[Federal Register Volume 87, Number 41 (Wednesday, March 2, 2022)]
[Proposed Rules]
[Pages 11650-11657]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-04272]


 ========================================================================
 Proposed Rules
                                                 Federal Register
 ________________________________________________________________________
 
 This section of the FEDERAL REGISTER contains notices to the public of 
 the proposed issuance of rules and regulations. The purpose of these 
 notices is to give interested persons an opportunity to participate in 
 the rule making prior to the adoption of the final rules.
 
 ========================================================================
 

  Federal Register / Vol. 87, No. 41 / Wednesday, March 2, 2022 / 
Proposed Rules  

[[Page 11650]]



DEPARTMENT OF ENERGY

10 CFR Part 431

[EERE-2020-BT-STD-0007]
RIN 1904-AE63


Energy Conservation Program: Energy Conservation Standards for 
Electric Motors, Webinar and Availability of the Preliminary Technical 
Support Document

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

ACTION: Notification of a webinar and availability of preliminary 
technical support document.

-----------------------------------------------------------------------

SUMMARY: The U.S. Department of Energy (``DOE'' or ``the Department'') 
will hold a webinar to discuss and receive comments on the preliminary 
analysis it has conducted for purposes of evaluating energy 
conservation standards for electric motors. The meeting will cover the 
analytical framework, models, and tools used to evaluate potential 
standards for this equipment; the results of preliminary analyses 
performed for this equipment; the potential energy conservation 
standard levels derived from these analyses that may be considered for 
this equipment should proposed amendments be determined necessary; and 
any other issues relevant to the evaluation of energy conservation 
standards for electric motors. Written comments on these subjects from 
the public are encouraged.

DATES: 
    Meeting: A webinar will be held on Tuesday, April 5, 2022, from 
1:00 p.m. to 4:00 p.m. See section IV, ``Public Participation,'' for 
webinar registration information, participant instructions and 
information about the capabilities available to webinar participants.
    Comments: Written comments and information will be accepted on or 
before, May 2, 2022.

ADDRESSES: To inform interested parties and to facilitate this process, 
an agenda, a preliminary technical support document, and related 
briefing materials, are available at: www1.eere.energy.gov/buildings/appliance_standards/standards.aspx?productid=6&action=viewlive.
    Interested persons are encouraged to submit comments using the 
Federal eRulemaking Portal at www.regulations.gov. Follow the 
instructions for submitting comments. Alternatively, interested persons 
may submit comments, identified by docket number EERE-2020-BT-STD-0007, 
by any of the following methods:
    1. Federal eRulemaking Portal: www.regulations.gov. Follow the 
instructions for submitting comments.
    2. Email: [email protected]. Include docket number 
EERE-2020-BT-STD-0007 in the subject line of the message.
    No telefacsimiles (``faxes'') will be accepted. For detailed 
instructions on submitting comments and additional information on this 
process, see section IV of this document.
    Although DOE has routinely accepted public comment submissions 
through a variety of mechanisms, including postal mail and hand 
delivery/courier, the Department has found it necessary to make 
temporary modifications to the comment submission process in light of 
the ongoing COVID-19 pandemic. DOE is currently suspending receipt of 
public comments via postal mail and hand delivery/courier. If a 
commenter finds that this change poses an undue hardship, please 
contact Appliance Standards Program staff at (202) 586-1445 to discuss 
the need for alternative arrangements. Once the COVID-19 pandemic 
health emergency is resolved, DOE anticipates resuming all of its 
regular options for public comment submission, including postal mail 
and hand delivery/courier.
    Docket: The docket for this activity, which includes Federal 
Register notices, comments, public meeting transcripts, and other 
supporting documents/materials, is available for review at 
www.regulations.gov. All documents in the docket are listed in the 
www.regulations.gov index. However, some documents listed in the index, 
such as those containing information that is exempt from public 
disclosure, may not be publicly available.
    The docket web page can be found at www.regulations.gov/docket/EERE-2020-BT-STD-0007. The docket web page contains instructions on how 
to access all documents, including public comments in the docket. See 
section IV for information on how to submit comments through 
www.regulations.gov.

FOR FURTHER INFORMATION CONTACT: 
    Mr. Jeremy Dommu, U.S. Department of Energy, Office of Energy 
Efficiency and Renewable Energy, Building Technologies, EE-2J, 1000 
Independence Avenue SW, Washington, DC 20585-0121. Email: 
[email protected].
    Mr. Michael Kido, U.S. Department of Energy, Office of the General 
Counsel, GC-33, 1000 Independence Avenue SW, Washington, DC 20585-0121. 
Telephone: (202) 586-8145. Email: [email protected].
    For further information on how to submit a comment, review other 
public comments and the docket, contact the Appliance and Equipment 
Standards Program staff at (202) 287-1445 or by email: 
[email protected].

