Federal Register, Volume 87 Issue 205 (Tuesday, October 25, 2022)

[Federal Register Volume 87, Number 205 (Tuesday, October 25, 2022)]
[Proposed Rules]
[Pages 64399-64405]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-23063]

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FEDERAL TRADE COMMISSION

16 CFR Part 305

RIN 3084-AB15

Energy Labeling Rule

AGENCY: Federal Trade Commission.

ACTION: Advance notice of proposed rulemaking (ANPR).

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SUMMARY: The Federal Trade Commission (FTC or Commission) seeks public
comment on potential amendments to the Energy Labeling Rule (Rule),
including energy labels for several new consumer product categories,
and other possible amendments to improve the Rule's effectiveness and
reduce unnecessary burdens.

DATES: Comments must be received on or before December 27, 2022.

ADDRESSES: Interested parties may file a comment online or on paper, by
following the instructions in the Request for Comment part of the
SUPPLEMENTARY INFORMATION section below. Write ``Energy Labeling Rule
ANPR, Matter No. R611004'' on your comment, and file your comment
online at https://www.regulations.gov/, by following the instructions
on the web-based form. If you prefer to file your comment on paper,
mail your comment to the following address: Federal Trade Commission,
Office of the Secretary, Room H-113 (Annex J), 600 Pennsylvania Avenue
NW, Washington, DC 20580.

FOR FURTHER INFORMATION CONTACT: Hampton Newsome (202-326-2889),
Attorney, Division of Enforcement, Bureau of Consumer Protection,
Federal Trade Commission, 600 Pennsylvania Avenue NW, Washington, DC
20580.

SUPPLEMENTARY INFORMATION:

I. Overview

The Commission seeks comment on amendments to its existing Energy
Labeling Rule at 16 CFR part 305. As discussed below, the Commission
specifically seeks comment on whether it should add new consumer
product categories to the labeling program, increase the availability
of online labels and other energy information, and streamline existing
requirements. The Commission also seeks comment on

[[Page 64400]]

whether any Rule changes are necessary to ensure the Rule's labeling
provisions are consistent with current consumer shopping behavior.
Finally, the ANPR seeks comment on whether the Commission should amend
the Rule to: (1) modify its label content and format, (2) require links
to online Lighting Facts labels consistent with current EnergyGuide
requirements, (3) update the electricity cost figure on the Lighting
Facts and ceiling fan labels, (4) update the refrigerator and clothes
washer labels to remove dated information about test procedures, and
(5) ensure the Rule's consistency with Department of Energy (DOE)
requirements.

II. Background

The Commission issued the Energy Labeling Rule in 1979,\1\ pursuant
to the Energy Policy and Conservation Act of 1975 (EPCA).\2\ The Rule
requires energy labeling for major home appliances and other consumer
products to help consumers compare the energy usage and costs of
competing models. It also contains labeling requirements for
refrigerators, refrigerator-freezers, freezers, dishwashers, water
heaters, clothes washers, room and portable air conditioners, furnaces,
central air conditioners, heat pumps, plumbing products, lighting
products, ceiling fans, and televisions.
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\1\ 44 FR 66466 (Nov. 19, 1979).
\2\ 42 U.S.C. 6294. EPCA also requires the Department of Energy
(DOE) to develop test procedures that measure how much energy
appliances use, and to determine the representative average cost a
consumer pays for different types of energy.
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The Rule requires manufacturers to attach yellow EnergyGuide labels
to many covered products and prohibits retailers from removing these
labels or rendering them illegible. In addition, it directs sellers,
including retailers, to post label information on websites and in paper
catalogs from which consumers can order products. EnergyGuide labels
for most covered products contain three main disclosures: estimated
annual energy cost, a product's energy consumption or energy efficiency
rating as determined by DOE test procedures, and a comparability range
displaying the highest and lowest energy costs or efficiency ratings
for all similar models. The Rule requires marketers to use national
average costs for applicable energy sources (e.g., electricity, natural
gas, or oil), as calculated by DOE in all cost calculations. Under the
Rule, the Commission periodically updates comparability range and
annual energy cost information based on manufacturer data submitted
pursuant to the Rule's reporting requirements.\3\
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\3\ 16 CFR 305.12.
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III. Potential Rule Improvements

