[Federal Register Volume 66, Number 149 (Thursday, August 2, 2001)]
[Rules and Regulations]
[Pages 40110-40111]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-19339]



FEDERAL TRADE COMMISSION

16 CFR Part 305


Rule Concerning Disclosures Regarding Energy Consumption and 
Water Use of Certain Home Appliances and Other Products Required Under 
the Energy Policy and Conservation Act (``Appliance Labeling Rule'')

AGENCY: Federal Trade Commission.

ACTION: Final rule.

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SUMMARY: The Federal Trade Commission (Commission) announces that the 
current ranges of comparability required by the Appliance Labeling Rule 
(Rule) for room air conditioners, heat pump water heaters, storage-type 
water heaters, gas-fired instantaneous water heaters, furnaces, 
boilers, and pool heaters will remain in effect until further notice.

EFFECTIVE DATE: October 31, 2001.

FOR FURTHER INFORMATION CONTACT: Hampton Newsome, Attorney, Division of 
Enforcement, Federal Trade Commission, Washington, DC 20580 (202-326-
2889);[email protected].

SUPPLEMENTARY INFORMATION: The Rule was issued by the Commission in 
1979, 44 FR 66466 (Nov. 19, 1979), in response to a directive in the 
Energy Policy and Conservation Act of 1975.\1\ The Rule covers eight 
categories of major household appliances: refrigerators and 
refrigerator-freezers, freezers, dishwashers, clothes washers, water 
heaters (this category includes storage-type water heaters, gas-fired 
instantaneous water heaters, and heat pump water heaters), room air 
conditioners, furnaces (this category includes boilers), and central 
air conditioners (this category includes heat pumps). The Rule also 
covers pool heaters, 59 FR 49556 (Sept. 28, 1994), and contains 
requirements that pertain to fluorescent lamp ballasts, 54 FR 28031 
(July 5, 1989), certain plumbing products, 58 FR 54955 (Oct. 25, 1993), 
and certain lighting products, 59 FR 25176 (May 13, 1994, eff. May 15, 
1995).
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    \1\ 42 U.S.C. 6294. The status also requires the Department of 
Energy (DOE) to develop test procedures that measure how much energy 
the appliances use, and to determine the representative average cost 
a consumer pays for the different types of energy available.
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    The Rule requires manufacturers of all covered appliances and pool 
heaters to disclose specific energy consumption or efficiency (derived 
from the DOE test procedures) at the point of sale in the form of an 
``Energy Guide'' label and in catalogs. It also requires manufacturers 
of furnaces, central air conditioners, and heat pumps either to provide 
fact sheets showing additional cost information, or to be listed in 
industry directory showing the cost information for their products. The 
Rule requires manufacturers to include, on labels and fact sheets, an 
energy consumption or efficiency figure and a ``range of 
comparability.'' This range shows the highest and lowest energy 
consumption or efficiencies for all comparable appliance models so 
consumers can compare the energy consumption or efficiency of other 
models (perhaps competing brands) similar to the label model. The Rule 
also requires manufacturers to include, on labels for some products, a 
secondary energy usage disclosure in the form of an estimated annual 
operating cost based on a specified DOE national average cost for fuel 
the applicance uses.
    Section 305.8(b) of the Rule requires manufactures, after filing an 
initial report, to report certain information annually to the 
Commission by specified dates for each product type.\2\ These reports, 
which are to assist the Commission in preparing the ranges of 
comparability, contain the estimated annual energy consumption or 
energy efficiency ratings for the appliances derived from tests 
performed pursuant to the DOE test procedures. Because manufacturers 
regularly add new models to their lines, improve existing models, and 
drop others, the data base from which the range of comparability are 
calculated is constantly changing. To keep the required information 
consistent with these changes, under Section 305.10 of the Rule, the 
Commission will publish new ranges if an analysis of the new 
information indicates that the upper or lower limits of the ranges have 
changed by more than 15%. Otherwise, the Commission will publish a 
statement that the prior ranges remain in effect for the next year.
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    \2\ Reports from room air conditioners, heat pump water heaters, 
storage-type water heaters, gas-fired instantaneous water heaters, 
furnaces, boilers, and pool heaters are due May 1.
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    Manufacturers have submitted data for room air conditioners, water 
heaters (including storage-type, gas-fired instantaneous, and heat pump 
water heaters), furnaces, boilers, and pool heaters. The ranges of 
comparability for room air conditioners, heat pump water heaters, 
storage-type water heaters, gas-fired instantaneous water heaters, 
furnaces, boilers, and pool heaters have not changed by more than 15% 
from the current ranges for these products. Therefore, the current 
ranges for these products will remain in effect until further notice.
    This means that manufacturers of storage-type water heaters, 
furnaces, and boilers must continue to use the ranges that were 
published on September 23, 1994 (59 FR 48796). These manufacturers must 
continue to base the disclosures of estimated annual operating cost 
required at the bottom of EnergyGuides for these products on the 1994 
Representative Average Unit Costs of Energy for electricity (8.41 cents 
per kilo Watt-hour), natural gas (60.4 cents per therm), propane (98 
cents per gallon), and/or heating oil ($1.05 per gallon) that were 
published by DOE on December 29, 1993 (58 FR 68901), and

