[Federal Register Volume 76, Number 168 (Tuesday, August 30, 2011)]
[Notices]
[Pages 53889-53896]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-22112]


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DEPARTMENT OF ENERGY

Office of Energy Efficiency and Renewable Energy

[Case No. CAC-036]


Publication of the Petition for Waiver From LG Electronics, Inc. 
and Granting of the Interim Waiver From the Department of Energy 
Commercial Package Air Conditioner and Heat Pump Test Procedures

AGENCY: Office of Energy Efficiency and Renewable Energy, Department of 
Energy.

ACTION: Notice of petition for waiver, granting of application for 
interim waiver, and request for comments.

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SUMMARY: This notice announces receipt of and publishes a petition for 
waiver from LG Electronics, Inc. (LG). The petition for waiver 
(hereafter ``petition'') requests a waiver from the U.S. Department of 
Energy (DOE) test procedure applicable to commercial package air-source 
and water-source central air conditioners and heat pumps. The petition 
is specific to the variable capacity Multi V III (commercial) multi-
split heat pump models specified in LG's petition. Through this 
document, DOE: (1) Solicits comments, data, and information with 
respect to the LG petition; and (2) announces the grant of an interim 
waiver to LG from the existing DOE test procedure for the subject 
commercial multi-split air conditioners and heat pumps.

DATES: DOE will accept comments, data, and information with respect to 
the LG petition until, but no later than September 29, 2011.

ADDRESSES: You may submit comments, identified by case number ``CAC-
036,'' by any of the following methods:
     Federal eRulemaking Portal:http://www.regulations.gov. 
Follow the instructions for submitting comments.
     E-mail: [email protected]. Include the case 
number [CAC-036] in the subject line of the message.
     Mail: Ms. Brenda Edwards, U.S. Department of Energy, 
Building Technologies Program, Mailstop EE-2J/1000 Independence Avenue, 
SW., Washington, DC 20585-0121. Telephone: (202) 586-2945. Please 
submit one signed original paper copy.
     Hand Delivery/Courier: Ms. Brenda Edwards, U.S. Department 
of Energy, Building Technologies Program, 950 L'Enfant Plaza, SW., 
Suite 600, Washington, DC 20024. Please submit one signed original 
paper copy.

Docket: For access to the docket to review the background documents

[[Page 53890]]

relevant to this matter, you may visit the U.S. Department of Energy, 
950 L'Enfant Plaza, SW., Washington, DC 20024; (202) 586-2945, between 
9 a.m. and 4 p.m., Monday through Friday, except on Federal holidays. 
Available documents include the following items: (1) This notice; (2) 
public comments received; (3) the petition for waiver and application 
for interim waiver; and (4) prior DOE rulemakings and waivers regarding 
similar central air conditioning and heat pump equipment. Please call 
Ms. Brenda Edwards at the above telephone number for additional 
information.

FOR FURTHER INFORMATION CONTACT: Dr. Michael G. Raymond, U.S. 
Department of Energy, Building Technologies Program, Mail Stop EE-2J, 
Forrestal Building, 1000 Independence Avenue, SW., Washington, DC 
20585-0121. Telephone: (202) 586-9611. E-mail: [email protected].
    Ms. Elizabeth Kohl, U.S. Department of Energy, Office of the 
General Counsel, Mail Stop GC-71, Forrestal Building, 1000 Independence 
Avenue, SW., Washington, DC 20585-0103. Telephone: (202) 586-7796. E-
mail: mailto:[email protected].

SUPPLEMENTARY INFORMATION: 

I. Background and Authority

    Title III of the Energy Policy and Conservation Act (EPCA) sets 
forth a variety of provisions concerning energy efficiency, including 
part B of Title III, which establishes the ``Energy Conservation 
Program for Consumer Products Other Than Automobiles.'' (42 U.S.C. 
6291-6309) part C of Title III provides for a similar energy efficiency 
program titled ``Certain Industrial Equipment,'' which includes 
commercial air conditioning equipment, package boilers, water heaters, 
and other types of commercial equipment.\1\ (42 U.S.C. 6311-6317)
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    \1\ For editorial reasons, upon codification in the U.S. Code, 
Parts B and C were re-designated parts A and A-1, respectively.
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    Today's notice involves commercial equipment under Part C. Part C 
specifically includes definitions (42 U.S.C. 6311), test procedures (42 
U.S.C. 6314), labeling provisions (42 U.S.C. 6315), energy conservation 
standards (42 U.S.C 6313), and the authority to require information and 
reports from manufacturers (42 U.S.C. 6316). With respect to test 
procedures, Part C authorizes the Secretary of Energy (the Secretary) 
to prescribe test procedures that are reasonably designed to produce 
results that measure energy efficiency, energy use, and estimated 
annual operating costs, and that are not unduly burdensome to conduct. 
(42 U.S.C. 6314(a)(2)).
    For commercial package air-conditioning and heating equipment, EPCA 
provides that ``the test procedures shall be those generally accepted 
industry testing procedures or rating procedures developed or 
recognized by the Air-Conditioning and Refrigeration Institute [ARI] or 
by the American Society of Heating, Refrigerating and Air-Conditioning 
Engineers [ASHRAE], as referenced in ASHRAE/IES Standard 90.1 and in 
effect on June 30, 1992.'' (42 U.S.C. 6314(a)(4)(A)) Under 42 U.S.C. 
6314(a)(4)(B), if the industry test procedure for commercial package 
air-conditioning and heating equipment is amended, EPCA directs the 
Secretary to amend the corresponding DOE test procedure unless the 
Secretary determines, by rule and based on clear and convincing 
evidence, that such a modified test procedure does not meet the 
statutory criteria set forth in 42 U.S.C. 6314(a)(2) and (3).
    On December 8, 2006, DOE published a final rule adopting test 
procedures for commercial package air-conditioning and heating 
equipment, effective January 8, 2007. 71 FR 71340. Table 1 to Title 10 
of the Code of Federal Regulations (10 CFR) 431.96 directs 
manufacturers of commercial package air conditioning and heating 
equipment to use the appropriate procedure when measuring energy 
efficiency of those products. For commercial package air-source 
equipment with capacities between 65,000 and 760,000 Btu/h, ARI 
Standard 340/360-2004 is the applicable test procedure.
    DOE's regulations for covered products permit a person to seek a 
waiver from the test procedure requirements for covered commercial 
equipment if at least one of the following conditions is met: (1) The 
petitioner's basic model contains one or more design characteristics 
that prevent testing according to the prescribed test procedures; or 
(2) the prescribed test procedures may evaluate the basic model in a 
manner so unrepresentative of its true energy consumption as to provide 
materially inaccurate comparative data. 10 CFR 431.401(a)(1). 
Petitioners must include in their petition any alternate test 
procedures known to the petitioner to evaluate the basic model in a 
manner representative of its energy consumption. 10 CFR 
431.401(b)(1)(iii). The Assistant Secretary for Energy Efficiency and 
Renewable Energy (Assistant Secretary) may grant a waiver subject to 
conditions, including adherence to alternate test procedures. 10 CFR 
431.401(f)(4). Waivers remain in effect pursuant to the provisions of 
10 CFR 431.401(g).
    The waiver process also permits parties submitting a petition for 
waiver to file an application for interim waiver of the applicable test 
procedure requirements. 10 CFR 431.401(a)(2). The Assistant Secretary 
will grant an interim waiver request if it is determined that the 
applicant will experience economic hardship if the application for 
interim waiver is denied, if it appears likely that the petition for 
waiver will be granted, and/or the Assistant Secretary determines that 
it would be desirable for public policy reasons to grant immediate 
relief pending a determination on the petition for waiver. 10 CFR 
431.401(e)(3). An interim waiver remains in effect for 180 days or 
until DOE issues its determination on the petition for waiver, 
whichever occurs first. It may be extended by DOE for an additional 180 
days. 10 CFR 431.401(e)(4).

