[Federal Register Volume 85, Number 21 (Friday, January 31, 2020)]
[Notices]
[Pages 5652-5655]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-01848]


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DEPARTMENT OF ENERGY

[Case Number 2019-003; EERE-2019-BT-WAV-0007]


Energy Conservation Program: Decision and Order Granting a Waiver 
To Signify North America Corporation From the Department of Energy 
Illuminated Exit Sign Test Procedure

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

ACTION: Notice of decision and order.

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SUMMARY: The U.S. Department of Energy (``DOE'') gives notice of a 
Decision and Order (Case Number 2019-003) that grants to Signify North 
America Corporation (``Signify'') a waiver from specified portions of 
the DOE test procedure for determining the energy consumption of 
specified basic models of illuminated exit signs. Signify is required 
to test and rate the specified basic models of its illuminated exit 
signs in accordance with the alternate test procedure specified in the 
Decision and Order.

DATES: The Decision and Order is effective on January 31, 2020. The 
Decision and Order will terminate upon the compliance date of any 
future amendment to the test procedure for illuminated exit signs 
located at 10 CFR 431.204 that addresses the issues presented in this 
waiver. At such time, Signify must use the relevant test procedure for 
this equipment for any testing to demonstrate compliance with the 
applicable standards, and any other representations of energy use.

FOR FURTHER INFORMATION CONTACT: 
    Ms. Lucy deButts, U.S. Department of Energy, Office of Energy 
Efficiency and Renewable Energy, Building Technologies Office, EE-5B, 
1000 Independence Avenue SW, Washington, DC, 20585-0121. Email: 
[email protected].
    Ms. Jennifer Tiedeman, U.S. Department of Energy, Office of the 
General Counsel, Mail Stop GC-33, Forrestal Building, 1000 Independence 
Avenue SW, Washington, DC 20585-0103. Telephone: (202) 287-6111. Email: 
[email protected].

SUPPLEMENTARY INFORMATION: In accordance with Title 10 of the Code of 
Federal Regulations (10 CFR 431.401(f)(2)), DOE gives notice of the 
issuance of its Decision and Order as set forth below. The Decision and 
Order grants Signify a waiver from the applicable test procedure at 10 
CFR 431.204 for specified basic models of illuminated exit signs, and 
requires that Signify test and rate such equipment using the alternate 
test procedure specified in the Decision and Order. Signify's 
representations concerning the energy consumption of the specified 
basic models must be based on testing according to the provisions and 
restrictions in the alternate test procedure set forth in the Decision 
and Order, and the representations must fairly disclose the test 
results. Distributors, retailers, and private labelers are held to the 
same requirements when making representations regarding the energy

[[Page 5653]]

consumption of this equipment. (42 U.S.C. 6293(c))
    Consistent with 10 CFR 431.401(j), not later than March 31, 2020, 
any manufacturer currently distributing in commerce in the United 
States equipment employing a technology or characteristic that results 
in the same need for a waiver from the applicable test procedure must 
submit a petition for waiver. Manufacturers not currently distributing 
such equipment in commerce in the United States must petition for and 
be granted a waiver prior to the distribution in commerce of that 
equipment in the United States. Manufacturers may also submit a request 
for interim waiver pursuant to the requirements of 10 CFR 431.401.

    Signed in Washington, DC, on January 17, 2020.
Alexander N. Fitzsimmons,
Acting Deputy Assistant Secretary for Energy Efficiency, Energy 
Efficiency and Renewable Energy.

