[Federal Register Volume 71, Number 153 (Wednesday, August 9, 2006)]
[Rules and Regulations]
[Pages 45371-45374]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 06-6814]


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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'') is amending the 
Appliance Labeling Rule (``Rule'') by publishing new ranges of 
comparability for room air conditioners. The Commission also announces 
that the current ranges of comparability required by the Rule for water 
heaters, furnaces, boilers, dishwashers, and pool heaters will remain 
in effect until further notice.

DATES: The amendments published in this notice are effective November 
7, 2006.

FOR FURTHER INFORMATION CONTACT: Hampton Newsome, Attorney, 202-326-
2889, Division of Enforcement, Bureau

[[Page 45372]]

of Consumer Protection, Federal Trade Commission, Washington, DC 20580.

SUPPLEMENTARY INFORMATION: The Commission issued the Appliance Labeling 
Rule (``Rule'') in 1979, 44 FR 66466 (November 19, 1979), in response 
to a directive in the Energy Policy and Conservation Act of 1975 
(``EPCA'').\1\ The Rule covers several categories of major household 
appliances including water heaters, room air conditioners, furnaces, 
boilers, dishwashers, and pool heaters.
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    \1\ 42 U.S.C. 6294. The statute 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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I. Background

    The Rule requires manufacturers of all covered appliances to 
disclose specific energy consumption or efficiency information derived 
from Department of Energy (``DOE'') test procedures at the point of 
sale in the form of an ``EnergyGuide'' label, in fact sheets (for some 
appliances), and in catalogs. 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 similar models. 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 the energy the appliance uses.
    Section 305.8(b) of the Rule requires manufacturers, after filing 
an initial report, to report certain information annually to the 
Commission.\2\ These reports, which 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 DOE test procedures. Because 
manufacturers regularly add new models to their lines, improve existing 
models, and discontinue others, the data base from which the ranges of 
comparability are calculated changes constantly. To keep the 
information on labels up-to-date, the Commission, therefore, publishes 
new ranges if the upper or lower limits of the ranges have changed by 
more than 15%. Otherwise, the Commission publishes a statement that the 
prior ranges remain in effect for the next year.
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    \2\ Annual reports for water heaters, room air conditioners, 
furnaces, boilers, and pool heaters are due May 1. Annual reports 
for dishwashers are due June 1.
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II. New Ranges for Room Air Conditioners

    The 2006 manufacturer data for room air conditioners indicates that 
ranges of comparability for room air conditioners have changed 
significantly since the Commission last amended the ranges in 1995. 
Accordingly, the Commission is amending the range for room air 
conditioners in Appendix E of the Rule. The new ranges of comparability 
for room air conditioners supersede the current ranges, which were 
published on November 13, 1995 (60 FR 56945). Room air conditioner 
manufacturers must base the disclosures of estimated annual operating 
cost required at the bottom of EnergyGuide labels for these products on 
the 2006 Representative Average Unit Costs of Energy for electricity 
(9.81 cents per kiloWatt-hour) that were published by DOE on March 11, 
2005 (71 FR 9806).\3\
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    \3\ Unlike DOE requirements (see 10 CFR 430.32), FTC labeling 
rules do not have separate room air conditioner categories for 
casement-only and casement-slider models. Accordingly, the FTC 
ranges of comparability for many room air conditioner categories are 
based on data that include the efficiency ratings of these 
specialized model types. In some cases, the minimum DOE efficiency 
standards for casement models are lower than that allowed for other 
room air conditioner models.
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III. Review of 2005 Data Submissions for Water Heaters, Dishwashers, 
Furnaces, Boilers, and Pool Heaters

    Manufacturers have also submitted data for water heaters (including 
storage-type, gas-fired instantaneous, and heat pump water heaters), 
dishwashers, furnaces (including boilers), and pool heaters. The ranges 
of comparability for these products have not changed significantly. 
Therefore, the current ranges will remain in effect until further 
notice. Manufacturers should continue to base their cost disclosures on 
estimated annual operating costs specified in the applicable Appendices 
to the Rule.

