way to understand the role of MEPS.
They are not designed to identify the best product. Instead, they establish the point below which a covered product is no longer acceptable under the applicable regulation.
PRODUCT MARKET
Less efficient More efficient
───────────────────────┬──────────────────────────────────────────
│
MEPS FLOOR
│
Minimum permitted
performance
│
Products below │ Products meeting
the threshold │ or exceeding it
✕ │ ✓
This creates what is often called an efficiency floor.
Support broader energy-efficiency goals
MEPS are usually one part of a wider policy framework. Governments can combine minimum standards with energy labels, incentives and consumer information.
These measures serve different purposes: MEPS establish a minimum threshold, while labels help consumers compare products and incentives can encourage purchases above the minimum level.
The distinction matters because setting a minimum standard is not the same as encouraging the highest possible efficiency.
MEPS set the floor. Other policies can help move the market above it.
MEPS can apply to a wide range of energy-using products and equipment. The exact products covered depend on the regulatory system in each country, and requirements can vary between product categories.
Common examples include:
Product categoryWhat minimum standards can addressRefrigerators and freezersEnergy consumption and efficiencyAir conditionersEnergy efficiency and performanceWater heatersEnergy performanceClothes dryersEnergy consumptionWashing machinesEnergy and resource useLighting equipmentEnergy performanceElectric motorsMotor efficiencyHeating equipmentEnergy efficiency and performancePool pumpsEnergy performanceTelevisions and displaysEnergy consumption
These categories are only examples. A product is not subject to MEPS simply because it uses electricity. It must fall within the scope of a specific regulatory requirement.
For example, Australia's GEMS framework covers a defined range of products and equipment, with individual product determinations setting out the applicable requirements. The Australian government periodically reviews and updates these requirements as part of its energy-efficiency program.
There is no single MEPS threshold that applies to every appliance.
A refrigerator, electric motor and air conditioner perform completely different functions, so their energy performance needs to be measured differently. Regulators therefore establish product-specific requirements and test methods.
For some products, the requirement may focus on energy consumption. For others, it may involve an efficiency ratio, performance coefficient, standby consumption or another defined measure.
This means that saying a product “meets MEPS” is incomplete without knowing which product standard applies.
Minimum standards can also become more demanding as technology improves.
A product that meets an older efficiency requirement may not necessarily meet a newer one. This is one reason regulatory programs periodically review their standards and test procedures.
Australia's recent energy-efficiency work, for example, has included stronger requirements for some appliances and expansion of the products covered by its GEMS framework.
MEPS are product-specific minimum requirements, not a single efficiency rating that applies to everything.
The next important distinction is between MEPS and energy rating labels. They are often discussed together, but they perform very different jobs.
MEPS and energy rating labels are closely related, but they serve different purposes.
The simplest way to remember the difference is:
MEPS set the minimum. Energy ratings help you compare what is above the minimum.
A MEPS requirement establishes the minimum energy-performance level that a covered product must meet. An energy rating label, by contrast, gives consumers information about the relative efficiency and energy consumption of products so they can compare different models.
MEPSEnergy Rating LabelPurposeSets a minimum performance requirementHelps consumers compare productsRoleEstablishes an efficiency floorShows relative efficiencyMain audienceManufacturers, suppliers and regulatorsConsumersBasic question“Does this product meet the minimum?”“How does this product compare?”What it can showMinimum required performanceStar rating and estimated energy useOutcomeProducts below the requirement cannot qualify where the standard appliesConsumers can use the information to make purchasing decisions
Australia provides a clear example of how the two systems work together. Under the GEMS framework, product determinations can specify both minimum energy-performance requirements and whether a product must display an Energy Rating Label.
An energy rating is designed to provide information that is easier for consumers to use when comparing similar products.
For example, Australia's Energy Rating Label uses a star rating and estimated annual energy consumption in kilowatt-hours. More stars indicate greater efficiency relative to comparable products, while the estimated annual consumption provides a more direct indication of expected energy use.
This means two products can both meet MEPS but have different energy ratings.
One may sit relatively close to the minimum requirement, while another may be substantially more efficient.
LESS EFFICIENT MORE EFFICIENT
──────────────────────────┬────────────────────────────────────────
│
MEPS FLOOR
│
Minimum permitted
performance
│
★ ★ ★ ★
│
★ ★ ★ ★ ★ ★
│
★ ★ ★ ★ ★ ★ ★ ★
The exact rating system varies between products and jurisdictions, so the stars should generally be used to compare similar products within the same rating system, rather than treated as a universal measure across every type of appliance.