SUPPLEMENTARY INFORMATION:

Table of Contents

I. Introduction
    A. Authority
    B. Rulemaking Process
II. Background
    A. Current Standards
    B. Current Process
    C. Deviation From Appendix A
III. Summary of the Analyses Performed by DOE
    A. Engineering Analysis
    B. Markups Analysis
    C. Energy Use Analysis
    D. Life-Cycle Cost and Payback Period Analyses
    E. National Impact Analysis
IV. Public Participation
    A. Participation in the Webinar
    B. Procedure for Submitting Prepared General Statements for 
Distribution
    C. Conduct of the Webinar
    D. Submission of Comments
V. Approval of the Office of the Secretary

I. Introduction

A. Authority

    The Energy Policy and Conservation Act, as amended (``EPCA''),\1\ 
authorizes DOE to regulate the energy efficiency of several consumer 
products and certain

[[Page 11651]]

industrial equipment. (42 U.S.C. 6291-6317) Title III, Part C \2\ of 
EPCA added by Public Law 95-619, Title IV, section 441(a) (42 U.S.C. 
6311-6317, as codified), established the Energy Conservation Program 
for Certain Industrial Equipment, which sets forth a variety of 
provisions designed to improve the energy efficiency of certain types 
of industrial equipment, including electric motors, the subject of this 
notice. (42 U.S.C. 6311(1)(A))
---------------------------------------------------------------------------

    \1\ All references to EPCA in this document refer to the statute 
as amended through the Energy Act of 2020, Public Law 116-260 (Dec. 
27, 2020).
    \2\ For editorial reasons, upon codification in the U.S. Code, 
Part C was redesignated Part A-1.
---------------------------------------------------------------------------

    The Energy Policy Act of 1992 (``EPACT 1992'') (Pub. L. 102-486 
(Oct. 24, 1992)) further amended EPCA by establishing energy 
conservation standards and test procedures for certain commercial and 
industrial electric motors that are manufactured alone or as a 
component of another piece of equipment. In December 2007, Congress 
enacted the Energy Independence and Security Act of 2007 (``EISA 
2007'') (Pub. L. 110-140 (Dec. 19, 2007). Section 313(b)(1) of EISA 
2007 updated the energy conservation standards for those electric 
motors already covered by EPCA and established energy conservation 
standards for a larger scope of motors not previously covered by 
standards. (42 U.S.C. 6313(b)(2)) EISA 2007 also revised certain 
statutory definitions related to electric motors. See EISA 2007, sec. 
313 (amending statutory definitions related to electric motors at 42 
U.S.C. 6311(13))
    EPCA further provides that, not later than 6 years after the 
issuance of any final rule establishing or amending a standard, DOE 
must publish either a notification of determination that standards for 
the equipment do not need to be amended, or a notice of proposed 
rulemaking (``NOPR'') including new proposed energy conservation 
standards (proceeding to a final rule, as appropriate). (42 U.S.C. 
6316(a); 42 U.S.C. 6295(m)(1)) Not later than three years after 
issuance of a final determination not to amend standards, DOE must 
publish either a notice of determination that standards for the 
equipment do not need to be amended, or a NOPR including new proposed 
energy conservation standards (proceeding to a final rule, as 
appropriate). (42 U.S.C. 6316(a); 42 U.S.C. 6295(m)(3)(B))
    Under EPCA, any new or amended energy conservation standard must be 
designed to achieve the maximum improvement in energy efficiency that 
DOE determines is technologically feasible and economically justified. 
(42 U.S.C. 6316(a); 42 U.S.C. 6295(o)(2)(A)) Furthermore, the new or 
amended standard must result in a significant conservation of energy. 
(42 U.S.C. 6316(a); 42 U.S.C. 6295(o)(3)(B))
    DOE is publishing this Preliminary Analysis to collect data and 
information to inform its decision consistent with its obligations 
under EPCA.

B. Rulemaking Process

    DOE must follow specific statutory criteria for prescribing new or 
amended standards for covered equipment, including electric motors. As 
noted, EPCA requires that any new or amended energy conservation 
standard prescribed by the Secretary of Energy (``Secretary'') be 
designed to achieve the maximum improvement in energy efficiency (or 
water efficiency for certain products specified by EPCA) that is 
technologically feasible and economically justified. (42 U.S.C. 
6316(a); 42 U.S.C. 6295(o)(2)(A)) The Secretary may not prescribe an 
amended or new standard that will not result in significant 
conservation of energy or is not technologically feasible or 
economically justified. (42 U.S.C. 6316(a); 42 U.S.C. 6295(o)(3))
    The significance of energy savings offered by a new or amended 
energy conservation standard cannot be determined without knowledge of 
the specific circumstances surrounding a given rulemaking. For example, 
the United States has now rejoined the Paris Agreement and will exert 
leadership in confronting the climate crisis.\3\ Additionally, some 
covered products and equipment have most of their energy consumption 
occur during periods of peak energy demand. The impacts of these 
products on the energy infrastructure can be more pronounced than 
products with relatively constant demand. In evaluating the 
significance of energy savings, DOE considers differences in primary 
energy and FFC effects for different covered products and equipment 
when determining whether energy savings are significant. Primary energy 
and FFC effects include the energy consumed in electricity production 
(depending on load shape), in distribution and transmission, and in 
extracting, processing, and transporting primary fuels (i.e., coal, 
natural gas, petroleum fuels), and thus present a more complete picture 
of the impacts of energy conservation standards.
---------------------------------------------------------------------------

    \3\ See Executive Order 14008, 86 FR 7619 (Feb. 1, 2021) 
(``Tackling the Climate Crisis at Home and Abroad'').
---------------------------------------------------------------------------

    Accordingly, DOE evaluates the significance of energy savings on a 
case-by-case basis. DOE has initially determined the energy savings for 
the TSL proposed in this rulemaking are ``significant'' within the 
meaning of 42 U.S.C. 6295(o)(3)(B).
    To determine whether a standard is economically justified, EPCA 
requires that DOE determine whether the benefits of the standard exceed 
its burdens by considering, to the greatest extent practicable, the 
following seven factors:

    (1) The economic impact of the standard on the manufacturers and 
consumers of the products subject to the standard;
    (2) The savings in operating costs throughout the estimated 
average life of the covered products in the type (or class) compared 
to any increase in the price, initial charges, or maintenance 
expenses for the covered products that are likely to result from the 
standard;
    (3) The total projected amount of energy (or as applicable, 
water) savings likely to result directly from the standard;
    (4) Any lessening of the utility or the performance of the 
products likely to result from the standard;
    (5) The impact of any lessening of competition, as determined in 
writing by the Attorney General, that is likely to result from the 
standard;
    (6) The need for national energy and water conservation; and
    (7) Other factors the Secretary of Energy (Secretary) considers 
relevant.

