[House Report 118-455]
[From the U.S. Government Publishing Office]
118th Congress } { Report
HOUSE OF REPRESENTATIVES
2d Session } { 118-455
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STOP UNAFFORDABLE DISHWASHER STANDARDS ACT
_______
April 10, 2024.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mrs. Rodgers of Washington, from the Committee on Energy and Commerce,
submitted the following
R E P O R T
together with
MINORITY VIEWS
[To accompany H.R. 7700]
The Committee on Energy and Commerce, to whom was referred
the bill (H.R. 7700) to prohibit the Secretary of Energy from
prescribing or enforcing energy conservation standards for
dishwashers that are not cost-effective or technologically
feasible, and for other purposes, having considered the same,
reports favorably thereon without amendment and recommends that
the bill do pass.
CONTENTS
Page
Purpose and Summary.............................................. 2
Background and Need for Legislation.............................. 2
Committee Action................................................. 3
Committee Votes.................................................. 4
Oversight Findings and Recommendations........................... 6
New Budget Authority, Entitlement Authority, and Tax Expenditures 6
Congressional Budget Office Estimate............................. 6
Federal Mandates Statement....................................... 6
Statement of General Performance Goals and Objectives............ 6
Duplication of Federal Programs.................................. 6
Related Committee and Subcommittee Hearings...................... 6
Committee Cost Estimate.......................................... 7
Earmark, Limited Tax Benefits, and Limited Tariff Benefits....... 7
Advisory Committee Statement..................................... 7
Applicability to Legislative Branch.............................. 7
Section-by-Section Analysis of the Legislation................... 7
Changes in Existing Law Made by the Bill, as Reported............ 8
Minority Views................................................... 9
PURPOSE AND SUMMARY
H.R. 7700, the ``Stop Unaffordable Dishwasher Standards
Act'' was introduced by Representative Langworthy (R-NY) on
March 15, 2024. The legislation would prohibit the Secretary of
Energy from prescribing or enforcing energy efficiency
standards for dishwashers that are not technologically feasible
and economically justified, that are likely to result in
additional net costs to consumers, or that are not likely to
result in a significant conservation of energy.
BACKGROUND AND NEED FOR LEGISLATION
Congress enacted the Energy Policy and Conservation Act
(EPCA) in 1975 with the goal of increasing domestic energy
production and supply, reducing demand, encouraging more
efficient use of energy, and to improve energy security.\1\
EPCA authorized the Department of Energy's (DOE) Appliance and
Equipment Standards Program in 1975. The program sets minimum
energy efficiency standards for approximately 60 product
categories. These standards were initially nonbinding targets
until 1978 when Congress amended EPCA and authorized the
Secretary of Energy to set binding standards through
regulations. Title III of EPCA established the requirements for
standards that remain in effect today. For a new standard to be
promulgated, DOE must find that the standard would be cost-
effective, technologically feasible, and result in significant
conservation of energy.
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\1\42 U.S.C. Sec. 6201.
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Pursuant to EPCA, the DOE is required to follow specific
statutory criteria for prescribing new or amended standards for
covered products and covered equipment. Covered products
include refrigerators, kitchen ranges and ovens, water heaters,
dishwashers, clothes washers and dryers, television sets,
general service incandescent lamps, and showerheads.\2\ Covered
equipment includes, but is not limited to, electric motors and
pumps, commercial refrigerators, automatic commercial ice
makers, walk-in freezers, and commercial clothes washers.\3\
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\2\42 U.S.C. Sec. 6292(a).
\3\42 U.S.C. Sec. 6312.
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Under EPCA, DOE is required to review energy efficiency
standards of covered products no later than six years after the
issuance of a final rule. DOE is required either to publish a
determination that the standard does not need amending or to
issue a Notice of Proposed Rulemaking (NOPR) including a new
proposed standard.\4\ The DOE may only propose a new standard
if the new standard results in a significant conservation of
energy, is technologically feasible, and economically
justified. EPCA also includes a provision which categorically
prohibits any new or amended standard if the Secretary finds,
by preponderance of evidence, that the standard is likely to
result in the unavailability in the United States in any
covered product type (or class) of performance characteristics
(including reliability), features, sizes, capacities, and
volumes that are substantially the same as those generally
available in the United States at the time of the Secretary's
finding.\5\ This provision prohibits DOE from setting
efficiency standards that would sacrifice the availability of a
product or any desired product characteristics.