II. Petition for Waiver

    On July 22, 2011, LG filed a petition for waiver from the test 
procedures at 10 CFR 431.96 applicable to commercial package air-source 
and water-source central air conditioners and heat pumps, as well as an 
application for interim waiver. LG's petition requested a waiver for 
the LG Multi V III multi-split heat pumps with capacities ranging from 
69,000 Btu/h to 414,000 Btu/h. The applicable test procedure for these 
heat pumps is ARI 340/360-2004. Manufacturers are directed to use these 
test procedures pursuant to Table 1 of 10 CFR 431.96.
    LG seeks a waiver from the applicable test procedures under 10 CFR 
431.96 on the grounds that its Multi V III multi-split heat pumps 
contain design characteristics that prevent testing according to the 
current DOE test procedures. Specifically, LG asserts that the two 
primary factors that prevent testing of its Multi V III multi-split 
variable speed products are the same factors stated in the waivers that 
DOE granted to Mitsubishi Electric & Electronics USA, Inc. (Mitsubishi) 
and other manufacturers for similar lines of commercial multi-split 
air-conditioning systems:
     Testing laboratories cannot test products with so many 
indoor units; and
     There are too many possible combinations of indoor and 
outdoor units to test. See, e.g., 72 FR 17528 (April 9, 2007) 
(Mitsubishi); 76 FR 19069 (April 6, 2011) (Daikin); 76 FR 19078 (April 
6, 2011) (Mitsubishi); 76 FR 31951 (June 2, 2011) (Carrier); 76 FR

[[Page 53891]]

50204 (August 12, 2011) (Fujitsu General Limited).
    The Multi V III systems have operational characteristics similar to 
the commercial multi-split products manufactured by other 
manufacturers. As indicated above, DOE has already granted waivers for 
these products. The Multi V III system consists of multiple indoor 
units connected to an air-cooled outdoor unit. These multi-splits are 
used in zoned systems where an outdoor or water-source unit can be 
connected with up to 13-61 separate indoor units, which need not be the 
same models. According to LG, the various indoor and outdoor models can 
be connected in a multitude of configurations, with many thousands of 
possible combinations. Consequently, LG requested that DOE grant a 
waiver from the applicable test procedures for its Multi V III product 
designs until a suitable test method can be prescribed.

III. Application for and Grant of Interim Waiver

    On July 22, 2011, LG also submitted an application for an interim 
waiver from the test procedures at 10 CFR 431.96 for its Multi V III 
equipment. DOE determined that LG's application for interim waiver does 
not provide sufficient market, equipment price, shipments, and other 
manufacturer impact information to permit DOE to evaluate the economic 
hardship LG might experience absent a favorable determination on its 
application for an interim waiver. DOE understands, however, that if it 
did not issue an interim waiver, LG's products would not be tested and 
rated for energy consumption in the same manner as equivalent products 
for which DOE previously granted waivers. Furthermore, DOE has 
determined that it appears likely that LG's petition for waiver will be 
granted and that is desirable for public policy reasons to grant LG 
immediate relief pending a determination on the petition for waiver. 
DOE believes that it is likely LG's petition for waiver for the new 
Multi V III multi-split models will be granted because, as noted above, 
DOE has previously granted a number of waivers for similar product 
designs. The two principal reasons supporting the grant of the previous 
waivers also apply to LG's Multi V III products: (1) Test laboratories 
cannot test products with so many indoor units; and (2) it is 
impractical to test so many combinations of indoor units with each 
outdoor unit. In addition, DOE believes that similar products should be 
tested and rated for energy consumption on a comparable basis. For 
these same reasons, DOE also determined that it is desirable for public 
policy reasons to grant immediate relief pending a determination on the 
petition for waiver.
    Therefore, it is ordered that:
    The application for interim waiver filed by LG is hereby granted 
for LG's Multi V III multi-split heat pumps, subject to the 
specifications and conditions below.
    1. LG shall not be required to test or rate its Multi V III 
commercial multi-split products on the basis of the existing test 
procedures under 10 CFR 431.96, which incorporates by reference ARI 
340/360-2004.
    2. LG shall be required to test and rate its Multi V III commercial 
multi-split products according to the alternate test procedure as set 
forth in section IV, ``Alternate test procedure.''
    The interim waiver applies to the following basic model groups:
    Multi V Series Air-Source Heat Pumps and Heat Recovery Units:

    ARU*072*T3, ARU*096*T3, ARU*121*T3, ARU*144*T3, ARU*168*T3, 
ARU*192*T3, ARU*216*T3, ARU*240*T3, ARU*264*T3, ARU*288*T3, 
ARU*312*T3, ARU*336*T3, ARU*360*T3, ARU*384*T3, ARU*408*T3, 
ARU*432*T3, with normally rated cooling capacities of 69,000, 
92,000, 114,000, 138,000, 160,000, 184,000, 206,000, 228,000, 
250,000, 274,000, 296,000, 320,000, 342,000, 366,000, 390,000, and 
414,000 Btu/h respectively.