(42 U.S.C. 6316(a); 42 U.S.C. 6295(o)(2)(B)(i)(I)-(VII))

    DOE fulfills these and other applicable requirements by conducting 
a series of analyses throughout the rulemaking process. Table I.1 shows 
the individual analyses that are performed to satisfy each of the 
requirements within EPCA.

       Table I.1--EPCA Requirements and Corresponding DOE Analysis
------------------------------------------------------------------------
            EPCA requirement                Corresponding DOE analysis
------------------------------------------------------------------------
Significant Energy Savings.............   Shipments Analysis.
                                          National Impact
                                          Analysis.

[[Page 11652]]

 
                                          Energy Use Analysis.
Technological Feasibility..............   Market and Technology
                                          Assessment.
                                          Screening Analysis.
                                          Engineering Analysis.
Economic Justification:
    1. Economic impact on manufacturers   Manufacturer Impact
     and consumers.                       Analysis.
                                          Life-Cycle Cost and
                                          Payback Period Analysis.
                                          Life-Cycle Cost
                                          Subgroup Analysis.
                                          Shipments Analysis.
    2. Lifetime operating cost savings    Markups for Product
     compared to increased cost for the   Price Analysis.
     product.
                                          Energy Use Analysis.
                                          Life-Cycle Cost and
                                          Payback Period Analysis.
    3. Total projected energy savings..   Shipments Analysis.
                                          National Impact
                                          Analysis.
    4. Impact on utility or performance   Screening Analysis.
                                          Engineering Analysis.
    5. Impact of any lessening of         Manufacturer Impact
     competition.                         Analysis.
    6. Need for national energy and       Shipments Analysis.
     water conservation.
                                          National Impact
                                          Analysis.
    7. Other factors the Secretary        Employment Impact
     considers relevant.                  Analysis.
                                          Utility Impact
                                          Analysis.
                                          Emissions Analysis.
                                          Monetization of
                                          Emission Reductions Benefits.
                                          Regulatory Impact
                                          Analysis.
------------------------------------------------------------------------

    Further, EPCA establishes a rebuttable presumption that a standard 
is economically justified if the Secretary finds that the additional 
cost to the consumer of purchasing a product complying with an energy 
conservation standard level will be less than three times the value of 
the energy savings during the first year that the consumer will receive 
as a result of the standard, as calculated under the applicable test 
procedure. (42 U.S.C. 6316(a); 42 U.S.C. 6295(o)(2)(B)(iii))
    EPCA also contains what is known as an ``anti-backsliding'' 
provision, which prevents the Secretary from prescribing any amended 
standard that either increases the maximum allowable energy use or 
decreases the minimum required energy efficiency of a covered product. 
(42 U.S.C. 6316(a); 42 U.S.C. 6295(o)(1)) Also, the Secretary may not 
prescribe an amended or new standard if interested persons have 
established by a preponderance of the evidence that the standard is 
likely to result in the unavailability in the United States in any 
covered product type (or class) of performance characteristics 
(including reliability), features, sizes, capacities, and volumes that 
are substantially the same as those generally available in the United 
States. (42 U.S.C. 6316(a); 42 U.S.C. 6295(o)(4))
    Additionally, EPCA specifies requirements when promulgating an 
energy conservation standard for a covered product that has two or more 
subcategories. DOE must specify a different standard level for a type 
or class of product that has the same function or intended use, if DOE 
determines that products within such group: (A) Consume a different 
kind of energy from that consumed by other covered products within such 
type (or class); or (B) have a capacity or other performance-related 
feature which other products within such type (or class) do not have 
and such feature justifies a higher or lower standard. (42 U.S.C. 
6316(a); 42 U.S.C. 6295(q)(1)) In determining whether a performance-
related feature justifies a different standard for a group of products, 
DOE must consider such factors as the utility to the consumer of the 
feature and other factors DOE deems appropriate. Id. Any rule 
prescribing such a standard must include an explanation of the basis on 
which such higher or lower level was established. (42 U.S.C. 6316(a); 
42 U.S.C. 6295(q)(2))
    Before proposing a standard, DOE typically seeks public input on 
the analytical framework, models, and tools that DOE intends to use to 
evaluate standards for the equipment at issue and the results of 
preliminary analyses DOE performed for the equipment.
    DOE is examining whether to amend the current standards for 
electric motors pursuant to its obligations under EPCA. This 
notification announces the availability of the preliminary TSD, which 
details the preliminary analyses and summarizes the preliminary results 
of DOE's analyses. In addition, DOE is announcing a public meeting to 
solicit feedback from interested parties on its analytical framework, 
models, and preliminary results.