A. Potential Labels for New Product Categories

The Commission seeks comment on whether to add several new product
categories to the energy labeling program. Under EPCA, FTC has broad
authority to require energy labels for consumer products. Specifically,
in addition to products named in the statute or designated by DOE under
that agency's authority, FTC may require labels pursuant to 42 U.S.C.
6292(a)(6) for any consumer product as long as a label ``is likely to
assist consumers in making purchasing decisions.'' \4\ The Commission
seeks comment on potential new labels for (1) the product categories
listed below, and (2) any other consumer products that may be
appropriate for energy labels. The Commission has not made any final
determination regarding whether energy labels are warranted for any of
the products discussed below at III.A.2.
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\4\ 42 U.S.C. 6294(a)(6); see 42 U.S.C. 6291(1) (defining
``consumer product''). For additional FTC labeling authority, see 42
U.S.C. 6292(a)(1)-(5). For new product categories that DOE
classifies as ``covered'' pursuant to 42 U.S.C. 6292(b), the FTC may
prescribe labeling under 42 U.S.C. 6294(a)(3) if (1) the Commission
determines labeling will assist purchasers in making purchasing
decisions, (2) DOE has prescribed test procedures for the product
class, and (3) the Commission concludes labeling for the class is
economically and technologically feasible.
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In considering the product types listed below or other potential
products, commenters should address any issues relevant to whether the
Commission should require labeling for specific product categories.
Typically, energy labels are most likely to help consumers when the
underlying products use a substantial amount of energy and exhibit a
range of annual energy costs across competing similar models. In
addition to requiring energy use figures, the Commission has authority
to require disclosures of additional information relating to energy
consumption, including instructions for maintenance, use, or repair. 42
U.S.C. 6294(c)(5). If no DOE test procedure exists for a particular
product type, commenters should address whether competent and reliable
test procedures exist that will yield adequate, consistent estimated
energy use disclosures on the labels.
1. Questions About New Labels
The Commission invites commenters to provide information and views
on the following issues for the products listed below, as well as any
other consumer products that may warrant energy labels. Where
appropriate, commenters should provide evidence to support their views:

--Whether labels will assist consumers in their purchasing decisions,
and why;
--The typical energy use and energy efficiency of various models on the
market;
--Whether, and how, potential market changes will affect label benefits
(e.g., expected changes in future models);
--The annual energy costs differences between similarly sized or
otherwise competing models for each product category;
--What, if any, test procedures are or will likely be available to
measure the estimated annual energy costs (or another useful energy
metric) for the product category;
--What, if any, particular labeling burdens would apply to these
products that are larger or different from currently labeled products;
--Any estimates (e.g., hours per year) for consumers' typical annual
use of the product (i.e., ``duty cycle'') that can provide a basis for
an annual energy cost estimate;
--Whether and how the energy use varies among similarly sized (or
otherwise competing) models;
--Typical methods by which these products are sold (e.g., in retail
stores packed in boxes, in stores displayed out of the boxes, online,
through professional installers, etc.);
--How consumers typically shop (i.e., make purchasing decisions) for
the products, and whether they shop online, in stores, or through some
other means (e.g., discussions at home with installers);
--What, if any, subgroupings are appropriate for product categories by
size, configuration, fuel used, or type (please provide specific
information);
--Whether and why range information would be useful on the label and,
if so, whether such range data is available;
--Whether and why labels for the product should appear on boxes, the
products themselves, or through some other location or means;
--Any particular burdens associated with labeling specific product
categories; and
--Whether the labels should provide any other available information
about those products relevant to their energy consumption and consumer
use.

[[Page 64401]]