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\4\42 U.S.C. Sec. 6295(m)(1).
\5\42 U.S.C. Sec. 6295(o)(4)
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The Committee finds that the DOE has continuously ignored
the consumer protections built into the underlying statute,
EPCA, when setting efficiency standards. As a result, the DOE's
excessive standards have increased the cost of appliances,
undercut appliance product quality, and jeopardized consumer
choice. The Committee has found that multiple recently proposed
and finalized rules will not save a significant amount of
energy and are not cost-effective. On May 19, 2023, the DOE's
Office of Energy Efficiency and Renewable Energy issued a
Notice of Proposed Rulemaking (NOPR) for dishwasher efficiency
standards.\6\ According the Biden administration's own analysis
under the proposed rule, it would take more than twelve years
for the proposed efficiency upgrades to breakeven. Further, the
existing energy and water requirements for dishwashers are
already compromising product quality. As a result of existing
efficiency requirements, it now takes more than two cycles to
clean a load of dishes. According to the DOE's own analysis,
the proposed rule would save consumers $17 dollars over the
life of the appliance. The estimated life of a dishwasher is
15.2 years, which breaks the savings down to $1.12 dollars
annually.\7\
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\6\88 FR 32,514.
\7\88 FR 32,516.
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The Committee finds these numbers violate the rulemaking
framework prescribed in EPCA, which requires the implementation
of new standards to be technologically feasible, economically
justified, and result in a significant conservation of energy.
The NOPR is so stringent it would negatively impact desired
product characteristics, rendering it in violation of EPCA. In
fact, in January 2024, the U.S. Fifth Circuit Court of Appeals
determined the Biden administration's dishwasher rule did not
adequately consider appliance performance when setting new
efficiency standards.\8\ Because this administration has
continuously proposed efficiency standards that violate EPCA,
the Committee believes that this legislation is necessary to
prevent the DOE from prescribing or enforcing energy efficiency
standards for dishwashers that are not technologically feasible
and economically justified, that are likely to result in
additional net costs to consumers, or that are not likely to
result in a significant conservation of energy. The Committee
finds the DOE continuously downplays and ignores the consumer
protections in EPCA and prescribes standards that run contrary
to the statute's original intent. This legislation is necessary
to protect consumers from Federal mandates that increase costs,
fail to result in significant energy savings, are not
technologically feasible, or eliminate performance features or
product choices.
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\8\State of Louisiana v. Department of Energy (DOE), (5th Cir.
2024).
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COMMITTEE ACTION
On September 13, 2023, the Subcommittee on Energy, Climate,
and Grid Security held a hearing on a discussion draft of H.R.
6192. The title of the hearing was ``Keeping the Lights On:
Enhancing Reliability and Efficiency to Power American Homes.''
The purpose of H.R. 6192 was to amend the Energy Policy and
Conservation Act (EPCA) to reform the Department of Energy's
(DOE's) procedures for issuing energy efficiency standards by
prohibiting the Secretary of Energy from prescribing any new or
amended energy conservation standard for a product that is not
technologically feasible and economically justified. H.R. 6192
informed the development of H.R. 7700. The Subcommittee
received testimony from:
Gene Rodrigues, Assistant Secretary for
Electricity, Office of Electricity, U.S. Department of
Energy;
David Ortiz, Director, Office of Electric
Reliability, Federal Energy Regulatory Commission;
Kevin Messner, Executive Vice President and
Chief Policy Officer, Association of Home Appliance
Manufacturers;
B. Robert Paulling, President and Chief
Executive Officer, Mid-Carolina Electric Cooperative on
behalf of the National Rural Electrical Cooperatives
Association;
Ben Lieberman, Senior Fellow, Competitive
Enterprise Institute; and,
Andrew deLaski, Executive Director,
Appliance Standards Awareness Project.
On March 6, 2024, the Subcommittee on Energy, Climate, and
Grid Security met in open markup session and forwarded a
discussion draft of H.R. 7700, without amendment, to the full
Committee by a record vote of 15 yeas and 10 nays.
On March 20, 2024, the full Committee on Energy and
Commerce met in open markup session and ordered H.R. 7700,
without amendment, favorably reported to the House by a record
vote of 25 yeas and 21 nays.
COMMITTEE VOTES
Clause 3(b) of rule XIII requires the Committee to list the
record votes on the motion to report legislation and amendments
thereto. The following reflects the record votes taken during
the Committee consideration:
OVERSIGHT FINDINGS AND RECOMMENDATIONS
Pursuant to clause 2(b)(1) of rule X and clause 3(c)(1) of
rule XIII, the Committee held a hearing and made findings that
are reflected in this report.