C. Deviation From Appendix A

    Under 10 CFR 431.4, the provisions of 10 CFR part 430, subpart C, 
appendix A (``appendix A''), apply to commercial and industrial 
equipment regulated by DOE. In accordance with section 3(a) of appendix 
A, DOE notes that it is deviating from the provision in appendix A 
regarding the pre-NOPR stages for an energy conservation standards 
rulemaking. Section 6(a)(2) of appendix A states that if the Department 
determines it is appropriate to proceed with a rulemaking (after 
initiating the rulemaking process through an early assessment), the 
preliminary stages of a rulemaking to issue or amend an energy 
conservation standard that DOE will undertake will be a framework 
document and preliminary analysis, or an advance notice of proposed 
rulemaking (``ANOPR''). DOE is opting to deviate from this step by 
publishing a preliminary analysis without a framework document. A 
framework document is intended to introduce and summarize the various 
analyses DOE conducts during the rulemaking process and requests 
initial feedback from interested parties. DOE issued an early 
assessment request for information on May 21, 2020 (``May 2020 Early 
Assessment Review RFI'') in which DOE identified and sought comment on 
technological or market changes to help determine whether the existing 
energy conservation standards for electric

[[Page 11653]]

motors should be amended. 85 FR 30878. DOE provided a 30-day comment 
period for the RFI. Id. As DOE is intending to rely on substantively 
the same analytical methods as in the 2014 rulemaking, publication of a 
framework document would be largely redundant with the published early 
assessment RFI. As such, DOE is not publishing a framework document.
    Section 6(d)(2) of appendix A specifies that the length of the 
public comment period for pre-NOPR rulemaking documents will vary 
depending upon the circumstances of the particular rulemaking, but will 
not be less than 75 calendar days. For this preliminary analysis, DOE 
has opted to instead provide a 60-day comment period. As stated, DOE 
requested comment in the May 2020 Early Assessment Review RFI on the 
analysis conducted in support of the last energy conservation standard 
rulemaking for electric motors. For this preliminary analysis, DOE has 
relied on many of the same analytical assumptions and approaches as 
used in the previous rulemaking and has determined that a 60-day 
comment period in conjunction with the prior 30-day comment period 
provides sufficient time for interested parties to review the 
preliminary analysis and develop comments.

II. Background

A. Current Standards

    On May 29, 2014, DOE published a final rule adopting new and 
amended energy conservation standards for electric motors other than 
fire pump electric motors, consistent with the efficiency levels 
(``ELs'') specified in Table 12-12 of National Electrical Manufacturers 
Association (``NEMA'') Standards Publication MG 1-2011, ``Motors and 
Generators,'' and retained the standards for fire pump motors. 79 FR 
30934 (``May 2014 Final Rule''). These standards are set forth in DOE's 
regulations at 10 CFR 431.25 and are repeated in Table II.1, Table II.2 
and Table II.3 (for electric motors starting on June 1, 2016).

   Table II.1--Federal Energy Conservation Standards for NEMA Design A, NEMA Design B and IEC Design N Motors
                                 (Excluding Fire Pump Electric Motors) at 60 Hz
----------------------------------------------------------------------------------------------------------------
                                                       Nominal full-load efficiency (%)
                             -----------------------------------------------------------------------------------
  Motor horsepower/standard          2-Pole               4-Pole               6-Pole               8-Pole
     kilowatt equivalent     -----------------------------------------------------------------------------------
                               Enclosed    Open     Enclosed    Open     Enclosed    Open     Enclosed    Open
----------------------------------------------------------------------------------------------------------------
1/.75.......................       77.0      77.0       85.5      85.5       82.5      82.5       75.5      75.5
1.5/1.1.....................       84.0      84.0       86.5      86.5       87.5      86.5       78.5      77.0
2/1.5.......................       85.5      85.5       86.5      86.5       88.5      87.5       84.0      86.5
3/2.2.......................       86.5      85.5       89.5      89.5       89.5      88.5       85.5      87.5
5/3.7.......................       88.5      86.5       89.5      89.5       89.5      89.5       86.5      88.5
7.5/5.5.....................       89.5      88.5       91.7      91.0       91.0      90.2       86.5      89.5
10/7.5......................       90.2      89.5       91.7      91.7       91.0      91.7       89.5      90.2
15/11.......................       91.0      90.2       92.4      93.0       91.7      91.7       89.5      90.2
20/15.......................       91.0      91.0       93.0      93.0       91.7      92.4       90.2      91.0
25/18.5.....................       91.7      91.7       93.6      93.6       93.0      93.0       90.2      91.0
30/22.......................       91.7      91.7       93.6      94.1       93.0      93.6       91.7      91.7
40/30.......................       92.4      92.4       94.1      94.1       94.1      94.1       91.7      91.7
50/37.......................       93.0      93.0       94.5      94.5       94.1      94.1       92.4      92.4
60/45.......................       93.6      93.6       95.0      95.0       94.5      94.5       92.4      93.0
75/55.......................       93.6      93.6       95.4      95.0       94.5      94.5       93.6      94.1
100/75......................       94.1      93.6       95.4      95.4       95.0      95.0       93.6      94.1
125/90......................       95.0      94.1       95.4      95.4       95.0      95.0       94.1      94.1
150/110.....................       95.0      94.1       95.8      95.8       95.8      95.4       94.1      94.1
200/150.....................       95.4      95.0       96.2      95.8       95.8      95.4       94.5      94.1
250/186.....................       95.8      95.0       96.2      95.8       95.8      95.8       95.0      95.0
300/224.....................       95.8      95.4       96.2      95.8       95.8      95.8  .........  ........
350/261.....................       95.8      95.4       96.2      95.8       95.8      95.8
400/298.....................       95.8      95.8       96.2      95.8  .........  ........  .........  ........
450/336.....................       95.8      96.2       96.2      96.2  .........  ........  .........  ........
500/373.....................       95.8      96.2       96.2      96.2  .........  ........  .........  ........
----------------------------------------------------------------------------------------------------------------