2. List of Potential New Product Categories
Clothes Dryers: EPCA designates clothes dryers as covered products
in 42 U.S.C. 6292. In 1979, the Commission declined to require labels
for clothes dryers after finding models on the market had a limited
range of energy use.\5\ In 2014, the Commission reconsidered clothes
dryer labels, and again declined to require them, concluding that dryer
information continued to suggest that model efficiency varied little
across available models.\6\ However, the Commission recognized that
electric dryers using emerging heat pump technology had lower annual
energy costs compared to conventional models. At that time, few, if
any, such models were available in the U.S. Now, however, heat pump
models appear to be more prevalent. For example, the U.S. Environmental
Protection Agency (EPA) ENERGY STAR website (www.energy.gov) lists
about two dozen heat pump models as qualifying under that program. This
current data suggests the Commission should revisit requiring labels
for clothes dryers.
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\5\ 44 FR 66466, 66469. Under EPCA, the Commission must
prescribe labels for dryers unless it finds labeling would not be
technologically or economically feasible. 42 U.S.C. 6294(a)(1). In
initially promulgating the Rule in 1979, the Commission, after
examining the statute and statutory history, concluded ``that
Congress['s] intent was to permit the exclusion of any product
category, if the Commission found that the costs of the labeling
program would substantially outweigh any potential benefits to
consumers.'' 44 FR 66466, 66467-68.
\6\ 79 FR 34642, 34659 (June 18, 2014).
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Air Cleaners (``Air Purifiers''): Air purifiers use significant
amounts of energy and exhibit a substantial range of energy use. In
addition, in January 2022, DOE published a Request for Information on
possible test procedures and conservation standards for these
products.\7\ In July 2022, DOE determined that that consumer air
cleaners qualify as a ``covered product'' under EPCA.\8\ Furthermore,
the ENERGY STAR program covers room air cleaners and requires
participating manufacturers to test the operating mode power of their
models using ``ANSI/AHAM AC-1-2015: Method of Measuring the Performance
of Portable Household Electric Room Air Measurement of Operating Power
Cleaners.'' Recent data compiled by the ENERGY STAR program shows
models rated for room sizes between 150 and 299 square feet range in
annual energy use from about 50 kWh/yr to 360 kWh/yr, resulting in an
estimated annual energy cost difference of more than $30 per year in
energy costs (assuming $0.14/kWh).\9\
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\7\ 87 FR 3702 (Jan. 26, 2022). In March 2022, DOE reopened the
comment period. 87 FR 11326 (Mar. 1, 2022).
\8\ 87 FR 42297 (July 15, 2022).
\9\ See, e.g., https://www.energystar.gov/productfinder/product/certified-room-air-cleaners/results. EPCA does not include air
cleaners in its list of covered products, but the Commission has
authority under 42 U.S.C. 6294(a)(3) to require labeling if DOE
designates them as ``covered products.'' 42 U.S.C. 6292.
Additionally, regardless of DOE's efforts, the Commission has
authority to require labels for room air cleaners pursuant to its
general labeling authority under 42 U.S.C. 6294(a)(6) if it
determines that labeling ``is likely to assist consumers in making
purchasing decisions.''
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Finally, media reports suggest there are ongoing concerns in the
market about the consistency of advertised flow rate or capacity claims
(e.g., recommended room sizes).\10\ FTC labeling requirements mandating
specific test procedure requirements would ensure consumers have
uniform information about competing models.
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\10\ See, e.g., https://www.allergybuyersclub.com/learning/air-filter-seven-sins.html and https://www.bobvila.com/articles/best-air-purifier-for-smoke/.
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Miscellaneous Refrigerator Products: DOE has designated
miscellaneous refrigerators (MREFs) as covered products under EPCA. The
category includes coolers (e.g., wine chillers) and combination cooler
refrigeration products (i.e., products with warm and cool
compartments). Within this category, some similarly sized models appear
to exhibit a significant range of energy use. For example, recent DOE
data indicates freestanding compact cooler models between 3 and 7 cubic
feet range in annual energy use between about 100 to 205 kWh/yr.\11\
DOE currently has test procedures and standards for these products.\12\
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\11\ See DOE Compliance Certification Management System, https://www.regulations.doe.gov/ccms.
\12\ Pursuant 42 U.S.C. 6294(a)(3), the Commission has authority
to require labels on MREFs that DOE designates as covered products
pursuant to 42 U.S.C. 6292(b). DOE issued final test procedures and
standards for MREFs in 2016. 81 FR 46768 (July 18, 2016) (test
procedure); 81 FR 75194 (Oct. 28, 2016) (standards); see also 79 FR
78736, 78737 (Dec. 31, 2014) (FTC request for comments following
proposed DOE test procedure).
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Additional Lamps (Light Bulbs): The Rule does not currently require
labels for all types of lower-brightness lamps (i.e., light bulbs).
However, these products can consume a significant amount of energy.
Specifically, the current coverage does not include lamps lower than
310 lumens and 30 watts. This leaves certain lamp types, particularly
25-watt incandescent bulbs, uncovered. A single such incandescent bulb
can cost consumers more than $3 per year in electricity costs, which
can add up if multiple bulbs are used in a home. The LED equivalent for
such bulbs, however, has an annual energy cost of about 50 cents. These
products are not currently covered by DOE standards. However, the FTC
has authority to require labeling for them under 42 U.S.C. 6294(a)(6).
In addition to the general questions listed above, commenters should
address whether the Commission should amend the Rule's coverage to
include such lower brightness bulbs or any other lighting products
(e.g., full color ``tunable'' lamps with adjustable color and CCT).\13\
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\13\ In the past, the Commission has looked beyond DOE's
specific lamp definitions, which generally cover products subject to
DOE's efficiency standards, to include products designated as
``specialty consumer lamps'' using its general labeling authority at
42 U.S.C. 6294(a)(6). 80 FR 67285 (Nov. 2, 2015).
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Residential Ice Makers: Consumers can purchase residential
icemakers in various configurations, including portable, non-portable,
uncooled storage, and non-portable, cooled storage units. Residential
models generally produce fewer than 50 pounds of ice per hour. There
are currently no DOE standards or test procedure requirements
specifically for these models. DOE tested these products in 2014 and
found tested models used significant energy. The DOE data also
suggested a significant range of energy consumption may exist among
models offered in the market.\14\ Although DOE developed and applied a
test procedure for ice makers for research purposes, it ultimately did
not publish a test procedure for these products.
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\14\ See Preliminary Technical Support Document EERE-2011-BT-
STD-0043-0024, Section 7.2.3 and Table 7.2.4, DOE, https://beta.regulations.gov/document/EERE-2011-BT-STD-0043-0024.
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In addition to the general questions listed above, the Commission
seeks comment on which capacity categories should apply to consumer
(residential) models for labeling purposes, and whether DOE's test
procedure for commercial icemakers can be used as a basis for
EnergyGuide labels for residential models.
Humidifiers: Consumers use residential humidifiers, including
portable and whole-house devices, either to increase or maintain the
humidity levels in all or parts of the home or to ease illness
symptoms.\15\ There are currently no DOE standards or test procedures
for these products. A 2012 EPA ENERGY STAR report suggested differences
in energy consumption among competing humidifiers, particularly for
whole-