    Compatible indoor units for the above-listed air-source and water-
source units:

    Wall Mounted: ARNU073SEL2, ARNU093SEL2, ARNU123SEL2, 
ARNU153SEL2, ARNU183S5L2, and ARNU243S5L2, with nominally rated 
cooling capacities of 7,500, 9,600, 12,300, 15,400, 19,100, and 
24,200 Btu/h respectively.
    Art Cool Mirror: ARNU073SE*2, ARNU093SE*2, ARNU123SE*2, 
ARNU153SE*2, ARNU183S3*2, and ARNU243S3*2, with nominally rated 
cooling capacities of 7,500, 9,600, 12,300, 15,400, 19,100, and 
24,200 Btu/h respectively.
    4 Way Cassette: ARNU053TR*2, ARNU073TEC2, ARNU093TEC2, 
ARNU093TN*2, ARNU123TEC2, ARNU123TN*2, ARNU153TEC2, ARNU153TN*2, 
ARNU183TEC2, ARNU183TM*2, ARNU243TPC2, ARNU243TM*2, ARNU283TPC2, 
ARNU363TNC2, ARNU423TMC2, and ARNU483TMC2, with nominally rated 
cooling capacities of 5,300, 7,500, 9,600, 9,600, 12,300, 12,300, 
15,400, 15,400, 19,100, 19,100, 24,200, 24,200, 28,000, 36,200, 
42,000, and 48,100 Btu/h respectively.
    2 Way Cassette: ARNU183TLC2 and ARNU243TLC2, with nominally 
rated capacities of 19,100 and 24,200 Btu/h respectively.
    1 Way Cassette: ARNU073TJC2, ARNU093TJC2, and ARNU123TJC2, with 
nominally rated capacities of 7,500, 9,600, and 12,300 Btu/h 
respectively.
    Ceiling Concealed Duct--Low Static: ARNU073B1G2, RNU093B1G2, 
ARNU123B1G2, ARNU153B1G2, ARNU183B2G2, and ARNU243B2G2, with 
nominally rated capacities of 7,500, 9,600, 12,300, 15,400, 19,100, 
and 24,200 Btu/h respectively.
    Ceiling Concealed Duct--Built-in: ARNU073B3G2, ARNU093B3G2, 
ARNU123B3G2, ARNU153B3G2, ARNU183B4G2, and ARNU243B4G2, with 
nominally rated capacities of 7,500, 9,600, 12,300, 15,400, 19,100, 
and 24,200 Btu/h respectively.
    Ceiling Concealed Duct--High Static: ARNU073BHA2, ARNU093BHA2, 
ARNU123BHA2, ARNU153BHA2, ARNU153BGA2, ARNU183BHA2, ARNU183BGA2, 
ARNU243BHA2, ARNU243BGA2, ARNU283BGA2, ARNU363BGA2, ARNU423BGA2, 
ARNU483BRA2, URNU763B8A2, and URNU963B8A2, with nominally rated 
capacities of 7,500, 9,600, 12,300, 15,400, 15,400, 19,100, 19,100, 
24,200, 24,200, 28,000, 36,200, 42,000, 48,100, 76,400, and 95,500 
Btu/h respectively.
    Ceiling & Floor: ARNU093VEA2 and ARNU123VEA2, with nominally 
rated capacities of 9,600 and 12,300 Btu/h respectively.
    Ceiling Suspended: ARNU183VJA2 and ARNU243VJA2, with nominally 
rated capacities of 19,100 and 24,200 Btu/h respectively.
    Floor Standing with Case: ARNU073CEA2, ARNU093CEA2, ARNU123CEA2, 
ARNU153CEA2, ARNU183CFA2, and ARNU243CFA2, with nominally rated 
capacities of 7,500, 9,600, 12,300, 15,400, 19,100, and 24,200 Btu/h 
respectively.
    Floor Standing without Case: ARNU073CEU2, ARNU093CEU2, 
ARNU123CEU2, ARNU153CEU2, ARNU183CFU2, and ARNU243CFU2, with 
nominally rated capacities of 7,500, 9,600, 12,300, 15,400, 19,100, 
and 24,200 Btu/h respectively.
    Vertical/Horizontal Air Handler: ARNU183NJA2, ARNU243NJA2, 
ARNU303NJA2, ARNU363NJA2, ARNU423NKA2, ARNU483NKA2, and ARNU543NKA2, 
with nominally rated capacities of 19,100, 24,200, 28,000, 36,200, 
42,000, 48,100 and 54,000 Btu/h respectively.

    This interim waiver is issued on the condition that the statements, 
representations, and documents provided by the petitioner are valid. 
DOE may revoke or modify this interim waiver at any time if it 
determines the factual basis underlying the petition for waiver is 
incorrect or the results from the alternate test procedure are 
unrepresentative of the basic models' true energy consumption 
characteristics.
    DOE makes decisions on waivers and interim waivers for only those 
models specifically set out in the petition, not future models that may 
be manufactured by the petitioner. LG may submit a new or amended 
petition for waiver and request for grant of interim waiver, as 
appropriate, for additional models of

[[Page 53892]]

commercial package air conditioners and heat pumps for which it seeks a 
waiver from the DOE test procedure. In addition, DOE notes that grant 
of an interim waiver or waiver does not release a petitioner from the 
certification requirements set forth at 10 CFR part 429.