If you are buying an appliance, MEPS are not usually the number you use to choose between two models.
MEPS tell you that the products available to you have passed the minimum regulatory threshold. The energy rating then gives you additional information for comparing the efficiency and expected energy consumption of products that meet the relevant requirements.
So the relationship is:
MEPS → removes products below the minimum
Energy rating → helps consumers compare products above that minimum
That's why MEPS and energy labels work as complementary parts of an energy-efficiency policy rather than competing systems.
The term Minimum Energy Performance Standards (MEPS) can refer to different types of regulation depending on what is being regulated.
For appliances and equipment, MEPS generally establish a minimum energy-performance requirement that a product must meet. For buildings, MEPS can refer to requirements that existing buildings achieve a specified level of energy performance, often as part of a wider renovation policy.
The two concepts are related, but they should not be treated as the same regulatory mechanism.
For appliances and equipment, the focus is on the product itself.
A regulator defines a product category, establishes how its energy performance should be measured, and sets a minimum requirement. Covered products must comply with the applicable standard before they can be supplied in the relevant market.
The United States, for example, has federal energy-conservation standards covering numerous categories of appliances and commercial and industrial equipment. Manufacturers and importers must use prescribed test procedures to establish compliance.
Australia uses the term MEPS within its GEMS framework, with individual product determinations setting requirements for regulated products. The program continues to update requirements as products and technologies change.
The basic principle is:
PRODUCT → TEST PERFORMANCE → MEET MINIMUM → MARKET ACCESS
Building MEPS
Building MEPS work differently.
Instead of asking whether a particular appliance meets an efficiency threshold, building standards can require an existing building to achieve a specified level of energy performance.
This can involve requirements for the building's overall energy performance, rather than the efficiency of an individual appliance.
The European Union is a current example. Under the recast Energy Performance of Buildings Directive, Member States are required to establish minimum energy performance standards for certain non-residential buildings and establish a trajectory for progressively renovating the residential building stock. The European Commission describes these MEPS as a regulatory tool intended to stimulate large-scale renovation of existing buildings.
That means a building-focused MEPS framework can involve questions such as:
- How energy-efficient is the building?
- Does it fall below the required performance threshold?
- By what date must improvements be made?
- What types of buildings are covered?
- What exemptions or alternative compliance routes apply?
The key difference
Product MEPSBuilding MEPSRegulatesAppliances and equipmentExisting buildingsFocusProduct energy performanceBuilding energy performanceTypical requirementMinimum efficiency or maximum energy useMinimum building-performance levelComplianceProduct testing and certificationBuilding assessment and/or renovation requirementsMain objectiveKeep inefficient products out of the marketImprove the performance of existing buildings
So when you see “MEPS”, it is important to look at the context.
If the discussion is about refrigerators, air conditioners, motors or water heaters, it is likely referring to product or appliance standards.
If the discussion is about building renovation, energy-performance classes or improving inefficient existing buildings, it may refer to building MEPS.
This distinction is particularly important because the terminology is used differently across jurisdictions. Always check what is being regulated before comparing one country's MEPS with another.
Minimum Energy Performance Standards are used in many countries, but there is no single global MEPS system.
Different jurisdictions use different legislation, terminology, product categories, test methods and compliance requirements. The underlying idea is similar — establish a minimum level of energy performance — but the way that requirement is implemented can vary considerably.
In Australia, MEPS operate within the Greenhouse and Energy Minimum Standards (GEMS) framework.
The GEMS Act provides the national framework for regulating the energy efficiency of appliances and equipment. Product-specific GEMS Determinations establish the requirements that regulated products must meet, including minimum energy-performance requirements and, where applicable, energy-rating labelling requirements.
The Australian program is developed jointly with New Zealand through the Equipment Energy Efficiency (E3) Program. Requirements are periodically reviewed and can be strengthened or expanded as technologies and markets change.
Recent changes show that the system is still evolving. In December 2025, Australian and New Zealand energy ministers agreed to introduce MEPS for heat-pump water heaters and increase requirements for external power supplies, while broadening the range of equipment covered.