IV. Administrative Procedure Act

    The amendments published in this notice involve routine, technical 
and minor, or conforming changes to the labeling requirements in the 
Rule. These technical amendments merely provide a routine change to the 
range and cost information required on EnergyGuide labels. Accordingly, 
the Commission finds for good cause that public comment for these 
technical, procedural amendments is impractical and unnecessary (5 
U.S.C. 553(b)(A)(B) and (d)).

V. Regulatory Flexibility Act

    The provisions of the Regulatory Flexibility Act relating to a 
Regulatory Flexibility Act analysis (5 U.S.C. 603-604) are not 
applicable to this proceeding because the amendments do not impose any 
new obligations on entities regulated by the Appliance Labeling Rule. 
These technical amendments merely provide a routine change to the range 
information required on EnergyGuide labels. Thus, the amendments will 
not have a ``significant economic impact on a substantial number of 
small entities.'' 5 U.S.C. 605. The Commission has concluded, 
therefore, that a regulatory flexibility analysis is not necessary, and 
certifies, under section 605 of the Regulatory Flexibility Act (5 
U.S.C. 605(b)), that the amendments announced today will not have a 
significant economic impact on a substantial number of small entities.

VI. Paperwork Reduction Act

    In a June 13, 1988 notice (53 FR 22106), the Commission stated that 
the Rule contains disclosure and reporting requirements that constitute 
``information collection requirements'' as defined by 5 CFR 1320.7(c), 
the regulation that implements the Paperwork Reduction Act.\4\ The 
Commission noted that the Rule had been reviewed and approved in 1984 
by the Office of Management and Budget (``OMB'') and assigned OMB 
Control No. 3084-0068. OMB has reviewed the Rule and extended its 
approval for its recordkeeping and reporting requirements until 
December 31, 2007. The amendments now being adopted do not change the 
substance or frequency of the recordkeeping, disclosure, or reporting 
requirements and, therefore, do not require further OMB clearance.
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    \4\ 44 U.S.C. 3501-3520.
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List of Subjects in 16 CFR Part 305

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

0
Accordingly, 16 CFR part 305 is amended as follows:

PART 305--[AMENDED]

0
1. The authority citation for part 305 continues to read:

    Authority: 42 U.S.C. 6294.


[[Page 45373]]



2. Appendix E to part 305 is revised to read as follows:

             Appendix E to Part 305.--Room Air Conditioners
                           [Range Information]
------------------------------------------------------------------------
                                            Range of energy efficiency
Manufacturer's rated cooling capacity in           ratios (EERs)
                Btu's/yr                 -------------------------------
                                                Low            High
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Without Reverse Cycle and with Louvered
 Sides:
    Less than 6,000 Btu.................             9.7            11.2
    6,000 to 7,999 Btu..................             8.7            11.5
    8,000 to 13,999 Btu.................             8.5            12.0
    14,000 to 19,999 Btu................             8.5            11.5
    20,000 and more Btu.................             8.5             9.9
Without Reverse Cycle and without
 Louvered Sides:
    Less than 6,000 Btu.................             (*)             (*)
    6,000 to 7,999......................             9.0            10.0
    8,000 to 13,999 Btu.................             8.5            10.5
    14,000 to 19,999 Btu................             9.0             9.0
    20,000 and more Btu.................             (*)             (*)
With Reverse Cycle and with Louvered                 9.0            12.0
 Sides..................................
With Reverse Cycle, without Louvered                 8.5           10.0
 Sides..................................
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* No data submitted for units meeting Federal Minimum Efficiency
  Standards effective October 1, 2000.

Cost Information for Appendix E

    When the ranges of comparability in Appendix E are used on 
EnergyGuide labels for room air conditioners, the estimated annual 
operating cost disclosure appearing in the box at the bottom of the 
labels must be derived using the 2006 Representative Average Unit 
Costs for electricity (9.81[cent] per kiloWatt-hour) and the text 
below the box must identify the costs as such


0
3. Sample Label 6 of Appendix L to Part 305 is revised to read as 
follows:

Appendix L to Part 305--Sample Labels

* * * * *
BILLING CODE 6750-01-P

[[Page 45374]]

[GRAPHIC] [TIFF OMITTED] TR09AU06.005

Sample Label 6

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    By direction of the Commission.
Donald S. Clark,
Secretary.
[FR Doc. 06-6814 Filed 8-8-06; 8:45 am]
BILLING CODE 6750-01-C?>