IV. Alternate Test Procedure

    In responses to two petitions for waiver from Mitsubishi, DOE 
specified an alternate test procedure to provide a basis from which 
Mitsubishi could test and make valid energy efficiency representations 
for its R410A CITY MULTI products, as well as for its R22 multi-split 
products. Alternate test procedures related to the Mitsubishi petitions 
were published in the Federal Register on April 9, 2007. See 72 FR 
17528 and 72 FR 17533. For reasons similar to those published in these 
prior notices, DOE believes that an alternate test procedure is 
appropriate in this instance.
    DOE understands that existing testing facilities have limited 
ability to test multiple indoor units simultaneously. This limitation 
makes it impractical for manufacturers to test the large number of 
possible combinations of indoor and outdoor units for some variable 
refrigerant flow zoned systems. We further note that after DOE granted 
a waiver for Mitsubishi's R22 multi-split products, ARI formed a 
committee to discuss testing issues and to develop a testing protocol 
for variable refrigerant flow systems. The committee has developed a 
test procedure which has been adopted by AHRI--``ANSI/AHRI 1230-2010: 
Performance Rating of Variable Refrigerant Flow (VRF) Multi-Split Air-
Conditioning and Heat Pump Equipment'' and incorporated into ASHRAE 
90.1-2010. ANSI/AHRI 1230-2010 is consistent with the alternate test 
procedure established in the commercial multi-split waivers that DOE 
has granted to Mitsubishi and several other manufacturers. ANSI/AHRI 
1230-2010 uses a definition of ``tested combination'' that is 
substantially the same as the definition in the alternate test 
procedure in those waivers. DOE prescribed ANSI/AHRI 1230-2010 in 
decision and orders granted to Carrier Corporation (76 FR 31951, June 
2, 2011) and Fujitsu General Limited (76 FR 50204, August 12, 2011).
    Therefore, as a condition for granting this interim waiver to LG, 
DOE requires the use of ANSI/AHRI-1230-2010 as the alternate test 
procedure for units with capacities at or below 300,000 Btu/hr and the 
alternate test procedure specified in the Mitsubishi waiver for larger 
capacity units. This alternate test procedure will allow LG to test and 
make energy efficiency representations for its Multi V III products. As 
stated above, DOE has applied a similar alternate test procedure to 
other waivers for similar residential and commercial central air 
conditioners and heat pumps manufactured by other manufacturers. See, 
e.g., 72 FR 17528, April 9, 2007 (Mitsubishi); 76 FR 19069, April 6, 
2011 (Daikin); 76 FR 19078, April 6, 2011 (Mitsubishi); 76 FR 31951, 
June 2, 2011 (Carrier); 76 FR 50204, August 12, 2011 (Fujitsu General 
Limited).
    The alternate test procedure in the commercial multi-split waivers 
that DOE granted to Mitsubishi and the other manufacturers listed above 
is similar to ANSI/AHRI 1230-2010, except that, as stated previously, 
it covers equipment with cooling capacities greater than 300,000 Btu/hr 
while ANSI/AHRI 1230-2010 covers equipment with cooling capacities only 
equal to or less than 300,000 Btu/hr. In addition, the earlier 
alternate test procedure consisted of a definition of a ``tested 
combination'' and a prescription for representations. ANSI/AHRI 1230-
2010 also includes a definition of ``tested combination,'' and the two 
definitions are identical in all relevant respects. As described in the 
following paragraph, the prescription for representations in ANSI/AHRI 
is also similar to the prescription in the earlier alternate test 
procedure, but requires separate representations for ducted, non-ducted 
and mixed units.
    The earlier alternate test procedure provides for efficiency rating 
of a non-tested combination in one of two ways: (1) At an energy 
efficiency level determined using a DOE-approved alternative rating 
method; or (2) at the efficiency level of the tested combination 
utilizing the same outdoor unit. ANSI/AHRI 1230-2010 requires an 
additional test and in this respect is similar to the residential test 
procedure set forth in 10 CFR part 430, subpart B, appendix M. Multi-
split manufacturers must test two or more combinations of indoor units 
with each outdoor unit. The first system combination is tested using 
only non-ducted indoor units that meet the definition of a tested 
combination. The rating given to any untested multi-split system 
combination having the same outdoor unit and all non-ducted indoor 
units is set equal to the rating of the tested system having all non-
ducted indoor units. The second system combination is tested using only 
ducted indoor units that meet the definition of a tested combination. 
The rating given to any untested multi-split system combination having 
the same outdoor unit and all ducted indoor units is set equal to the 
rating of the tested system having all ducted indoor units. The rating 
given to any untested multi-split system combination having the same 
outdoor unit and a mix of non-ducted and ducted indoor units is set 
equal to the average of the ratings for the two required tested 
combinations.

Alternate Test Procedure

    (A) LG is not required to test the products with cooling capacities 
of 300,000 Btu/h and below listed in its petition for waiver dated July 
22, 2011, according to the test procedure for commercial package air 
conditioners and heat pumps prescribed by DOE at 10 CFR 431.96 (ARI 
Standard 340/360-2004 (incorporated by reference in 10 CFR 
431.95(b)(2)-(3)), but instead shall use the alternate test procedure 
ANSI/AHRI 1230-2010.
    (B) LG shall be required to test the equipment listed in its 
petition for waiver dated July 22, 2011, with cooling capacities above 
300,000 Btu/h according to the test procedures for central air 
conditioners and heat pumps prescribed by DOE at 10 CFR 431.96, except 
that LG shall test a ``tested combination'' selected in accordance with 
the provisions of subparagraph (C). For every other system combination 
using the same outdoor unit as the tested combination, LG shall make 
representations concerning the Multi V III equipment covered in this 
interim waiver according to the provisions of subparagraph (D).
    (C) Tested combination. The term tested combination means a sample 
basic model comprised of units that are production units, or are 
representative of production units, of the basic model being tested. 
For the purposes of this waiver, the tested combination shall have the 
following features:
    (1) The basic model of a variable refrigerant flow system used as a 
tested combination shall consist of one outdoor unit, with one or more 
compressors, that is matched with between two and five indoor units. 
(For systems with nominal cooling capacities greater than 150,000 Btu/
h, as many as eight indoor units may be used, to enable testing of non-
ducted indoor unit combinations.) For multi-split systems, each of 
these indoor units shall be designed for individual operation.
    (2) The indoor units shall--
    (i) Represent the highest sales model family or another indoor 
model family if the highest sales model family does not provide 
sufficient capacity (see ii);
    (ii) Together, have a nominal cooling capacity that is between 95% 
and 105% of the nominal cooling capacity of the outdoor unit;

[[Page 53893]]