Case #2019-003

Decision and Order

I. Background and Authority

    The Energy Policy and Conservation Act, as amended (``EPCA''),\1\ 
authorizes the U.S. Department of Energy (``DOE'') to regulate the 
energy efficiency of a number of consumer products and certain 
industrial equipment. (42 U.S.C. 6291-6317) Title III, Part B \2\ of 
EPCA established the Energy Conservation Program for Consumer Products 
Other Than Automobiles, which sets forth a variety of provisions 
designed to improve energy efficiency for certain types of consumer 
products. These products include illuminated exit signs, the focus of 
this document. (42 U.S.C. 6291(37); 42 U.S.C. 6295(w))
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    \1\ All references to EPCA in this document refer to the statute 
as amended through America's Water Infrastructure Act of 2018, 
Public Law 115-270 (October 23, 2018).
    \2\ For editorial reasons, upon codification in the U.S. Code, 
Part B was redesignated as Part A.
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    Under EPCA, DOE's energy conservation program consists essentially 
of four parts: (1) Testing, (2) labeling, (3) Federal energy 
conservation standards, and (4) certification and enforcement 
procedures. Relevant provisions of EPCA include definitions (42 U.S.C. 
6291), energy conservation standards (42 U.S.C. 6295), test procedures 
(42 U.S.C. 6293), labeling provisions (42 U.S.C. 6294), and the 
authority to require information and reports from manufacturers (42 
U.S.C. 6296).
    The Federal testing requirements consist of test procedures that 
manufacturers of covered products must use as the basis for: (1) 
Certifying to DOE that their products comply with the applicable energy 
conservation standards adopted pursuant to EPCA (42 U.S.C. 6295(s)), 
and (2) making representations about the efficiency of that product (42 
U.S.C. 6293(c)). Similarly, DOE must use these test procedures to 
determine whether the product complies with relevant standards 
promulgated under EPCA. (42 U.S.C. 6295(s))
    Under 42 U.S.C. 6293, EPCA sets forth the criteria and procedures 
DOE is required to follow when prescribing or amending test procedures 
for covered products. EPCA requires that any test procedures prescribed 
or amended under this section must be reasonably designed to produce 
test results which reflect the energy efficiency, energy use or 
estimated annual operating cost of a covered product during a 
representative average use cycle or period of use and requires that 
test procedures not be unduly burdensome to conduct. (42 U.S.C. 
6293(b)(3)) The test procedure for illuminated exit signs is contained 
in the Code of Federal Regulations (``CFR'') at 10 CFR 431.204, 
``Uniform test method for the measurement of energy consumption of 
illuminated exit signs.'' \3\
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    \3\ Although illuminated exit signs are covered products 
pursuant to EPCA, as a matter of administrative convenience and to 
minimize confusion among interested parties, DOE codified 
illuminated exit sign provisions in subpart L of 10 CFR part 431 
(the portion of DOE's regulations dealing with commercial and 
industrial equipment) because typically businesses, rather than 
individuals, purchase them. 70 FR 60407, 60409 (Oct. 18, 2005). DOE 
refers to illuminated exit signs as either ``products'' or 
``equipment.''
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    Under 10 CFR 430.401(a)(1), any interested person may submit a 
petition for waiver from DOE's test procedure requirements. DOE will 
grant a waiver from the test procedure requirements if DOE determines 
either that the basic model for which the waiver was requested contains 
a design characteristic that prevents testing of the basic model 
according to the prescribed test procedures, or that the prescribed 
test procedures evaluate the basic model in a manner so 
unrepresentative of its true energy consumption characteristics as to 
provide materially inaccurate comparative data. 10 CFR 431.401(f)(2). 
DOE may grant the waiver subject to conditions, including adherence to 
alternate test procedures. Id.
    As soon as practicable after the granting of any waiver, DOE will 
publish in the Federal Register a notice of proposed rulemaking to 
amend its regulations so as to eliminate any need for the continuation 
of such waiver. 10 CFR 431.401(l) As soon thereafter as practicable, 
DOE will publish in the Federal Register a final rule. Id.
    When DOE amends the test procedure to address the issues presented 
in a waiver, the waiver will automatically terminate on the date on 
which use of that test procedure is required to demonstrate compliance. 
10 CFR 431.401(h)(2).

II. Signify's Petition for Waiver: Assertions and Determinations

    On March 5, 2019, Signify filed a petition for waiver from the 
illuminated exit sign test procedure set forth at 10 CFR 431.204. On 
April 4, 2019, Signify submitted an updated petition, identifying 
additional basic models.\4\ In its petition, Signify requested a waiver 
for certain ``Chloride by Signify'' and ``Chloride'' branded basic 
models of illuminated exit signs, typically known as combination exit 
signs (i.e., they include components such as egress/emergency lighting 
that require a larger battery than do exit signs that do not have these 
components).\5\ Signify contended that the design characteristics of 
these basic models prevent testing in accordance with the DOE test 
procedure. Noting that DOE's test method measures the input power 
required to illuminate the exit signage, Signify stated that the test 
procedure does not contemplate basic models that include emergency 
egress lighting, and that the design of its basic models that 
incorporate emergency lighting does not allow for a separate 
measurement of power associated with only the exit signage portion of 
the models.
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    \4\ The petition submitted on April 4, 2019 is identical to the 
March 5, 2019 petition (including the date) except as to the 
identification of additional basic models.
    \5\ The eighteen total basic models identified by Signify are as 
follows: HZ618RIC, HZ636RIC, HZ672RIC, HZ618R1IC, HZ636R1IC, 
HZ672R1IC, HZ618R2IC, HZ636R2IC, HZ672R2IC, HZ618GIC, HZ636GIC, 
HZ672GIC, HZ618G1IC, HZ636G1IC, HZ672G1IC, HZ618G2IC, HZ636G2IC, and 
HZ672G2IC. However, six of these basic models (HZ618RIC, HZ636RIC, 
HZ672RIC, HZ618GIC, HZ636GIC, and HZ672GIC) are ``no-lamp head'' 
basic models, which are not combination illuminated exit signs 
(i.e., they do not have egress lighting) and therefore are not 
subject to the waiver.
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    Signify requested that it be permitted to use of the alternate test 
method as specified in the DOE Waiver Decision and Order granted to 
Acuity Brands Lighting, Inc. (``Acuity'') for certain illuminated exit 
sign basic models (Case Number IES-001; hereafter, ``Acuity Waiver 
D&O'') 83 FR 11740 (March 16, 2018). Specifically, this alternate 
method requires the following procedure: Measure the input power of an 
equivalent non-combination illuminated exit sign, per the DOE test 
procedure, and assign the measured