      Table II.2--Federal Energy Conservation Standards for NEMA Design C and IEC Design H Motors at 60 Hz
----------------------------------------------------------------------------------------------------------------
                                                                  Nominal full-load efficiency (%)
                                                  --------------------------------------------------------------
  Motor horsepower/standard kilowatt equivalent           4-Pole               6-Pole               8-Pole
                                                  --------------------------------------------------------------
                                                    Enclosed    Open     Enclosed    Open     Enclosed    Open
----------------------------------------------------------------------------------------------------------------
1/.75............................................       85.5      85.5       82.5      82.5       75.5      75.5
1.5/1.1..........................................       86.5      86.5       87.5      86.5       78.5      77.0
2/1.5............................................       86.5      86.5       88.5      87.5       84.0      86.5
3/2.2............................................       89.5      89.5       89.5      88.5       85.5      87.5
5/3.7............................................       89.5      89.5       89.5      89.5       86.5      88.5
7.5/5.5..........................................       91.7      91.0       91.0      90.2       86.5      89.5
10/7.5...........................................       91.7      91.7       91.0      91.7       89.5      90.2
15/11............................................       92.4      93.0       91.7      91.7       89.5      90.2

[[Page 11654]]

 
20/15............................................       93.0      93.0       91.7      92.4       90.2      91.0
25/18.5..........................................       93.6      93.6       93.0      93.0       90.2      91.0
30/22............................................       93.6      94.1       93.0      93.6       91.7      91.7
40/30............................................       94.1      94.1       94.1      94.1       91.7      91.7
50/37............................................       94.5      94.5       94.1      94.1       92.4      92.4
60/45............................................       95.0      95.0       94.5      94.5       92.4      93.0
75/55............................................       95.4      95.0       94.5      94.5       93.6      94.1
100/75...........................................       95.4      95.4       95.0      95.0       93.6      94.1
125/90...........................................       95.4      95.4       95.0      95.0       94.1      94.1
150/110..........................................       95.8      95.8       95.8      95.4       94.1      94.1
200/150..........................................       96.2      95.8       95.8      95.4       94.5      94.1
----------------------------------------------------------------------------------------------------------------


            Table II.3--Federal Energy Conservation Standards for Fire Pump Electric Motors at 60 Hz
----------------------------------------------------------------------------------------------------------------
                                                       Nominal full-load efficiency (%)
                             -----------------------------------------------------------------------------------
  Motor horsepower/standard          2-Pole               4-Pole               6-Pole               8-Pole
     kilowatt equivalent     -----------------------------------------------------------------------------------
                               Enclosed    Open     Enclosed    Open     Enclosed    Open     Enclosed    Open
----------------------------------------------------------------------------------------------------------------
1/.75.......................       75.5  ........       82.5      82.5       80.0      80.0       74.0      74.0
1.5/1.1.....................       82.5      82.5       84.0      84.0       85.5      84.0       77.0      75.5
2/1.5.......................       84.0      84.0       84.0      84.0       86.5      85.5       82.5      85.5
3/2.2.......................       85.5      84.0       87.5      86.5       87.5      86.5       84.0      86.5
5/3.7.......................       87.5      85.5       87.5      87.5       87.5      87.5       85.5      87.5
7.5/5.5.....................       88.5      87.5       89.5      88.5       89.5      88.5       85.5      88.5
10/7.5......................       89.5      88.5       89.5      89.5       89.5      90.2       88.5      89.5
15/11.......................       90.2      89.5       91.0      91.0       90.2      90.2       88.5      89.5
20/15.......................       90.2      90.2       91.0      91.0       90.2      91.0       89.5      90.2
25/18.5.....................       91.0      91.0       92.4      91.7       91.7      91.7       89.5      90.2
30/22.......................       91.0      91.0       92.4      92.4       91.7      92.4       91.0      91.0
40/30.......................       91.7      91.7       93.0      93.0       93.0      93.0       91.0      91.0
50/37.......................       92.4      92.4       93.0      93.0       93.0      93.0       91.7      91.7
60/45.......................       93.0      93.0       93.6      93.6       93.6      93.6       91.7      92.4
75/55.......................       93.0      93.0       94.1      94.1       93.6      93.6       93.0      93.6
100/75......................       93.6      93.0       94.5      94.1       94.1      94.1       93.0      93.6
125/90......................       94.5      93.6       94.5      94.5       94.1      94.1       93.6      93.6
150/110.....................       94.5      93.6       95.0      95.0       95.0      94.5       93.6      93.6
200/150.....................       95.0      94.5       95.0      95.0       95.0      94.5       94.1      93.6
250/186.....................       95.4      94.5       95.0      95.4       95.0      95.4       94.5      94.5
300/224.....................       95.4      95.0       95.4      95.4       95.0      95.4  .........  ........
350/261.....................       95.4      95.0       95.4      95.4       95.0      95.4  .........  ........
400/298.....................       95.4      95.4       95.4      95.4  .........  ........  .........  ........
450/336.....................       95.4      95.8       95.4      95.8  .........  ........  .........  ........
500/373.....................       95.4      95.8       95.8      95.8  .........  ........  .........  ........
----------------------------------------------------------------------------------------------------------------