    (iii) Not, individually, have a nominal cooling capacity that is 
greater than 50% of the nominal cooling capacity of the outdoor unit;
    (iv) Operate at fan speeds that are consistent with the 
manufacturer's specifications; and
    (v) Be subject to the same minimum external static pressure 
requirement while being configurable to produce the same static 
pressure at the exit of each outlet plenum when manifolded as per 
section 2.4.1 of 10 CFR part 430, subpart B, appendix M.
    (D) Representations. In making representations about the energy 
efficiency of its Multi V III variable capacity multi-split heat pump 
products for compliance, marketing, or other purposes, LG must fairly 
disclose the results of testing under the DOE test procedure in a 
manner consistent with the provisions outlined below:
    (1) For Multi V III combinations tested in accordance with this 
alternate test procedure, LG may make representations based on these 
test results.
    (2) For Multi V III combinations that are not tested, LG may make 
representations of non-tested combinations at the same energy 
efficiency level as the tested combination. The outdoor unit must be 
the one used in the tested combination. The representations must be 
based on the test results for the tested combination. The 
representations may also be determined by an Alternative Rating Method 
approved by DOE.

V. Summary and Request for Comments

    Through today's notice, DOE announces receipt of the LG petition 
for waiver from the test procedures applicable to the Multi V III 
commercial multi-split heat pump products specified in LG's petition. 
For the reasons articulated above, DOE also grants LG an interim waiver 
from those procedures. As part of this notice, DOE is publishing LG's 
petition for waiver in its entirety. The petition contains no 
confidential information. Furthermore, today's notice includes an 
alternate test procedure that LG is required to follow as a condition 
of its interim waiver.
    DOE is interested in receiving comments on the issues addressed in 
this notice. Pursuant to 10 CFR 431.401(d), any person submitting 
written comments must also send a copy of such comments to the 
petitioner, pursuant to 10 CFR 431.401(d). The contact information for 
the petitioner is: John I. Taylor, Vice President, Government Relations 
and Communications, LG Electronics USA, Inc., 1776 K Street, NW., 
Washington, DC 20006. All submissions received must include the agency 
name and case number for this proceeding. Submit electronic comments in 
WordPerfect, Microsoft Word, Portable Document Format (PDF), or text 
(American Standard Code for Information Interchange (ASCII)) file 
format and avoid the use of special characters or any form of 
encryption. Wherever possible, include the electronic signature of the 
author. DOE does not accept telefacsimiles (faxes).
    According to 10 CFR 1004.11, any person submitting information that 
he or she believes to be confidential and exempt by law from public 
disclosure should submit two copies: one copy of the document including 
all the information believed to be confidential, and one copy of the 
document with the information believed to be confidential deleted. DOE 
will make its own determination about the confidential status of the 
information and treat it according to its determination.

    Issued in Washington, DC, on August 23, 2011.
Kathleen Hogan,
Deputy Assistant Secretary for Energy Efficiency, Office of Technology 
Development, Energy Efficiency and Renewable Energy.

    Englewood Cliffs, NJ 07632
July 22, 2011

The Honorable Dr. Henry Kelly
Acting Assistant Secretary and Principal Deputy Assistant Secretary, 
Energy Efficiency and Renewable Energy
United States Department of Energy
Forrestal Building
1000 Independence Avenue, S.W.
Washington, DC 20585-0121

Re: Petition for Waiver and Application for Interim Waiver, LG 
Electronics Multi V III VRF Multi-Split Heat Recovery Systems and 
Heat Pump Systems

Dear Assistant Secretary Kelly:
    LG Electronics, Inc. (LG) respectfully submits this Petition for 
Waiver and Application for Interim Waiver, pursuant to 10 C.F.R. 
Sec.  431.401, for certain LG Multi V III variable refrigerant flow 
(VRF) multi-split air-source heat recovery systems, specifically the 
Multi V III heat recovery systems (3[Oslash] 208/230 V 60 Hz, and 
3[Oslash] 460 V 60 Hz), and LG Multi V III VRF multi-split air-
source heat pump systems, specifically the Multi V III heat pump 
systems (3[Oslash] 208/230 V 60 Hz, and 3[Oslash] 460 V 60 Hz), 
listed in Appendix A hereto. This request adds models to the waivers 
that DOE already has granted to LG for Multi V and Multi V II VRF 
multi-split systems. 76 Fed. Reg. 29733 (May 23, 2011) (interim 
waiver); 74 Fed. Reg. 66330 (Dec. 15, 2009); id. 20688 (May 5, 2009) 
(interim waiver).
    Among other things, the applicable DOE test procedure does not 
provide a method for testing and rating a system that utilizes so 
many indoor units; the applicable test procedure does not provide a 
method for rating systems where the type and capacity of the indoor 
unit can be mixed in the same system; and no testing laboratories 
can test products with so many indoor units. See, e.g., 75 Fed. Reg. 
41845, 41848 (July 19, 2010) (existing testing facilities ``have a 
limited ability to test multiple indoor units simultaneously,'' and 
``it is impractical to test some variable refrigerant flow zoned 
systems'').
    Waiver relief has been granted for many other comparable 
commercial multi-splits, including LG, Mitsubishi, Samsung, Fujitsu, 
Sanyo, Daikin, and Carrier. See 69 Fed. Reg. 52660 (Aug. 27, 2004) 
(Mitsubishi); 70 Fed. Reg. 9629 (Feb. 28, 2005) (Samsung); 71 Fed. 
Reg. 14858 (March 24, 2006) (Mitsubishi); 72 Fed. Reg. 17528 (April 
9, 2007) (Mitsubishi); id. 71387 (Dec. 17, 2007) (Samsung); id. 
71383 (Dec. 17, 2007) (Fujitsu); 73 Fed. Reg. 179 (Jan. 2, 2008) 
(Sanyo); id. 1207, 1213 (Jan. 7, 2008) (Daikin); id. 39680 (July 10, 
2008) (Daikin); id. 75408 (Dec. 11, 2008) (Mitsubishi); 74 Fed. Reg. 
15955 (April 8, 2009) (Daikin); id. 16373 (April 10, 2009) (Daikin); 
id. 20688 (May 5, 2009) (LG); id. 66330 (Dec. 15, 2009) (LG); id. 
66324 (Dec. 15, 2009) (Daikin); id. 66311, 66315 (Dec. 15, 2009) 
(Mitsubishi); 75 Fed. Reg. 4795 (Jan. 29, 2010) (Daikin); id. 13114 
(March 18, 2010) (Sanyo); id. 22581 (April 29, 2010) (Daikin); id. 
25224 (May 7, 2010) (Daikin); id. 41845 (July 19, 2010) (Sanyo); 76 
Fed. Reg. 19069 (April 6, 2011) (Daikin); id. 19078 (April 6, 2011) 
(Mitsubishi); id. 19759 (April 8, 2011) (Carrier); id. 29733 (May 
23, 2011) (LG); id. 31946 (June 2, 2011) (Fujitsu); id. 31951 (June 
2, 2011) (Carrier); id. 34685 (June 14, 2011) (Daikin); and id. 
40714 (July 11, 2011) (Mitsubishi). As stated above, LG's current 
request simply adds additional models to the waiver relief already 
granted to LG.
    LG is a manufacturer of digital appliances, as well as mobile 
communications, digital displays, and digital media products. Its 
appliances include air-conditioners, washing machines, clothes 
dryers, refrigerators, refrigerator-freezers, air cleaners, ovens, 
microwave ovens, dishwashers, and vacuum cleaners and are sold 
worldwide, including in the United States. LG's U.S. operations are 
LG Electronics USA, Inc., with headquarters at 1000 Sylvan Avenue, 
Englewood Cliffs, NJ 07632 (tel. 201-816-2000). Its worldwide 
headquarters are located at LG Twin Towers 20, Yoido-dong, 
Youngdungpo-gu Seoul, Korea 150-721 (tel. 011-82-2-3777-1114) URL: 
http.www.LGE.com. LG's principal brands include LG[reg] and OEM 
brands, including GE[reg] and Kenmore[reg]. LG's appliances are 
produced in Korea and Mexico.
    LG's Multi V VRF systems are beneficial products, each 
consisting of a single outdoor unit, using a scroll type inverter 
compressor with variable capacity, that can connect to multiple 
indoor units and that uses VRF and control systems. (In certain high 
capacity applications [152,900 Btu/h and above], a consumer can 
choose between a system using a single outdoor unit and a system 
using two or three outdoor units.) These multi-splits are intended 
to be used in zoned systems where an outdoor unit can be connected 
with up to