[[Page 5654]]

input power to the basic model at issue. Id. 83 FR 11742. An equivalent 
non-combination illuminated exit sign is one in which the electricity-
consuming components are identical to all of those of the unit whose 
input power demand is being determined, but does not include any 
auxiliary features, and contains an electrically connected battery. 
Signify stated that the basic models for which the waiver is requested 
have equivalent non-combination illuminated exit sign basic models.
    On August 26, 2019, DOE published a notice that announced its 
receipt of the petition for waiver (``Notice of Petition for Waiver''). 
84 FR 44607. In the Notice of Petition for Waiver, based on a review of 
product specification sheets, DOE determined that six of the basic 
models specified by Signify are not combination illuminated exit signs, 
and therefore would not be subject to any waiver, if granted. Id. at 84 
FR 44608. DOE determined that the other basic models specified by 
Signify are combination illuminated exit signs and provide the dual 
function of exit signage and lighting for emergency egress. Id. Based 
on DOE's review of combination exit sign circuitry, DOE tentatively 
determined that measuring only the input power attributable to 
illumination of the exit signage is either not possible, or that doing 
so would require destructive disassembly such as cutting of wires and 
modifying the circuitry of the combination exit sign, thereby altering 
the product being tested. Id.
    DOE identified equivalent non-combination illuminated exit sign 
basic models for the combination illuminated exit sign basic models 
identified in Signify's waiver. DOE also reviewed Signify's suggested 
use of the alternate test method set forth in the Acuity Waiver D&O 
that involves testing equivalent non-combination illuminated exit 
signs. In the Notice of Petition for Waiver, DOE proposed an alternate 
test procedure substantively similar to alternate test procedure forth 
in the Acuity Waiver D&O. Id. at 84 FR 44609. Additional language was 
included to define further ``equivalent non-combination unit'' and to 
require explicitly the testing of equivalent units as required by the 
applicable DOE test procedure. Id.
    In the Notice of Petition for Waiver, DOE solicited comments from 
interested parties on all aspects of the petition and the specified 
alternate test procedure. Id. DOE received no comments in response to 
the Notice of Petition for Waiver.
    For the reasons explained here and in the Notice of Petition for 
Waiver, absent a waiver the basic models that are combination 
illuminated exit signs identified by Signify in its petition cannot be 
tested and rated for energy consumption on a basis representative of 
their true energy consumption characteristics. DOE has reviewed the 
procedure suggested by Signify and concludes that it will allow for the 
accurate measurement of the energy use of the basic models, while 
alleviating the testing problems associated with Signify's 
implementation of DOE's applicable illuminated exit sign test 
procedure. Thus, DOE is requiring that Signify test and rate specified 
combination illuminated exit sign basic models according to the 
alternate test procedure specified in this Decision and Order, which is 
identical to the procedure proposed by DOE in the Notice of Petition 
for Waiver.\6\
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    \6\ The alternate test procedure established in this Decision 
and Order is the same as that in the Decision and Order granted to 
Beghelli North America (Case No. 2018-007) for comparable equipment. 
84 FR 29186 (June 21, 2019).
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    Using this method, for each combination illuminated exit sign unit 
selected, Signify must assign the measured input power demand of a 
separate corresponding equivalent non-combination unit. For example, if 
DOE regulations require testing of two units, Signify must identify and 
measure the input power demand of two equivalent non-combination units, 
and assign the measured input power of each unit to each of the two 
combination units, respectively. In those instances where only a 
single, non-combination unit is available, Signify is required to 
measure the input power demand of that single unit and assign the 
measured input power to the combination unit. See generally 10 CFR 
429.48(a) and 10 CFR 429.11(b)(2).
    This Decision and Order applies only to the basic models listed and 
does not extend to any other basic models. DOE evaluates and grants 
waivers for only those basic models specifically set out in the 
petition, not future models that may be manufactured by the petitioner. 
Signify may request that DOE extend the scope of this waiver to include 
additional basic models that employ the same technology as those listed 
in this waiver. 10 CFR 431.401(g). Signify may also submit another 
petition for waiver from the test procedure for additional basic models 
that employ a different technology and meet the criteria for test 
procedure waivers. 10 CFR 431.401(a)(1).
    DOE notes that it may modify or rescind the waiver at any time upon 
DOE's determination that the factual basis underlying the petition for 
waiver is incorrect, or upon a determination that the results from the 
alternate test procedure are unrepresentative of the basic models' true 
energy consumption characteristics. 10 CFR 430.401(k)(1). Likewise, 
Signify may request that DOE rescind or modify the waiver if the 
company discovers an error in the information provided to DOE as part 
of its petition, determines that the waiver is no longer needed, or for 
other appropriate reasons. 10 CFR 431.401(k)(2).