[[Page 64402]]

house models.\16\ The report also stated there is ``very little, if
any, correlation between humidification capacity (in square feet) and
watt rating.'' The report concluded, by choosing energy-efficient
humidifiers, consumers could collectively save an estimated 3.4
terawatts of electricity over the lifetime of these products, equating
to nearly $400,000,000. However, the report indicated there was no
standard test procedure for measuring the energy consumption of
portable models.
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\15\ See 42 U.S.C. 6294(a)(6) (general labeling authority). For
dehumidifiers, EPCA contains a specific prohibition for an ``Energy
Guide'' label requirement. 42 U.S.C. 6294(a)(5)(c).
\16\ ENERGY STAR Market & Industry Scoping Report Residential
Humidifiers October 2012. https://www.energystar.gov/sites/default/files/asset/document/ENERGY_STAR_Scoping_Report_Residential_Humidifiers.pdf.
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Miscellaneous Gas Products (``Hearth Products''): In February 2022,
DOE tentatively determined that miscellaneous gas products, which are
comprised of decorative hearths and outdoor heaters, qualify as covered
products under EPCA.\17\ These products include fireplaces, fire pits,
and other similar products that have decorative purposes, but can also
provide heat. DOE proposed to define ``decorative hearth product'' as
gas-fired appliances that: simulate a solid-fueled fireplace or present
a flame pattern; include products designed for indoor and/or outdoor
use; are not designed to be operated with a thermostat; are not
designed to provide space heating to the indoor space in which they are
installed; and are not designed to provide heat proximate to the unit.
DOE estimates indicate that these products can consume substantial
energy.\18\ In addition to the general questions above, the Commission
requests comment on whether the Commission should consider labeling for
related products outside of DOE's current proposal (e.g., electric
models) and whether test procedures are or are likely to be available
for such products.\19\
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\17\ 87 FR 6786 (Feb. 7, 2022).
\18\ For example, DOE estimated the calculated per household
weighted average ignition energy of use of outdoor heaters to be 0.7
MMBtu/yr and the weighted burner energy use to be 2.2 MMBtu/yr, for
total outdoor heater household energy use of 2.9 MMBtu/yr (859 kWh/
yr), and estimated the weighted average (indoor and outdoor
products) per-household energy use of a miscellaneous gas product to
be 4.1 MMBtu/yr (1,211 kWh/yr). 87 FR at 6792. DOE also discussed
these general issues in 2013. 78 FR 79638, 79640 (Dec. 31, 2013).
There is currently no DOE test procedure for these products.
\19\ The Commission also seeks comment on whether the Rule
should contain any affirmative energy disclosures or labels for
furnace fans, which are components of products already labeled under
the Rule. See 79 FR 38129 (July 3, 2014) (DOE standards for furnace
fans).
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Cooking Tops: EPCA lists ``kitchen ranges and ovens'' as covered
products.\20\ In 1979, the Commission decided not to require labels for
cooking tops, as well as ranges and ovens, citing the small variability
of energy use between models.\21\ More recent information from DOE,
however, suggests the Commission should revisit the issue.
Specifically, DOE research found that energy consumption for gas
cooking top models may vary significantly depending on burner and grate
design. DOE also noted energy consumption among similar electric
cooking top models can vary depending on whether the product employs
induction or resistance heating or has smooth or coil elements.\22\
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\20\ 42 U.S.C. 6292(a)(10).
\21\ 44 FR 66466, 66469 (Nov. 19, 1979) (``Since the substantial
costs of a labeling requirement would not produce corresponding
consumer benefits, the Commission has determined that labeling of
kitchen ranges and ovens would not be economically feasible.'').
\22\ 81 FR 60784, 60800-60802 (Sept. 2, 2016).
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In August 2020, DOE withdrew its test procedure for these
products,\23\ citing concerns about whether the procedure yielded
representative results for average use.\24\ In February 2021, DOE
listed the cooking products test procedure withdrawal as one of
thirteen rulemakings the agency would reconsider pursuant to Executive
Order 13990.\25\ In July 2022, DOE reestablished a test procedure for
conventional cooking tops.\26\
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\23\ 85 FR 50757 (Aug. 18, 2020).
\24\ In December 2020, DOE also sought comments on revised
standards for these products. 85 FR 80982 (Dec. 14, 2020).
\25\ See https://www.energy.gov/sites/prod/files/2021/02/f82/eere_eo13990_memo_1.pdf.
\26\ See https://www.energy.gov/sites/default/files/2022-07/cookingproducts-tp-fr.pdf; 86 FR 60974 (Nov. 4, 2021) (results of
round robin testing).
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In addition to questions regarding whether labeling cooking tops
would help consumers in their purchasing decisions, the Commission
seeks comment on whether there is an alternative test procedure the
agency could use for EnergyGuide labels.
Electric Spas: In February 2022, DOE published a tentative
determination that portable electric spas qualify as a covered product
under EPCA and followed up with a final coverage determination in
September 2022.\27\ DOE estimated more than 3 million households in the
U.S. operate portable electric spas regularly, using approximately and
an estimated average energy consumption of 1,699 kWh per year per
household (~$238/yr).
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\27\ 87 FR 8745 (Feb. 16, 2022); 87 FR 54123 (Sept. 2, 2022).
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B. Matching Label Format and Location to Consumer Shopping Patterns