B. Current Process

    In it May 2020 Early Assessment Review RFI, DOE stated that it was 
initiating an early assessment review to determine whether any new or 
amended standards would satisfy the relevant requirements of EPCA for a 
new or amended energy conservation standard for electric motors and 
sought information related to that effort. Specifically, DOE sought 
data and information that could enable the agency to determine whether 
DOE should propose a ``no new standard'' determination because a more 
stringent standard: (1) Would not result in a significant savings of 
energy; (2) is not technologically feasible; (3) is not economically 
justified; or (4) any combination of the foregoing. 85 FR 30878, 30879.
    Comments received to date as part of the current process have 
helped DOE identify and resolve issues related to the preliminary 
analyses. Chapter 2 of the preliminary TSD summarizes and addresses the 
comments received.

III. Summary of the Analyses Performed by DOE

    For the equipment covered in this preliminary analysis, DOE 
conducted in-depth technical analyses in the following areas: (1) 
Engineering; (2) markups to determine product price; (3) energy use; 
(4) life cycle cost (``LCC'') and payback period (``PBP''); and (5) 
national impacts. The preliminary TSD that presents the methodology and 
results of each of these analyses is available at www.regulations.gov/docket/EERE-2020-BT-STD-0007.

[[Page 11655]]

    DOE also conducted, and has included in the preliminary TSD, 
several other analyses that support the major analyses or are 
preliminary analyses that will be expanded if DOE determines that a 
NOPR is warranted to propose amended energy conservation standards. 
These analyses include: (1) The market and technology assessment; (2) 
the screening analysis, which contributes to the engineering analysis; 
and (3) the shipments analysis, which contributes to the LCC and PBP 
analysis and the national impact analysis (``NIA''). In addition to 
these analyses, DOE has begun preliminary work on the manufacturer 
impact analysis. DOE has also identified the methods to be used for the 
consumer subgroup analysis, the emissions analysis, the employment 
impact analysis, the regulatory impact analysis, and the utility impact 
analysis. DOE will expand on these analyses in the NOPR should one be 
issued.

A. Engineering Analysis

    The purpose of the engineering analysis is to establish the 
relationship between the efficiency and cost of electric motors. There 
are two elements to consider in the engineering analysis: (1) The 
selection of efficiency levels to analyze (i.e., the ``efficiency 
analysis'') and (2) the determination of equipment cost at each 
efficiency level (i.e., the ``cost analysis''). In determining the 
performance of higher-efficiency equipment, DOE considers technologies 
and design option combinations not eliminated by the screening 
analysis. For each equipment class, DOE estimates the manufacturer 
production cost (``MPC'') for the baseline as well as higher efficiency 
levels. The output of the engineering analysis is a set of cost-
efficiency ``curves'' that are used in downstream analyses (i.e., the 
LCC and PBP analyses and the NIA).
    DOE converts the MPC to the manufacturer selling price (``MSP'') by 
applying a manufacturer markup. The MSP is the price the manufacturer 
charges its first customer, when selling into the equipment 
distribution channels. The manufacturer markup accounts for 
manufacturer non-production costs and profit margin. DOE developed the 
manufacturer markup by examining publicly available financial 
information for manufacturers of the covered equipment.
    See Chapter 5 of the preliminary TSD for additional detail on the 
engineering analysis.

B. Markups Analysis

    The markups analysis develops appropriate markups (e.g., retailer 
markups, distributor markups, contractor markups) in the distribution 
chain and sales taxes to convert manufacturer selling cost (``MSP'') 
estimates derived in the engineering analysis to consumer prices, which 
are then used in the LCC and PBP analysis. At each step in the 
distribution channel, companies mark up the price of the equipment to 
cover business costs and profit margin.
    DOE developed baseline and incremental markups for each actor in 
the distribution chain. Baseline markups are applied to the price of 
equipment with baseline efficiency, while incremental markups are 
applied to the difference in price between baseline and higher-
efficiency models (the incremental cost increase). The incremental 
markup is typically less than the baseline markup and is designed to 
maintain similar per-unit operating profit before and after new or 
amended standards.\4\
---------------------------------------------------------------------------

    \4\ Because the projected price of products at efficiency levels 
above the baseline is typically higher than the price of baseline 
products, using the same markup for the incremental cost and the 
baseline cost would result in higher per-unit operating profit. 
While such an outcome is possible, DOE maintains that in markets 
that are reasonably competitive it is unlikely that standards would 
lead to a sustainable increase in profitability in the long run.
---------------------------------------------------------------------------

    Chapter 6 of the preliminary TSD provides details on DOE's 
development of markups for electric motors.

C. Energy Use Analysis

    The purpose of the energy use analysis is to determine the annual 
energy consumption of electric motors at different efficiencies in 
representative commercial, industrial, and agricultural consumers, and 
to assess the energy savings potential of increased electric motor 
efficiency. The energy use analysis estimates the range of energy use 
of electric motors in the field (i.e., as they are actually used by 
consumers). The energy use analysis provides the basis for other 
analyses DOE performed, particularly assessments of the energy savings 
and the savings in consumer operating costs that could result from 
adoption of amended or new standards.
    Chapter 7 of the preliminary TSD addresses the energy use analysis.