The United States generally uses the term energy conservation standards rather than MEPS for its federal appliance and equipment requirements.
The U.S. Department of Energy sets minimum energy-efficiency standards for numerous categories of residential, commercial and industrial equipment. The standards work alongside federally specified test procedures that establish how product performance is measured.
So although the terminology is different, the underlying concept is familiar:
A covered product must achieve a minimum level of energy performance to comply with the applicable federal standard.
The European Union uses several different policy frameworks rather than one universal MEPS program.
For products, energy efficiency requirements are established through EU product legislation, including ecodesign requirements.
For buildings, the revised Energy Performance of Buildings framework includes minimum energy performance standards for certain existing buildings and requirements aimed at progressively improving the energy performance of the building stock.
This makes the EU a useful example of why context matters: product efficiency standards and building-performance standards are separate regulatory questions, even though both can involve minimum performance requirements.
Comparable minimum-efficiency requirements exist in many other markets, although the terminology and regulatory structure differ.
Some countries regulate appliances directly through minimum efficiency standards. Others combine standards with energy labels, testing requirements, financial incentives or building regulations.
The result is a common policy principle implemented in different ways:
MINIMUM PERFORMANCE
│
┌─────────────────┼─────────────────┐
↓ ↓ ↓
AUSTRALIA UNITED STATES EU
MEPS / GEMS Energy Product rules
Conservation + building
Standards requirements
It is tempting to treat “MEPS” as a universal standard, but that can lead to misleading comparisons.
A requirement called MEPS in Australia may not use the same terminology, test method or scope as an equivalent requirement in another country. Even when two standards regulate the same type of product, their thresholds and compliance arrangements may differ.
The safest approach is therefore to compare the actual product category, test method, performance threshold and legal scope, rather than assuming that the word “MEPS” means exactly the same thing everywhere.
The basic principle is global; the regulatory details are local.
MEPS affect both sides of the market.
For consumers, they establish a minimum efficiency level for covered products. For manufacturers and suppliers, they create a set of technical and regulatory requirements that products must satisfy before they can be supplied in the relevant market.
The two perspectives are different, but they are connected: MEPS change what products are available for consumers to buy by setting requirements that manufacturers must meet.
For consumers, one of the main effects of MEPS is that the least-efficient products covered by the regulation are excluded from the market.
This means you are not necessarily choosing between the entire range of possible efficiency levels. The regulatory standard has already established a minimum threshold for the products within its scope.
That can provide several potential benefits:
- A higher minimum efficiency: extremely inefficient covered products may no longer be available.
- Lower potential running costs: more efficient products can require less energy to provide the same service.
- More consistent information: regulated testing methods can make energy-performance claims more comparable.
- More efficient choices: energy labels and other information can help consumers distinguish between products that exceed the minimum requirement.
However, meeting MEPS does not mean a product is the most efficient option available.
A product can comply with the minimum standard while another model in the same category performs substantially better.
That's why MEPS should be viewed as a starting point rather than a recommendation about which product to buy.
For manufacturers, MEPS create a compliance requirement.
A manufacturer producing a covered product needs to understand the applicable standard, use the required test method and demonstrate that the product meets the relevant performance threshold.
Depending on the jurisdiction and product, this can involve:
- product testing
- technical documentation
- registration or certification
- compliance reporting
- monitoring changes to standards
- redesigning products when requirements become more stringent
The IEA notes that MEPS can also encourage manufacturers to improve appliance efficiency because products below the minimum threshold cannot compete in the regulated market.
MEPS can affect manufacturers beyond simple compliance.
When minimum requirements are strengthened, manufacturers may need to improve components, controls, insulation, motors or other parts of a product to achieve the required performance.
This can gradually shift the efficiency of products available across the market.
The IEA describes MEPS as a tool that can both exclude the least-efficient products and encourage suppliers to increase the efficiency of the products they produce.
For consumers, it is important not to read too much into the term “MEPS compliant.”
It tells you that a product meets the applicable minimum requirement. It does not by itself tell you:
- how much electricity the product will actually use in your home
- how much it will cost to operate
- whether it is the most efficient model available
- how well it will perform for your particular needs
- how its lifetime environmental impact compares with another product
Those questions require additional information, including the product's rated energy consumption, efficiency rating, operating conditions and expected usage.
MEPS are therefore only one part of the energy-efficiency system.