The Commission also seeks comment on whether any Rule changes are
necessary to ensure current labeling requirements are consistent with
current consumer shopping behavior. For several product categories
(e.g., refrigerators, clothes washers, dishwashers, and televisions),
the Rule currently requires manufacturers to affix labels to units
themselves. However, of the millions of units produced each year, only
a tiny fraction are actually displayed on a showroom floor. For
products typically displayed in packaging (e.g., room air conditioners,
lighting, ceiling fans, and lighting products), the Rule requires
manufacturers to incorporate the label on the packaging. For products
sold online, the Rule requires retail sellers to include label
information on product pages. To aid retailers with this function,
manufacturers must make their EnergyGuide labels available on a website
and report that website to the FTC, which they can do via the DOE
Compliance Certification Management System (CCMS).
Under EPCA, the Commission must ``require that each covered product
in the type or class of covered products to which the rule applies bear
a label'' disclosing energy use information. 42 U.S.C. 6294(c)(1).
However, EPCA provides flexibility for the Commission to determine the
placement of labels in a manner likely to assist consumers in making
purchasing decisions.\28\ In addition, the statute gives FTC authority
to require retailers to provide labels and other disclosures for
consumers, both on websites and in stores.\29\
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\28\ 42 U.S.C. 6294(c)(3) (``A rule under this section shall
require that the label be displayed in a manner that the Commission
determines is likely to assist consumers in making purchasing
decisions and is appropriate to carry out this part.'').
\29\ EPCA authorizes the Commission to prescribe labeling rules
under this section applicable to all covered products, including
rules governing label disclosures at the point of sale. See 42
U.S.C. 6294(c)(3) and (c)(4) (``(4) A rule under this section
applicable to a covered product may require disclosure, in any
printed matter displayed or distributed at the point of sale of such
product, of any information which may be required under this section
to be disclosed on the label of such product''); see also 42 U.S.C.
6298 (authorizing the Commission to issue rules it ``deems necessary
to carry out'' the law's provisions). The Rule already contains
affirmative obligations for retailers to display labels to customers
for particular product categories. See, e.g., 16 CFR
305.22(b)(2)(ii) (requiring retailers to show consumers the labels
for covered central air conditioners, heat pumps, or furnaces prior
to purchase); 16 CFR 305.26 (requiring retailers to make written
disclosures at point-of-sale). In 2014, the Commission sought
comment on whether it should require retailers to affix labels on
units they display in their showrooms. 79 FR 34642, 34658 (June 18,
2014).
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Pursuant to this authority, the Commission seeks comment on whether
it should amend the current approach in light of contemporary retail
and consumer practices. Specifically, the

[[Page 64403]]

Commission solicits comments on alternatives to the current ``showroom-
ready'' approach. Such changes could include requiring retailers to
affix showroom labels (provided by the manufacturer) for the small
number of units that are displayed, allowing manufacturers to include
labels on or in product packaging (e.g., on product boxes, literature
packs, instruction manuals, and through QR codes) in lieu of affixing
labels separately to every unit itself, and/or requiring retailers to
provide label information in some other method or location. The
Commission additionally requests any recent research or data
demonstrating when and where consumers typically make purchasing
decisions for the types of products covered by the Rule. Examples of
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relevant information include:

--What percentage of consumers rely solely on showroom visits to obtain
information about their purchases, particularly for products that
currently bear a label directly on the unit (e.g., refrigerators)?
--What percentage of consumers research and compare models online
before their purchases?
--Should the Commission eliminate requirements for manufacturers to
place labels directly on products typically displayed in showrooms
(e.g., refrigerators, clothes washers, dishwashers, and televisions),
and require manufacturers to provide the labels with the product in a
different way (e.g., on packaging, instruction manuals, or literature
bags)?
--Should the Rule require retailers to display the EnergyGuide label
for those individual units they choose to display out of packages in
their showrooms?

C. Repair Instructions

The Commission also seeks comment on potential requirements related
to repair instructions. Under EPCA (42 U.S.C. 6294(c)(5)), the
Commission has authority to require manufacturers to provide consumers
with ``additional information relating to energy consumption, including
instructions for the maintenance, use, or repair of the covered
product'' if the Commission finds such information would assist with
purchase decisions or in the use of the product, and would not be
unduly burdensome to manufacturers. The Commission seeks comment on
whether, for any product covered, the Rule should require manufacturers
to provide consumers with access to repair instructions (with updates).
Specifically, comments should address whether lack of access to repair
instructions for covered products is an existing problem for consumers;
whether providing such information would assist consumers in their
purchasing decisions or product use; whether providing such information
would be unduly burdensome to manufacturers; and any other relevant
issues.

D. General Label Content and Format Requirements

The Commission also seeks comment on whether it should consider
changes to the Rule's label content and format requirements.
Specifically, commenters should consider:

--Are there any prescriptive requirements (e.g., type size and style,
label size, number of picas, paper weight, and label attachment
provisions) in the Rule that are unnecessarily burdensome? If so, would
elimination of such requirements create inconsistencies in the label
appearance that would reduce consumer confidence in the label, or
reduce its utility and use?
--Are there any improvements the Commission could make to the content
of the information on labels (or other locations such as product
manuals or websites) to help consumers with their purchasing decisions?
\30\
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\30\ See, e.g., National Propane Gas Association recent comments
related to full-fuel cycle impacts. FTC-2022-0032-0007 (Jul. 11,
2022) (https://www.regulations.gov/comment/FTC-2022-0032-0007).
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--Is there a role that QR codes may play in conveying useful
information to consumers?
--Are there any improvements to the format, size, or layout of the
labels that would help consumers with their purchasing decisions?