[[Page 53894]]

between 13 and 61 separate indoor units, which need not be the same 
models. The operating characteristics allow each indoor unit to have 
a different set temperature and a different mode of operation (i.e., 
on/off/fan). All of the indoor units are capable of operating 
independently, with their own temperature and fan speed setting. 
Based on those controls, the outdoor unit will then determine the 
cooling or heating capacity delivered into the zones. The system 
therefore offers great flexibility and convenience to the consumer, 
permitting precise space conditioning control throughout the 
building, and thus saving energy. The cooling capacities of the 
systems are between 69,000 and 414,000 Btu/h.
    The variable speed, constant speed or dual compressors and the 
associated system controls can direct refrigerant flow throughout 
the system to precisely meet the various heating or cooling loads 
required in the conditioned areas. The compressor is capable of 
reducing its operating capacity to as little as 10 percent of its 
rated capacity. The outdoor fan motor also has a variable speed 
drive to properly match the outdoor coil to indoor loads. Zone 
diversity enables the system to have a total connected indoor unit 
capacity of up to 130 percent of the capacity of the outdoor.
    As discussed above, up to between 13 and 61 indoor units can be 
matched with each related outdoor unit. Thus, for each outdoor unit 
there is a multitude of possible combinations of indoor units that 
can be matched in a system configuration. And since there are so 
many outdoor units and indoor units, there is an enormous total of 
possible combinations.
    A waiver and interim waiver for the specified LG Multi V III VRF 
systems are warranted because test procedures under the Energy 
Policy and Conservation Act (EPCA), 42 U.S.C. Sec.  6291 et seq., 
namely 10 C.F.R. Sec.  431.96, evaluate the basic models in a manner 
so unrepresentative of their true energy consumption characteristics 
as to provide materially inaccurate comparative data, and/or the 
basic models contain one or more design characteristics that prevent 
testing of the basic model according to the prescribed test 
procedures. In such circumstances DOE ``will grant'' waiver relief. 
10 C.F.R. Sec. Sec.  431.401(e)(3), (f)(4). In that regard:

--The test procedure provides for testing of a pair of indoor and 
outdoor assemblies making up a typical split system, but does not 
specify how LG Multi V VRF systems, with so many combinations of 
indoor units for each outdoor unit, could be evaluated. The 
situation is further complicated by the fact that there are so many 
outdoor units. It is not practical to test each possible 
combination, and the test procedure provides no alternative rating 
method for generating efficiency ratings for systems with more than 
one indoor unit. Thus, the test procedure does not contemplate, and 
cannot practically be applied to, LG Multi V VRF systems. DOE has 
already recognized this by granting waiver relief to LG, and to 
other manufacturers for comparable systems.
--Testing laboratories cannot test products with so many indoor 
units. In that regard, the testing of multi-splits when all indoor 
units are connected cannot be physically located in a single room.
--The test procedure provides for testing ``matched assemblies,'' 
which does not apply to LG Multi V VRF systems. Indoor and outdoor 
coils in split systems are typically balanced; that is, the capacity 
of the outdoor coil is equivalent to the capacity of the indoor 
coil. The test procedure's application to ``matched assemblies'' 
contemplates such a balance between indoor and outdoor coil 
capacity. With the Multi V VRF systems, however, the sum of the 
capacity of the indoor units connected into the system can be as 
much as 130 percent of the capacity of the outdoor coil. Such 
unbalanced combinations of LG indoor and outdoor units are permitted 
by the zoning characteristics of the system, the use of electronic 
expansion valves to precisely control refrigerant flow to each 
indoor coil, and the system intelligence for overall system control. 
The test procedure designed for ``matched assemblies'' therefore 
does not contemplate or address testing for substantially unbalanced 
zoning systems such as the LG Multi V VRF systems.
--The indoor units are designed to operate at many different 
external static pressure values, which compounds the difficulty of 
testing LG Multi V VRF systems. A test facility could not maintain 
proper airflow at several different external static pressure values 
for the many indoor units that would be connected to the outdoor 
unit. * * *