MEPS set the minimum. Energy labels provide information. Incentives can encourage purchases above the minimum.
The IEA describes this combination of regulation, information and incentives as an integrated approach to improving appliance efficiency.
That distinction helps explain why a product can be MEPS compliant without being exceptionally efficient — the purpose of MEPS is to establish the floor, not the ceiling.
The purpose of Minimum Energy Performance Standards is to remove the least-efficient products from the market and raise the minimum level of energy performance over time.
The International Energy Agency (IEA) identifies minimum energy performance standards as an important policy tool because they can prevent the least-efficient appliances and equipment from being sold while encouraging manufacturers to improve product efficiency.
But MEPS do not automatically reduce total energy consumption simply because a standard exists. Their impact depends on factors such as how demanding the standard is, which products are covered, how effectively the requirements are enforced, and how products are used. This is also related to the energy-efficiency “rebound effect”, in which some expected energy savings can be offset by changes in energy use or behaviour.
The basic mechanism is straightforward.
WITHOUT A MINIMUM STANDARD
LESS EFFICIENT MORE EFFICIENT
─────────────────────────────────────────────────────
████████████████████████████████████████████████████
WITH A MEPS REQUIREMENT
LESS EFFICIENT MORE EFFICIENT
───────────────────────┬─────────────────────────────
│
MEPS FLOOR
│
Minimum permitted
performance
Products that fall below the applicable threshold cannot qualify under the standard. As older products are replaced, the products entering the market must therefore meet the higher minimum level.
Over time, this can increase the average efficiency of the equipment being sold.
This matters particularly for products that operate for many years.
A refrigerator, air conditioner, water heater or electric motor may consume energy repeatedly throughout its useful life. Improving the efficiency of each new generation of products can therefore reduce the amount of energy required to provide the same service.
The IEA notes that regularly updated MEPS can help drive improvements in appliance efficiency by removing inefficient products and encouraging suppliers to develop more efficient alternatives.
There is an important distinction between using less energy per unit of service and using less energy overall.
For example, an air conditioner can become more efficient while total electricity consumption for cooling still increases if:
- more households install air conditioning
- existing systems are used for longer
- larger systems are installed
- cooling demand increases
- other changes in consumer behaviour offset some of the efficiency gains
The same principle applies across many types of equipment.
This is why MEPS are generally used alongside other energy-efficiency measures, including energy labels, consumer information and financial incentives. The IEA's energy-efficiency policy guidance describes this combination of regulation, information and incentives as an important part of improving appliance efficiency.
Technology also changes over time.
A minimum standard that was ambitious when it was introduced may become relatively easy for manufacturers to meet as more efficient technologies become commercially available. If the standard is never reviewed, it can gradually lose its ability to push the market toward higher efficiency.
For this reason, MEPS are periodically reviewed and updated in many regulatory systems.
Australia provides a good example. Its Energy Rating program explains that MEPS requirements are reviewed periodically, while recent policy changes have introduced stronger or expanded efficiency requirements for additional products.
MEPS can be an effective way of raising the minimum efficiency of products entering the market, but their overall impact depends on how the standards are designed and implemented.
The important distinction is that MEPS are not intended to make every product the most efficient product available.
They establish a minimum.
MEPS set the efficiency floor. They don't set the efficiency ceiling.
That is why MEPS work alongside other measures such as energy ratings, which help consumers identify products that perform above the minimum requirement.
Minimum Energy Performance Standards (MEPS) are best understood as an efficiency floor.
They establish the minimum energy-performance level that covered products or equipment must meet before they can be supplied in a regulated market. In some building-policy contexts, the term can also refer to minimum performance requirements for existing buildings.
The important distinction is that MEPS do not identify the most efficient option. They set the minimum acceptable level. Energy ratings, product information and other efficiency programs can then help consumers and businesses compare options above that baseline.
MEPS also vary between countries and product categories. Australia uses MEPS within its GEMS framework, while the United States generally uses the term energy conservation standards for covered appliances and equipment. The European Union uses separate product and building efficiency frameworks.
Ultimately, the purpose of MEPS is straightforward: raise the minimum level of energy performance available in the market and prevent the least-efficient options from falling below that threshold.
For consumers, that means MEPS are a useful starting point — but not the end of the decision. To understand how much energy a particular product will use, you still need to look at its rated consumption, efficiency information, expected usage and operating conditions.