E. Requiring Links to Online Lighting Facts Labels

The Commission also seeks comment on whether the Rule should
require lamp manufacturers to include information regarding their
Lighting Facts labels with their data reports required by the DOE. The
Rule already requires manufacturers of other covered consumer products
to provide a website address linking to their EnergyGuide labels as
part of their required data reports, which manufacturers submit through
the DOE reporting system.\31\ The Commission did not extend this
requirement to Lighting Facts labels in 2016 given appropriation
restrictions at the time placed on DOE spending related to light bulbs.
Instead, the Commission stated it would revisit the issue at ``a later
date should circumstances warrant.'' \32\ The DOE prohibition no longer
exists. Accordingly, the Commission seeks comment on applying the
requirements in section 305.11(a)(5) to Lighting Facts labels.
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\31\ 81 FR 63634 (Sept. 15, 2016); 16 CFR 305.11 (FTC reporting
requirements).
\32\ 81 FR 63634, 63636.
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F. Updating Cost Figures for Lighting Facts and Ceiling Fan Labels

The Commission also seeks comment on whether it should update the
electricity cost disclosure on the Lighting Facts and ceiling fan
labels to reflect recent DOE national estimates. Currently, the
Lighting Facts label uses 11 cents per kWh, while the ceiling fan label
uses 12 cents. The current (2022) DOE national estimate for electricity
(rounded) is 14 cents per kWh.\33\ The Commission seeks comment on
whether it should update these numbers and, if so, when the change
should become effective to allow manufacturers to incorporate such
changes into routine package updates and thus minimize any burden
associated with such changes.
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\33\ 87 FR 12681 (Mar. 7, 2022).
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G. Phasing Out Transitional Language for Refrigerator and Clothes
Washer Labels

The Commission also seeks comment on whether it should phase out
language on refrigerator and clothes washer labels that the Commission
added in 2013 to help distinguish models tested with the current DOE
procedure from those tested with an older version.\34\ This language,
which advises consumers to ``Compare ONLY to other labels with yellow
numbers,'' is now obsolete and crowds the label with irrelevant
information. The Commission seeks comment on when and how to smoothly
transition back to the conventional label.
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\34\ 78 FR 43974 (July 23, 2013).
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H. Consistency With DOE Requirements

The Commission also seeks comment on whether any changes or updates
are necessary to the Rule's requirements (e.g., definitions, product
coverage, capacity descriptions, etc.) to ensure consistency, where
necessary, with DOE requirements.

G. Bilingual Label Guidance

The Rule at 16 CFR 305.23(b)(6) and 16 CFR 305.23(c)(4) currently
offers guidance to manufacturers who choose to use bilingual labels for
Lighting Facts, including guidance on label content and format. Should
the Rule offer similar guidance on bilingual labels for the other
consumer products covered by the

[[Page 64404]]

Rule? Are there other improvements that could be made to the Rule that
would help non-English speaking or multilingual consumers with their
purchasing decisions?

IV. Comment Submissions

You can file a comment online or on paper. For the FTC to consider
your comment, we must receive it on or before December 27, 2022. Write
``Energy Labeling Rule ANPR, Matter No. R611004'' on your comment.
Because of the public health emergency in response to the COVID-19
outbreak and the agency's heightened security screening, postal mail
addressed to the Commission will be subject to delay. As a result, we
strongly encourage you to submit your comments online through the
https://www.regulations.gov website. To ensure that the Commission
considers your online comment, please follow the instructions on the
web-based form. Your comment--including your name and your state--will
be placed on the public record of this proceeding, including the
https://www.regulations.gov website. As a matter of discretion, the
Commission tries to remove individuals' home contact information from
comments before placing them on that website.
If you file your comment on paper, write ``Energy Labeling Rule
ANPR, Matter No. R611004'' on your comment and on the envelope, and
mail it to the following address: Federal Trade Commission, Office of
the Secretary, 600 Pennsylvania Avenue NW, Suite CC-5610 (Annex J),
Washington, DC 20580.
Because your comment will be placed on the publicly accessible
website at www.regulations.gov, you are solely responsible for making
sure that your comment does not include any sensitive or confidential
information. In particular, your comment should not include any
sensitive personal information, such as your or anyone else's Social
Security number; date of birth; driver's license number or other state
identification number, or foreign country equivalent; passport number;
financial account number; or credit or debit card number. You are also
solely responsible for making sure that your comment does not include
any sensitive health information, such as medical records or other
individually identifiable health information. In addition, your comment
should not include any ``trade secret or any commercial or financial
information which . . . is privileged or confidential''--as provided by
Section 6(f) of the FTC Act, 15 U.S.C. 46(f), and FTC Rule Sec.
4.10(a)(2), 16 CFR 4.10(a)(2)--including in particular competitively
sensitive information such as costs, sales statistics, inventories,
formulas, patterns, devices, manufacturing processes, or customer
names.
Comments containing material for which confidential treatment is
requested must be filed in paper form, must be clearly labeled
``Confidential,'' and must comply with FTC Rule Sec. 4.9(c), 16 CFR
4.9(c). In particular, the written request for confidential treatment
that accompanies the comment must include the factual and legal basis
for the request and must identify the specific portions of the comment
to be withheld from the public record. See FTC Rule Sec. 4.9(c). Your
comment will be kept confidential only if the General Counsel grants
your request in accordance with the law and the public interest. Once
your comment has been posted publicly at www.regulations.gov, we cannot
redact or remove your comment unless you submit a confidentiality
request that meets the requirements for such treatment under FTC Rule
Sec. 4.9(c), and the General Counsel grants that request.
The FTC Act and other laws that the Commission administers permit
the collection of public comments to consider and use in this
proceeding as appropriate. The Commission will consider all timely and
responsive public comments that it receives on or before December 27,
2022. For information on the Commission's privacy policy, including
routine uses permitted by the Privacy Act, see https://www.ftc.gov/site-information/privacy-policy.