[[Page 40111]]

by the Commission on February 8, 1994 (59 FR 5699).
    Manufacturers of heat pump water heaters must continue to use the 
ranges that were published on September 1, 2000 (65 FR 53163). 
Manufacturers of heat pump water heaters must continue to base the 
disclosures of estimated annual operating cost required at the bottom 
of EnergyGuides for these products on the 2000 Representative Average 
Unit Costs of Energy for electricity (8.03 cents per kiloWatt-hour) 
that were published by DOE on March 8, 2001 (66 FR 27856), and by the 
Commission on May 21, 2001 (66 FR 27856).
    Manufacturers of gas-fired instantaneous water heaters must 
continue to use the ranges of comparability that were published on 
December 20, 1999 (64 FR 71019). They must continue to base the 
disclosures of estimated annual operating cost required at the bottom 
of EnergyGuides for these products on the 1999 Representative Average 
Unit Cost of Energy for natural gas (68.8 cents per therm) and propane 
(77 cents per gallon) that were published by DOE on January 5, 1999 (64 
FR 487) and by the Commission on February 17, 1999 (64 FR 7783).
    Manufacturers of pool heaters must continue to use the ranges that 
were published on August 21, 1995 (60 FR 43367). Manufacturers of room 
air conditioners must continue to use the corrected ranges for room air 
conditioners that were published on November 13, 1995 (60 FR 56945, at 
56949). Manufacturers of pool heaters and room air conditioners must 
continue to base the disclosures of estimated annual operating cost 
required at the bottom of EnergyGuides for these products on the 1995 
Representative Average Unit Costs of Energy for electricity (8.67 cents 
per kiloWatt-hour), natural gas (63 cents per therm), propane (98.5 
cents per gallon), and/or heating oil ($1.008 per gallon) that were 
published by DOE on January 5, 1995 (60 FR 1773), and by the Commission 
on February 17, 1995 (60 FR 9295).
    For up-to-date tables showing current range and cost information 
for all covered appliances, see the Commission's Appliance Labeling 
Rule web page at www.ftc.gov/appliances.

List of Subjects in 16 CFR Part 305

    Advertising, Energy conservation, Household appliances, Labeling, 
Reporting and recordkeeping requirements.

    The authority citation for Part 305 continues to read as follows:

    Authority: 42 U.S.C. 6294.

    By direction of the Commission.
Donald S. Clark,
Secretary.
[FR Doc. 01-19339 Filed 8-1-01; 8:45 am]
BILLING CODE 6750-01-M