    For all of these reasons, the existing test procedures evaluate 
the LG Multi V VRF systems in a manner so unrepresentative of their 
true energy consumption characteristics as to provide materially 
inaccurate comparative data and/or the basic models contain one or 
more design characteristics that prevent testing of the basic model 
according to the prescribed test procedures. Therefore, DOE should 
grant a waiver for the LG Multi V VRF systems set forth in Appendix 
A. See 10 C.F.R. Sec.  431.401(a)(1). The waiver should continue 
until a test procedure can be developed and adopted that will 
provide the U.S. market with a fair and accurate assessment of the 
LG Multi V VRF system energy consumption and efficiency levels. LG 
intends to work with DOE, stakeholders, and the Air-Conditioning, 
Heating and Refrigeration Institute (AHRI) to develop the 
appropriate test procedure.
    There are no alternative test procedures known to LG that could 
evaluate these products in a representative manner (other than 
perhaps the procedures provided by DOE in its waiver decisions for 
comparable products).
    That a waiver is warranted is borne out by the fact that DOE has 
granted waiver relief to LG, as well as to Mitsubishi, Samsung, 
Fujitsu, Sanyo, Daikin, and Carrier for comparable commercial multi-
splits.
    Manufacturers of all other basic models marketed in the United 
States and known to LG to incorporate similar design characteristics 
as found in the LG Multi V VRF systems include Mitsubishi Electric 
and Electronics USA, Samsung Air Conditioning, Fujitsu General 
Limited, SANYO North America Corp., Daikin AC (Americas), Inc., and 
Carrier Corporation.
    LG also requests immediate relief by grant of an interim waiver. 
Grant of an interim waiver is fully justified:

--The petition for waiver is likely to be granted, as evidenced not 
only by its merits, but also because DOE has already granted waiver 
relief to LG, Mitsubishi, Samsung, Fujitsu, Sanyo, Daikin, and 
Carrier for their commercial VRF multi-splits. In such instances, it 
is in the public interest to have similar products tested and rated 
for energy consumption on a comparable basis.
--Without waiver relief, LG will be at a competitive disadvantage in 
the market and suffer economic hardship. LG would be placed in an 
untenable situation: the Multi V VRF systems involved here would be 
subject to a set of regulations that DOE already acknowledges should 
not apply to such a product, while at the same time other 
manufacturers are allowed to operate relieved from such regulations.
--Significant investment has already been made in LG Multi V VRF 
systems. Lack of relief would not allow LG to recoup this investment 
as it relates to the models involved here and would deny LG 
anticipated sales revenue. This does not take into account 
significant losses in goodwill and brand acceptance.
--The basic purpose of EPCA is to foster purchase of energy-
efficient products, not hinder such purchases. LG Multi V VRF 
systems produce a benefit to consumers and are in the public 
interest. To encourage and foster the availability of these products 
is in the public interest. Standards programs should not be used as 
a means to block innovative, improved designs.\2\ DOE's rules should 
accommodate and encourage--not act to block--such a product.
---------------------------------------------------------------------------

    \2\ See FTC Advisory Opinion No. 457, TRRP 1718.20 (1971 
Transfer Binder); 49 Fed. Reg. 32213 (Aug. 13, 1984); 52 Fed. Reg. 
49141, 49147-48 (Dec. 30, 1987).
---------------------------------------------------------------------------

--Granting the interim waiver and waiver would also eliminate a non-
tariff trade barrier.
--Grant of relief would also help enhance economic development and 
employment, including not only LG Electronics USA's operations in 
New Jersey, Georgia, Texas, California, Illinois and Alabama, but 
also at major national retailers and regional dealers that carry LG 
products. Furthermore, continued employment creation and ongoing 
investments in its marketing, sales and servicing activities will be 
fostered by approval of the interim waiver. Conversely, denial of 
the requested relief would harm the company and would be 
anticompetitive.

CONCLUSION

    LG respectfully requests that DOE grant a waiver and interim 
waiver from existing test standards for LG Multi V III VRF multi-
split systems set forth in Appendix A hereto until such time as a 
representative test procedure is developed and adopted for such 
products.

[[Page 53895]]

    We would be pleased to discuss this request with DOE and provide 
further information as needed.
    We hereby certify that all manufacturers of domestically 
marketed units of the same product type have been notified by letter 
of this petition and application, copies of which letters are 
attached (Appendix B hereto).

    Sincerely,
    [GRAPHIC] [TIFF OMITTED] TN30AU11.000
    
John I. Taylor
Vice President
Government Relations and Communications
LG Electronics USA, Inc.
1776 K Street NW
Washington, DC 20006
Phone: 202-719-3490
Fax: 847-941-8177
Email: [email protected]

    Of counsel:

John A. Hodges
Wiley Rein LLP
1776 K Street NW
Washington, DC 20006
Phone: 202-719-7000
Fax: 202-719-7049
Email: [email protected]

APPENDIX A

                                            Multi V III Series Air-Source Heat Pumps and Heat Recovery Units
--------------------------------------------------------------------------------------------------------------------------------------------------------
     Rated cooling capacity                                                             Model name
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                              Multi V III heat                                  Multi V III heat
              Btu/h                Multi V III heat pump   recovery 3 phase 208/     Multi V III heat pump   recovery 3 phase 460 V       Frame type
                                 3 phase 208/230 V 60 Hz        230 V 60 Hz          3 phase 460 V 60 Hz             60 Hz
--------------------------------------------------------------------------------------------------------------------------------------------------------
69000..........................  ARUN072BT3.............  ARUB072BT3.............  ARUN072DT3.............  ARUB072DT3.............  Single
92000..........................  ARUN096BT3.............  ARUB096BT3.............  ARUN096DT3.............  ARUB096DT3.............
114000.........................  ARUN121BT3.............  ARUB121BT3.............  ARUN121DT3.............  ARUB121DT3.............
138000.........................  ARUN144BT3.............  ARUB144BT3.............  ARUN144DT3.............  ARUB144DT3.............
160000.........................  ARUN168BT3.............  ARUB168BT3.............  ARUN168DT3.............  ARUB168DT3.............  Dual
184000.........................  ARUN192BT3.............  ARUB192BT3.............  ARUN192DT3.............  ARUB192DT3.............
206000.........................  ARUN216BT3.............  ARUB216BT3.............  ARUN216DT3.............  ARUB216DT3.............
228000.........................  ARUN240BT3.............  ARUB240BT3.............  ARUN240DT3.............  ARUB240DT3.............
250000.........................  ARUN264BT3.............  ARUB264BT3.............  ARUN264DT3.............  ARUB264DT3.............
274000.........................  ARUN288BT3.............  ARUB288BT3.............  ARUN288DT3.............  ARUB288DT3.............
296000.........................  ARUN312BT3.............  ARUB312BT3.............  ARUN312DT3.............  ARUB312DT3.............  Triple
320000.........................  ARUN336BT3.............  ARUB336BT3.............  ARUN336DT3.............  ARUB336DT3.............
342000.........................  ARUN360BT3.............  ARUB360BT3.............  ARUN360DT3.............  ARUB360DT3.............
366000.........................  ARUN384BT3.............  ARUB384BT3.............  ARUN384DT3.............  ARUB384DT3.............
390000.........................  ARUN408BT3.............  ARUB408BT3.............  ARUN408DT3.............  ARUB408DT3.............
414000.........................  ARUN432BT3.............  ARUB432BT3.............  ARUN432DT3.............  ARUB432DT3.............
--------------------------------------------------------------------------------------------------------------------------------------------------------