D. Life-Cycle Cost and Payback Period Analyses

    The effect of new or amended energy conservation standards on 
individual consumers usually involves a reduction in operating cost and 
an increase in purchase cost. DOE used the following two metrics to 
measure consumer impacts:
     The LCC is the total consumer expense of an appliance or 
product over the life of that product, consisting of total installed 
cost (manufacturer selling price, distribution chain markups, sales 
tax, and installation costs) plus operating costs (expenses for energy 
use, maintenance, and repair). To compute the operating costs, DOE 
discounts future operating costs to the time of purchase and sums them 
over the lifetime of the product.
     The PBP is the estimated amount of time (in years) it 
takes consumers to recover the increased purchase cost (including 
installation) of a more-efficient product through lower operating 
costs. DOE calculates the PBP by dividing the change in purchase cost 
at higher efficiency levels by the change in annual operating cost for 
the year that amended or new standards are assumed to take effect.
    Chapter 8 of the preliminary TSD addresses the LCC and PBP 
analyses.

E. National Impact Analysis

    The NIA estimates the national energy savings (``NES'') and the net 
present value (``NPV'') of total consumer costs and savings expected to 
result from amended standards at specific efficiency levels (referred 
to as candidate standard levels).\5\ DOE calculates the NES and NPV for 
the potential standard levels considered based on projections of annual 
equipment shipments, along with the annual energy consumption and total 
installed cost data from the energy use and LCC analyses. For the 
present analysis, DOE projected the energy savings, operating cost 
savings, equipment costs, and NPV of consumer benefits over the 
lifetime of electric motors sold from 2026 through 2055.
---------------------------------------------------------------------------

    \5\ The NIA accounts for impacts in the 50 states and U.S. 
territories.
---------------------------------------------------------------------------

    DOE evaluates the impacts of new or amended standards by comparing 
a case without such standards (``no-new-standards case'') with 
standards-case projections. The no-new-standards case characterizes 
energy use and consumer costs for each equipment class in the absence 
of new or amended energy conservation standards. For this projection, 
DOE considers historical trends in efficiency and various forces that 
are likely to affect the mix of efficiencies over time. DOE compares 
the no-new-standards case with projections characterizing the market 
for each equipment class if DOE adopted new or amended standards at 
specific energy efficiency levels for that class. For each efficiency 
level, DOE considers how a given standard would likely affect the 
market shares of equipment with efficiencies greater than the standard.

[[Page 11656]]

    DOE uses a spreadsheet model to calculate the energy savings and 
the national consumer costs and savings from each efficiency level. 
Interested parties can review DOE's analyses by changing various input 
quantities within the spreadsheet. The NIA spreadsheet model uses 
typical values (as opposed to probability distributions) as inputs. 
Critical inputs to this analysis include shipments projections, 
estimated product lifetimes, equipment installed costs and operating 
costs, equipment annual energy consumption, the no-new standards case 
efficiency projection, and discount rates.
    DOE estimates a combined total of 11.9 quads of site energy savings 
at the max-tech efficiency levels for electric motors. Combined site 
energy savings at Efficiency Level 1 for all equipment classes are 
estimated to be 3.3 quads.
    Chapter 10 of the preliminary TSD addresses the NIA.

IV. Public Participation

    DOE invites public participation in this process through 
participation in the webinar and submission of written comments and 
information. After the webinar and the closing of the comment period, 
DOE will consider all timely-submitted comments and additional 
information obtained from interested parties, as well as information 
obtained through further analyses. Following such consideration, the 
Department will publish either a determination that the standards for 
electric motors need not be amended or a NOPR proposing to amend those 
standards. The NOPR, should one be issued, would include proposed 
energy conservation standards for the products covered by that 
rulemaking, and members of the public would be given an opportunity to 
submit written and oral comments on the proposed standards.

A. Participation in the Webinar

    The time and date of the webinar meeting are listed in the DATES 
section at the beginning of this document. Webinar registration 
information, participant instructions, and information about the 
capabilities available to webinar participants will be published on 
DOE's website: www1.eere.energy.gov/buildings/appliance_standards/standards.aspx?productid=6&action=viewlive. Participants are 
responsible for ensuring their systems are compatible with the webinar 
software.

B. Procedure for Submitting Prepared General Statements for 
Distribution

    Any person who has an interest in the topics addressed in this 
notice, or who is representative of a group or class of persons that 
has an interest in these issues, may request an opportunity to make an 
oral presentation at the webinar. Such persons may submit such request 
to [email protected]. Persons who wish to speak 
should include with their request a computer file in Microsoft Word, 
PDF, or text (ASCII) file format that briefly describes the nature of 
their interest in this rulemaking and the topics they wish to discuss. 
Such persons should also provide a daytime telephone number where they 
can be reached.