NEW BUDGET AUTHORITY, ENTITLEMENT AUTHORITY, AND TAX EXPENDITURES
Pursuant to clause 3(c)(2) of rule XIII, the Committee
finds that H.R. 7700 would result in no new or increased budget
authority, entitlement authority, or tax expenditures or
revenues.
CONGRESSIONAL BUDGET OFFICE ESTIMATE
Pursuant to clause 3(c)(3) of rule XIII, at the time this
report was filed, the cost estimate prepared by the Director of
the Congressional Budget Office pursuant to section 402 of the
Congressional Budget Act of 1974 was not available.
FEDERAL MANDATES STATEMENT
The Committee adopts as its own the estimate of Federal
mandates prepared by the Director of the Congressional Budget
Office pursuant to section 423 of the Unfunded Mandates Reform
Act.
STATEMENT OF GENERAL PERFORMANCE GOALS AND OBJECTIVES
Pursuant to clause 3(c)(4) of rule XIII, the general
performance goal or objective of this legislation is to protect
consumers from Federal mandates on dishwashers that (1) are not
technologically feasible, (2) increase the cost of appliances,
and (3) do not conserve a significant amount of energy.
DUPLICATION OF FEDERAL PROGRAMS
Pursuant to clause 3(c)(5) of rule XIII, no provision of
H.R. 7700 is known to be duplicative of another Federal
program, including any program that was included in a report to
Congress pursuant to section 21 of Public Law 111-139 or the
most recent Catalog of Federal Domestic Assistance.
RELATED COMMITTEE AND SUBCOMMITTEE HEARINGS
Pursuant to clause 3(c)(6) of rule XIII, the following
related hearing was used to develop or consider H.R. 7700:
On September 13, 2023, the Subcommittee on
Energy, Climate, and Grid Security held a hearing on a
discussion draft of H.R. 6192. The title of the hearing
was ``Keeping the Lights On: Enhancing Reliability and
Efficiency to Power American Homes.'' The purpose of
H.R. 6192 was to amend the Energy Policy and
Conservation Act (EPCA) to reform the Department of
Energy's (DOE's) procedures for issuing energy
efficiency standards by prohibiting the Secretary of
Energy from prescribing any new or amended energy
conservation standard for a product that is not
technologically feasible and economically justified.
H.R. 6192 informed the development of H.R. 7700. The
Subcommittee received testimony from:
Gene Rodrigues, Assistant
Secretary for Electricity, Office of
Electricity, U.S. Department of Energy;
David Ortiz, Director, Office of
Electric Reliability, Federal Energy Regulatory
Commission;
Kevin Messner, Executive Vice
President and Chief Policy Officer, Association
of Home Appliance Manufacturers;
B. Robert Paulling, President
and Chief Executive Officer, Mid-Carolina
Electric Cooperative on behalf of the National
Rural Electrical Cooperatives Association;
Ben Lieberman, Senior Fellow,
Competitive Enterprise Institute; and,
Andrew deLaski, Executive
Director, Appliance Standards Awareness
Project.
COMMITTEE COST ESTIMATE
Pursuant to clause 3(d)(1) of rule XIII, the Committee
adopts as its own the cost estimate prepared by the Director of
the Congressional Budget Office pursuant to section 402 of the
Congressional Budget Act of 1974. At the time this report was
filed, the estimate was not available.
EARMARK, LIMITED TAX BENEFITS, AND LIMITED TARIFF BENEFITS
Pursuant to clause 9(e), 9(f), and 9(g) of rule XXI, the
Committee finds that H.R. 7700 contains no earmarks, limited
tax benefits, or limited tariff benefits.
ADVISORY COMMITTEE STATEMENT
No advisory committees within the meaning of section 5(b)
of the Federal Advisory Committee Act were created by this
legislation.
APPLICABILITY TO LEGISLATIVE BRANCH
The Committee finds that the legislation does not relate to
the terms and conditions of employment or access to public
services or accommodations within the meaning of section
102(b)(3) of the Congressional Accountability Act.
SECTION-BY-SECTION ANALYSIS OF THE LEGISLATION
Section 1. Short title
Section 1 provides that the Act may be cited as the ``Stop
Unaffordable Dishwasher Standards Act.''