III. Consultations With Other Agencies

    In accordance with 10 CFR 430.27(f)(2), DOE consulted with Federal 
Trade Commission (``FTC'') staff concerning Signify's petition for 
waiver.

IV. Order

    After careful consideration of all the material submitted by 
Signify, the various public-facing materials (e.g., marketing materials 
and product specification sheets) for the units identified in the 
petition, in this matter, it is ordered that:
    (1) Signify must, as of the date of publication of this Order in 
the Federal Register, test and rate the following ``HZ'' series basic 
models, under either the Chloride by Signify or Chloride brand, with 
the alternate test procedure as set forth in paragraph (2) of the 
Order:

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                      Brand name                        Basic model No.
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Chloride by Signify or Chloride......................          HZ618R1IC
Chloride by Signify or Chloride......................          HZ636R1IC
Chloride by Signify or Chloride......................          HZ672R1IC
Chloride by Signify or Chloride......................          HZ618R2IC
Chloride by Signify or Chloride......................          HZ636R2IC
Chloride by Signify or Chloride......................          HZ672R2IC
Chloride by Signify or Chloride......................          HZ618G1IC

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Chloride by Signify or Chloride......................          HZ636G1IC
Chloride by Signify or Chloride......................          HZ672G1IC
Chloride by Signify or Chloride......................          HZ618G2IC
Chloride by Signify or Chloride......................          HZ636G2IC
Chloride by Signify or Chloride......................          HZ672G2IC
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    (2) The alternate test procedure for the Signify basic models 
referenced in paragraph (1) of this Order is the test procedure for 
illuminated exit sign prescribed by DOE at 10 CFR part 431, subpart L, 
with the exception of the following instructions in place of 10 CFR 
431.204(b): Determine the energy efficiency of each combination 
illuminated exit sign unit under test (``combination unit'') by 
conducting the test procedure, as follows:
    (i) Identify a unit of a non-combination illuminated exit sign 
(``non-combination unit'') equivalent to the combination unit. A non-
combination unit is equivalent only if it consists entirely of 
electricity-consuming components identical to all of those of the 
combination unit, but does not include any auxiliary features, and 
contains an electrically connected battery. The equivalent non-
combination unit must also have the same manufacturer and number of 
faces as the combination unit.
    (ii) Test the equivalent non-combination unit using the DOE test 
procedure at 10 CFR part 431, subpart L.
    (iii) Assign the measured input power demand of the non-combination 
unit as the input power demand of the combination unit.
    (3) Representations. Signify may not make representations about the 
energy use of the basic models listed in paragraph (1) of this Order 
for compliance, marketing, or other purposes unless the basic model has 
been tested in accordance with the provisions of paragraph (2) of this 
Order and such representations fairly disclose the results of such 
testing.
    (4) This waiver shall remain in effect according to the provisions 
of 10 CFR 431.401.
    (5) This waiver is issued on the condition that the statements, 
representations, and documents provided by Signify are valid. If 
Signify makes any modifications to the controls or configurations of a 
basic model referenced in paragraph (1) of this Order, the waiver will 
no longer be valid for that basic model and Signify will either be 
required to use the current Federal test method or submit a new 
application for a test procedure waiver. DOE may rescind or modify this 
waiver at any time if it determines that 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. 10 CFR 431.401(k)(1). Likewise, Signify 
may request that DOE rescind or modify the waiver if Signify discovers 
an error in the information provided to DOE as part of its petition, 
determines that the waiver is no longer needed, or for other 
appropriate reasons. 10 CFR 431.401(k)(2).
    (6) Signify remains obligated to fulfill the certification 
requirements set forth at 10 CFR part 429.

    Signed in Washington, DC, on January 17, 2020.

Alexander N. Fitzsimmons,

Acting Deputy Assistant Secretary for Energy Efficiency Energy 
Efficiency and Renewable Energy.
[FR Doc. 2020-01848 Filed 1-30-20; 8:45 am]
BILLING CODE 6450-01-P