Promoting energy efficiency is crucial for reducing energy consumption, yet its impact on human health remains discussed. This study examines the relationship between household energy efficiency, ambient air pollution, climate change, and mortality risk from chronic respiratory diseases. The study collected observational data in six major cities in Taiwan from 2008 to 2020. The energy efficiency level was determined using the input demand function derived from the stochastic frontier analysis (SFA). Subsequently, analysis was conducted employing a dynamic panel data model and a pooled mean group estimator. The study's findings indicate that enhancing household energy efficiency decreases the mortality rate associated with chronic respiratory diseases. Specifically, at the highest level of energy efficiency (99%), the relative risk reaches its lowest value of 0.639 (95% CI: 0.58–0.70). Additionally, a positive exposure-response relationship is observed between degree days and ambient air pollution (PM2.5, PM10, and SO2), associated with an increased risk of death from chronic respiratory diseases. These results underscore the importance of initiatives to enhance energy efficiency programs in households, particularly in metropolitan areas.