                                                                       Compatible Indoor Units for the Above-Listed Models
                                                                    [Shaded indoor units not previously listed in DOE waiver]
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
 
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                           Indoor unit
                               -----------------------------------------------------------------------------------------------------------------------------------------------------------------
    Rated cooling capacity        Wall mounted     Art cool mirror      Vertical/               4 way cassette             2 way cassette    1 way cassette        Ceiling           Ceiling
                                                                      horizontal air                                                                           concealed duct--  concealed duct--
                                                                         handler                                                                                  low static         built in
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
5300..........................  ................  ................  ................  ................  ARNU053TR*2.....  ................  ................  ................  ................
7500..........................  ARNU073SEL2.....  ARNU073SE*2.....  ................  ARNU073TEC2.....  ................  ................  ARNU073TJC2.....  ARNU073B1G2.....  ARNU073B3G2
9600..........................  ARNU093SEL2.....  ARNU093SE*2.....  ................  ARNU093TEC2.....  ARNU093TN*2.....  ................  ARNU093TJC2.....  ARNU093B1G2.....  ARNU093B3G2
12300.........................  ARNU123SEL2.....  ARNU123SE*2.....  ................  ARNU123TEC2.....  ARNU123TN*2.....  ................  ARNU123TJC2.....  ARNU123B1G2.....  ARNU123B3G2
15400.........................  ARNU153SEL2.....  ARNU153SE*2.....  ................  ARNU153TEC2.....  ARNU153TN*2.....  ................  ................  ARNU153B1G2.....  ARNU153B3G2
19100.........................  ARNU183S5L2.....  ARNU183S5*2.....  ARNU183NJA2.....  ARNU183TEC2.....  ARNU183TM*2.....  ARNU183TLC2.....  ................  ARNU183B2G2.....  ARNU183B4G2
24200.........................  ARNU243S5L2.....  ARNU243S5*2.....  ARNU243NJA2.....  ARNU243TPC2.....  ARNU243TM*2.....  ARNU243TLC2.....  ................  ARNU243B2G2.....  ARNU243B4G2
28000.........................  ................  ................  ARNU303NJA2.....  ARNU283TPC2.....  ................  ................  ................  ................  ................
36200.........................  ................  ................  ARNU363NJA2.....  ARNU363TNC2.....  ................  ................  ................  ................  ................
42000.........................  ................  ................  ARNU423NKA2.....  ARNU423TMC2.....  ................  ................  ................  ................  ................
48100.........................  ................  ................  ARNU483NKA2.....  ARNU483TMC2.....  ................  ................  ................  ................  ................
54000.........................  ................  ................  ARNU543NKA2.....  ................  ................  ................  ................  ................  ................
76400.........................  ................  ................  ................  ................  ................  ................  ................  ................  ................
95500.........................  ................  ................  ................  ................  ................  ................  ................  ................  ................
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------


                                                                                        Indoor unit
                                 -----------------------------------------------------------------------------------------------------------------------
     Rated cooling capacity         Ceiling concealed duct--high static     Ceiling & floor    Ceiling suspended    Floor standing      Floor standing
                                                                                                                       with case          without case
--------------------------------------------------------------------------------------------------------------------------------------------------------
7500............................  ARNU073BHA2.......  ..................  ..................  ..................  ARNU073CEA2.......  ARNU073CEU2
9600............................  ARNU093BHA2.......  ..................  ARNU093VEA2.......  ..................  ARNU093CEA2.......  ARNU093CEU2
12300...........................  ARNU123BHA2.......  ..................  ARNU123VEA2.......  ..................  ARNU123CEA2.......  ARNU123CEU2
15400...........................  ARNU153BHA2.......  ARNU153BGA2.......  ..................  ARNU183VJA2.......  ARNU153CEA2.......  ARNU153CEU2
19100...........................  ARNU183BHA2.......  ARNU183BGA2.......  ..................  ARNU243VJA2.......  ARNU183CFA2.......  ARNU183CFU2
24200...........................  ARNU243BHA2.......  ARNU243BGA2.......  ..................  ..................  ARNU243CFA2.......  ARNU243CFU2
28000...........................  ARNU283BGA2.......  ..................  ..................  ..................  ..................  ..................
36200...........................  ARNU363BGA2.......  ..................  ..................  ..................  ..................  ..................
42000...........................  ARNU423BGA2.......  ..................  ..................  ..................  ..................  ..................
48100...........................  ARNU483BGA2.......  ..................  ..................  ..................  ..................  ..................
54000...........................  ..................  ..................  ..................  ..................  ..................  ..................
76400...........................  URNU763B8A2.......  ..................  ..................  ..................  ..................  ..................
95500...........................  URNU963B8A2.......  ..................  ..................  ..................  ..................  ..................
--------------------------------------------------------------------------------------------------------------------------------------------------------


[[Page 53896]]

[FR Doc. 2011-22112 Filed 8-29-11; 8:45 am]
BILLING CODE 6450-01-P