Section 2. Prescribing and enforcing energy conservation standards for
dishwashers
Section 2(a) prohibits the Secretary of Energy from
prescribing or enforcing a new or an amended energy
conservation standard for a dishwasher that is not
technologically feasible or economically justified. Nothing in
this section amends subsections (m), (n), or (o) of section 325
of EPCA.
Section 2(b) prohibits the Secretary of Energy from
prescribing or enforcing a new or an amended energy
conservation standard for a dishwasher that is likely to result
in additional net costs to the consumer. Nothing in this
section amends subsections (m), (n), or (o) of section 325 of
EPCA.
Section 2(c) prohibits the Secretary of Energy from
prescribing or enforcing a new or an amended energy
conservation standard for a dishwasher that will not result in
a significant conservation of energy. Nothing in this section
amends subsections (m), (n), or (o) of section 325 of EPCA.
Section 2(d) provides that the terms ``covered product''
and ``energy conservation standard'' have the same meaning as
such terms in section 321 of EPCA (42 U.S.C. 6291).
CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED
This legislation does not amend any existing Federal
statute.
MINORITY VIEWS
H.R. 7700, the Stop Unaffordable Dishwasher Standards
(SUDS) Act H.R. 7700, the ``Stop Unaffordable Dishwasher
Standards (SUDS) Act,'' would prevent Americans from
benefitting from the cost and energy savings made possible by
the appliance standards set through the Energy Policy and
Conservation Act (EPCA).
While H.R. 7700 is drafted to look like a consumer
protection bill, this bill is designed to weaken the Department
of Energy's popular and successful energy conservation program.
H.R. 7700 fails to acknowledge or account for the fact that
EPCA already requires standards to result in significant energy
conservation and be technologically feasible and economically
justified.\1\ The bills also does not specify when it would go
into effect, potentially blocking enforcement of both recent
and pending updated standards. H.R. 7700 also does not include
definitions for any of its terms, leaving the door open for
drastically different interpretations from administration to
administration. By failing to account for life cycle cost
savings from dishwashers and failing to define ``significant
conservation of energy,'' this bill creates a vague set of
standards that would conflict with what already exists in EPCA.
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\1\Congressional Research Service, The Department of Energy's
Appliance and Equipment Standards Program (Feb. 2022) (R47038).
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H.R. 7700 also runs counter to a consensus agreement
reached for dishwashers, in addition to other home appliances.
In September 2023, home appliance manufacturers, along with
energy efficiency advocates, came together to announce a
consensus agreement on energy and water efficiency for
dishwashers, refrigerators and freezers, beverage and wine
chillers, clothes washers, clothes dryers, and cooking
products.\2\ As the Committee Report for H.R. 7700
acknowledges, the energy conservation standard for dishwashers
is not yet finalized. It is not clear how H.R. 7700 would
impact the finalization of dishwasher standards. The Department
of Energy already has a robust process for engaging
stakeholders in the development of conservation standards, and
we strongly support this existing process.
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\2\Association of Home Appliance Manufacturers, Agreement on Home
Appliance Efficiency Standards Will Preserve Consumer Features and
Deliver Remarkable Energy Savings (Sept. 13, 2023).
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In the Committee report for H.R. 7700, the Majority cites a
Subcommittee on Energy, Climate, and Grid Security hearing on
September 13, 2023 as the basis for H.R. 7700. This hearing,
titled ``Keeping the Lights On: Enhancing Reliability and
Efficiency to Power American Homes,'' did not include testimony
on H.R. 7700. As a result, the Committee did not receive any
expert witness testimony on the need for the bill or its
effects on a not-yet-finalized rule.
Energy conservation standards are popular. Three out of
five Americans support stricter energy efficiency standards for
appliances and buildings.\3\ Additionally, the Biden
Administration's past and planned energy efficiency actions
will save Americans $570 billion over the next 30 years.\4\ We
believe that the energy conservation program should be
strengthened, not weakened by vague and duplicative statutory
language.
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\3\Attitudes on Natural Gas Bans Aren't Changing Much--but Support
is Rising for Strengthened Energy Efficiency Standards, Morning Consult
Pro (Apr. 27, 2023).
\4\Department of Energy, DOE Announces Efficiency Standards to Save
Americans More Than $1 Billion Annually in Utility Bills (July 28,
2023) (press release).
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For the reasons stated above, we oppose H.R. 7700.
Frank Pallone, Jr.,
Ranking Member.