C. Conduct of the Webinar

    DOE will designate a DOE official to preside at the webinar and may 
also use a professional facilitator to aid discussion. The meeting will 
not be a judicial or evidentiary-type public hearing, but DOE will 
conduct it in accordance with section 336 of EPCA (42 U.S.C. 6306). A 
court reporter will be present to record the proceedings and prepare a 
transcript. DOE reserves the right to schedule the order of 
presentations and to establish the procedures governing the conduct of 
the webinar. There shall not be discussion of proprietary information, 
costs or prices, market share, or other commercial matters regulated by 
U.S. anti-trust laws. After the webinar and until the end of the 
comment period, interested parties may submit further comments on the 
proceedings and any aspect of the rulemaking.
    The webinar will be conducted in an informal, conference style. DOE 
will present an overview of the topics addressed in the preliminary 
analysis, allow time for prepared general statements by participants, 
and encourage all interested parties to share their views on issues 
affecting this rulemaking. Each participant will be allowed to make a 
general statement (within time limits determined by DOE), before the 
discussion of specific topics. DOE will permit, as time permits, other 
participants to comment briefly on any general statements.
    At the end of all prepared statements on a topic, DOE will permit 
participants to clarify their statements briefly. Participants should 
be prepared to answer questions by DOE and by other participants 
concerning these issues. DOE representatives may also ask questions of 
participants concerning other matters relevant to this rulemaking. The 
official conducting the webinar will accept additional comments or 
questions from those attending, as time permits. The presiding official 
will announce any further procedural rules or modification of the above 
procedures that may be needed for the proper conduct of the webinar.
    A transcript of the webinar will be included in the docket, which 
can be viewed as described in the Docket section at the beginning of 
this notice. In addition, any person may buy a copy of the transcript 
from the transcribing reporter.

D. Submission of Comments

    DOE invites all interested parties, regardless of whether they 
participate in the public meeting, to submit in writing by May 2, 2022, 
comments and information on matters addressed in this notification and 
on other matters relevant to DOE's consideration of amended energy 
conservations standards for electric motors. Interested parties may 
submit comments, data, and other information using any of the methods 
described in the ADDRESSES section at the beginning of this document.
    Submitting comments via www.regulations.gov. The 
www.regulations.gov web page will require you to provide your name and 
contact information. Your contact information will be viewable to DOE 
Building Technologies staff only. Your contact information will not be 
publicly viewable except for your first and last names, organization 
name (if any), and submitter representative name (if any). If your 
comment is not processed properly because of technical difficulties, 
DOE will use this information to contact you. If DOE cannot read your 
comment due to technical difficulties and cannot contact you for 
clarification, DOE may not be able to consider your comment.
    However, your contact information will be publicly viewable if you 
include it in the comment itself or in any documents attached to your 
comment. Any information that you do not want to be publicly viewable 
should not be included in your comment, nor in any document attached to 
your comment. If this instruction is followed, persons viewing comments 
will see only first and last names, organization names, correspondence 
containing comments, and any documents submitted with the comments.
    Do not submit to www.regulations.gov. information for which 
disclosure is restricted by statute, such as trade secrets and 
commercial or financial information (hereinafter referred to as 
Confidential Business Information (CBI)). Comments submitted through 
www.regulations.gov cannot be claimed as CBI. Comments

[[Page 11657]]

received through the website will waive any CBI claims for the 
information submitted. For information on submitting CBI, see the 
Confidential Business Information section.
    DOE processes submissions made through www.regulations.gov before 
posting. Normally, comments will be posted within a few days of being 
submitted. However, if large volumes of comments are being processed 
simultaneously, your comment may not be viewable for up to several 
weeks. Please keep the comment tracking number that www.regulations.gov 
provides after you have successfully uploaded your comment.
    Submitting comments via email. Comments and documents submitted via 
email also will be posted to www.regulations.gov. If you do not want 
your personal contact information to be publicly viewable, do not 
include it in your comment or any accompanying documents. Instead, 
provide your contact information in a cover letter. Include your first 
and last names, email address, telephone number, and optional mailing 
address. The cover letter will not be publicly viewable as long as it 
does not include any comments.
    Include contact information each time you submit comments, data, 
documents, and other information to DOE. No faxes will be accepted.
    Comments, data, and other information submitted to DOE 
electronically should be provided in PDF (preferred), Microsoft Word or 
Excel, WordPerfect, or text (ASCII) file format. Provide documents that 
are not secured, that are written in English, and that are free of any 
defects or viruses. Documents should not contain special characters or 
any form of encryption and, if possible, they should carry the 
electronic signature of the author.
    Campaign form letters. Please submit campaign form letters by the 
originating organization in batches of between 50 to 500 form letters 
per PDF or as one form letter with a list of supporters' names compiled 
into one or more PDFs. This reduces comment processing and posting 
time.
    Confidential Business Information. Pursuant 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 via 
email two well-marked copies: one copy of the document marked 
``confidential'' including all the information believed to be 
confidential, and one copy of the document marked ``non-confidential'' 
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.
    It is DOE's policy that all comments may be included in the public 
docket, without change and as received, including any personal 
information provided in the comments (except information deemed to be 
exempt from public disclosure).

V. Approval of the Office of the Secretary

    The Secretary of Energy has approved publication of this 
notification of a webinar and availability of preliminary technical 
support document.

Signing Authority

    This document of the Department of Energy was signed on February 
23, 2022, by Kelly J. Speaks-Backman, Principal Deputy Assistant 
Secretary for Energy Efficiency and Renewable Energy, pursuant to 
delegated authority from the Secretary of Energy. That document with 
the original signature and date is maintained by DOE. For 
administrative purposes only, and in compliance with requirements of 
the Office of the Federal Register, the undersigned DOE Federal 
Register Liaison Officer has been authorized to sign and submit the 
document in electronic format for publication, as an official document 
of the Department of Energy. This administrative process in no way 
alters the legal effect of this document upon publication in the 
Federal Register.

    Signed in Washington, DC, on February 24, 2022.
Treena V. Garrett,
Federal Register Liaison Officer, U.S. Department of Energy.
[FR Doc. 2022-04272 Filed 3-1-22; 8:45 am]
BILLING CODE 6450-01-P