By direction of the Commission.
April J. Tabor,
Secretary.

Note: The following statements will not appear in the Code of
Federal Regulations:

Statement of Chair Lina M. Khan

Today, the Commission voted to issue an advance notice of proposed
rulemaking seeking comment on proposed improvements to the Energy
Labeling Rule. Among other areas, the Notice asks whether consumers and
independent repair shops would benefit from repair information being
more widely available on energy labels. As I noted when the Commission
issued its Policy Statement on Right to Repair in July 2021, I believe
it is vital that the Commission use every tool available to it to
vindicate Americans' right to repair their own products,\1\ and I am
pleased that we are continuing to follow through on that commitment
here.
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\1\ Remarks of Chair Lina M. Khan Regarding the Proposed Policy
Statement on Right to Repair (July 21, 2021), https://www.ftc.gov/system/files/documents/public_statements/1592358/p194400khanremarksrighttorepair.pdf.
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The Energy Policy and Conservation Act of 1975 gives the Commission
clear statutory authority to require manufacturers to provide consumers
with ``additional information relating to energy consumption, including
instructions for the maintenance, use, or repair of the covered
product'' if the Commission finds such information would assist with
purchasing decisions or in the use of the product.\2\ For the first
time, the Commission is deploying this tool to ask whether consumers
and independent repair shops would benefit from having repair
information more widely available on energy labels. Such a provision
could help consumers more easily repair everything from refrigerators
and dishwashers to washing machines, air conditioners, water heaters,
and televisions--products currently covered under the Rule--as well as
new products that the Commission is considering adding to the Rule,
including clothes dryers, air purifiers, humidifiers, hearths and
outdoor heaters, cooking tops, and electric spas.
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\2\ 42 U.S.C. 6294(c)(5).
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As the FTC's work has documented,\3\ companies routinely use a wide
array of practices to restrict Americans from repairing their own
products. These restrictions can raise costs for consumers, stifle
innovation, close off business opportunity for independent repair
shops, create unnecessary electronic waste, delay timely repairs, and
undermine resiliency.\4\ Today's action demonstrates the Commission's
commitment to using every tool it has available to advance Americans'
ability to access independent repair. It builds on the Policy Statement
on Right to Repair that the Commission issued in July 2021, affirming
our intent to root

[[Page 64405]]

out illegal repair restrictions.\5\ The Commission has since brought
numerous right to repair cases, addressing unlawful repair restrictions
affecting a variety of products, including motorcycles and outdoor
electric power generators.\6\
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\3\ In July 2019, the Commission held a workshop and a call for
research on the prevalence and impact of manufacturers' repair
restrictions. Nixing the Fix: A Workshop on Repair Restrictions,
Fed. Trade Comm'n (July 2019), https://www.ftc.gov/news-events/events/2019/07/nixing-fix-workshop-repair-restrictions. In May 2021,
the Commission issued a report to Congress that identified various
types of repair restrictions and explored how the Commission could
best address repair restriction concerns. Fed. Trade Comm'n, Nixing
the Fix: An FTC Report to Congress on Repair Restrictions (May
2021), https://www.ftc.gov/system/files/documents/reports/nixing-fix-ftc-report-congress-repair-restrictions/nixing_the_fix_report_final_5521_630pm-508_002.pdf.
\4\ Remarks of Chair Lina M. Khan Regarding the Proposed Policy
Statement on Right to Repair, supra note 1.
\5\ Press Release, Fed. Trade Comm'n, FTC to Ramp Up Law
Enforcement Against Illegal Repair Restrictions (July 21, 2021),
https://www.ftc.gov/news-events/news/press-releases/2021/07/ftc-ramp-law-enforcement-against-illegal-repair-restrictions.
\6\ Press Release, Fed. Trade Comm'n, FTC Takes Action Against
Harley-Davidson and Westinghouse for Illegally Restricting
Customers' Right to Repair (June 23, 2022), https://www.ftc.gov/news-events/news/press-releases/2022/06/ftc-takes-action-against-harley-davidson-westinghouse-illegally-restricting-customers-right-repair-0; Press Release, Fed. Trade Comm'n, FTC Takes Action Against
Weber for Illegally Restricting Customers' Right to Repair (July 7,
2022), https://www.ftc.gov/news-events/news/press-releases/2022/07/ftc-takes-action-against-weber-illegally-restricting-customers-right-repair.
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I thank our staff for their work on this important matter and look
forward to hearing from the public during this rulemaking proceeding.

Concurring Statement of Commissioner Christine S. Wilson

Seventh time's a charm.
Today the Commission issues an advance notice of proposed
rulemaking (ANPR) seeking comment on possible revisions to the Energy
Labeling Rule. Specifically, the ANPR asks whether the Commission
should add consumer products to the labeling program, whether the label
location and other requirements should be updated to reflect current
shopping patterns, and whether the label content should be revised to
reduce unnecessary burdens. The document also addresses issues related
to reporting and refrigerator labels.
Since 2018, I have urged the Commission to seek comment on the more
prescriptive aspects of this Rule.\1\ The Commission has a statutory
mandate to issue a labeling Rule. I strongly believe, however, that
this mandate does not require the Rule to include the highly detailed
and prescriptive requirements in the current Rule. For example, the
Rule specifies the trim size dimensions for labels, including the
precise width (between 5\1/4\'' to 5\1/2\'') and length (between 7\3/
8\'' and 7\5/8\''); the number of picas for the copy set (between 27
and 29); the type style (Arial) and setting; the weight of the paper
stock on which the labels are printed (not less than 58 pounds per 500
sheets or equivalent); and a suggested minimum peel adhesive capacity
of 12 ounces per square inch.
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\1\ See Dissenting Statement of Commissioner Christine S. Wilson
on the Notice of Proposed Rulemaking: Energy Labeling Rule (Dec. 10,
2018) (expressing my view that the Commission should seek comment on
the prescriptive labeling requirements), https://www.ftc.gov/public-statements/2018/12/dissenting-statement-commissioner-christine-s-wilson-notice-proposed; Dissenting Statement of Commissioner
Christine S. Wilson on the Notice of Proposed Rulemaking: Energy
Labeling Rule (Oct. 22, 2019) (urging the Commission to seek comment
on the labeling requirements), https://www.ftc.gov/system/files/documents/public_statements/1551786/r611004_wilson_dissent_energy_labeling_rule.pdf; Concurring
Statement of Commissioner Christine S. Wilson on the Notice of
Proposed Rulemaking: Energy Labeling Rule (Mar. 20, 2020)
(commending the Commission decision to seek comment on some of the
more prescriptive rule requirements), https://www.ftc.gov/system/files/documents/public_statements/1569815/r611004_wilson_statement_energy_labeling.pdf; Dissenting Statement
of Commissioner Christine S. Wilson on the Notice of Proposed
Rulemaking: Energy Labeling Rule (Dec. 22, 2020) (dissenting due to
the Commission's decision not to make changes to the Rule
requirements in response to the March 2020 publication), https://www.ftc.gov/system/files/documents/public_statements/1585242/commission_wilson_dissenting_statement_energy_labeling_rule_final12-22-2020revd2.pdf; Dissenting Statement of Commissioner Christine S.
Wilson on the Notice of Amendments to the Energy Labeling Rule (Oct.
6, 2021) (urging again seeking comment on the rule requirements),
https://www.ftc.gov/system/files/documents/public_statements/1597166/commission_wilson_dissenting_statement_energy_labeling_rule_2021-10-04_final.pdf.; Dissenting Statement of Commissioner Christine
S. Wilson on the Notice of Proposed Rulemaking to the Energy
Labeling Rule (May 11, 2022) (encouraging the Commission to seek
comment on the more prescriptive requirements of the Rule), https://www.ftc.gov/system/files/ftc_gov/pdf/Commission%20Wilson%20Dissenting%20Statement%20Energy%20Labeling%20Rule%205.11.22%20FINAL.pdf.
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In 2020, the Commission sought comment on some of these
prescriptive provisions and received some helpful and thoughtful
comments. Unfortunately, the Commission did not make changes based on
those comments but instead chose to make only required conforming
changes at that time.\2\ I applaud the decision today to seek comment
on the Rule more broadly, to ask specifically about these highly
prescriptive requirements, and to consider making changes to streamline
the Rule. I look forward to reviewing the comments.
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\2\ See Dissenting Statement of Commissioner Christine S. Wilson
on the Notice of Proposed Rulemaking: Energy Labeling Rule (Dec. 22,
2020) (dissenting due to the Commission's decision not to make
changes to the Rule requirements in response to the March 2020
publication), https://www.ftc.gov/system/files/documents/public_statements/1585242/commission_wilson_dissenting_statement_energy_labeling_rule_final12-22-2020revd2.pdf.

[FR Doc. 2022-23063 Filed 10-24-22; 8:45 am]
BILLING CODE 6750-01-P