[Federal Register Volume 87, Number 221 (Thursday, November 17, 2022)]
[Proposed Rules]
[Pages 68931-68942]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-24925]


 ========================================================================
 Proposed Rules
                                                 Federal Register
 ________________________________________________________________________
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 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.
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  Federal Register / Vol. 87, No. 221 / Thursday, November 17, 2022 / 
Proposed Rules  

[[Page 68931]]



DEPARTMENT OF ENERGY

10 CFR Part 430

[EERE-2022-BT-STD-0017]
RIN 1904-AF41


Energy Conservation Program: Energy Conservation Standards for 
Miscellaneous Gas Products

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

ACTION: Notification of data availability and request for comment.

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

SUMMARY: On June 14, 2022, the U.S. Department of Energy (``DOE'') 
published a request for information (``RFI'') regarding energy 
conservation standards for miscellaneous gas products (``MGPs''). In 
that RFI, DOE specifically sought stakeholder input and data on a 
variety of topics including, but not limited to, product categories, 
energy use, shipments, and technology options. Based on the information 
that DOE collected in response to stakeholder input, data that has been 
identified and collected by DOE, and data collected during confidential 
manufacturer interviews, DOE is publishing this notification of data 
availability (``NODA'') to provide stakeholders with additional 
information and to provide an additional opportunity for public input. 
DOE requests comments, data, and information on all aspects of the 
NODA.

DATES: Written comments and information will be accepted on or before 
December 19, 2022.

ADDRESSES: Interested persons are encouraged to submit comments using 
the Federal eRulemaking Portal at www.regulations.gov under docket 
number EERE-2022-BT-STD-0017. Follow the instructions for submitting 
comments. Alternatively, interested persons may submit comments, 
identified by docket number EERE-2022-BT-STD-0017, by any of the 
following methods:
    Email: [email protected]. Include the docket number 
EERE-2022-BT-STD-0017 in the subject line of the message.
    Postal Mail: Appliance and Equipment Standards Program, U.S. 
Department of Energy, Building Technologies Office, Mailstop EE-5B, 
1000 Independence Avenue SW, Washington, DC 20585-0121. Telephone: 
(202) 287-1445. If possible, please submit all items on a compact disc 
(``CD''), in which case it is not necessary to include printed copies.
    Hand Delivery/Courier: Appliance and Equipment Standards Program, 
U.S. Department of Energy, Building Technologies Office, 950 L'Enfant 
Plaza SW, 6th Floor, Washington, DC 20024. Telephone: (202) 287-1445. 
If possible, please submit all items on a CD, in which case it is not 
necessary to include printed copies.
    No telefacsimiles (``faxes'') will be accepted. For detailed 
instructions on submitting comments and additional information on this 
process, see section IV of this document.
    Docket: The docket for this activity, which includes Federal 
Register notices, comments, 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-2022-BT-STD-0017. The docket web page contains instructions on how 
to access all documents, including public comments in the docket. See 
section IV of this document for information on how to submit comments 
through www.regulations.gov.

FOR FURTHER INFORMATION CONTACT: 
    Ms. Julia Hegarty, U.S. Department of Energy, Office of Energy 
Efficiency and Renewable Energy, Building Technologies, EE-5B, 1000 
Independence Avenue SW, Washington, DC 20585-0121. Telephone: 202-586-
0729. Email: [email protected].
    Mr. Pete Cochran, U.S. Department of Energy, Office of the General 
Counsel, GC-33, 1000 Independence Avenue SW, Washington, DC 20585-0121. 
Telephone: 202-586-9496. Email: [email protected].
    For further information on how to submit a comment, review other 
public comments and the docket, or participate in the public meeting, 
contact the Appliance and Equipment Standards Program staff at (202) 
287-1445 or by email: [email protected].

SUPPLEMENTARY INFORMATION:

Table of Contents

I. Background
II. Deviation from Appendix A
III. Discussion
    A. Scope
    B. Analysis
    1. Market and Technology Assessment
    a. Market Assessment
    b. Descriptions of Pilot and Ignition Systems Identified on the 
Market
    c. Technology Options
    2. Screening Analysis
    3. Engineering Analysis
    a. Design Options
    b. Teardown Analysis
    4. Energy Use Analysis
    5. Life-Cycle Cost and Payback Period Analyses
    6. National Impact Analysis
    7. Manufacturer Impact Analysis
IV. Public Participation
    A. Submission of Comments
    B. Issues on Which DOE Seeks Comment
V. Approval of the Office of the Secretary

I. Background

    The Energy Policy and Conservation Act, Public Law 94-163, as 
amended (``EPCA''),\1\ authorizes DOE to regulate the energy efficiency 
of a number of consumer products and certain industrial equipment. (42 
U.S.C. 6291-6317) Title III, Part B of EPCA \2\ established the Energy 
Conservation Program for Consumer Products Other Than Automobiles. EPCA 
also grants DOE authority to establish coverage and prescribe energy 
conservation standards for additional consumer products. (See 42 U.S.C. 
6295(l)(1))
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    \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), which reflect the last statutory amendments that impact 
Parts A and A-1 of EPCA.
    \2\ For editorial reasons, upon codification in the U.S. Code, 
Part B was redesignated Part A.
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    On June 14, 2022, the U.S. Department of Energy (``DOE'') published 
a request for information (``RFI'') regarding potential energy 
conservation standards for

[[Page 68932]]

miscellaneous gas products (``MGPs''). In that RFI, DOE solicited 
information from the public to help DOE determine whether potential 
standards for miscellaneous gas products would result in significant 
energy savings and whether such standards would be technologically 
feasible and economically justified. DOE noted that such information 
would prove useful in the event DOE moved forward with a final coverage 
determination. Subsequently, in a final determination published on 
September 6, 2022 (``September 2022 Final Coverage Determination''), 
DOE determined that MGPs, which are comprised of decorative hearths and 
outdoor heaters, qualify as covered products under EPCA. 87 FR 54330.
    DOE is publishing this NODA to get additional comment and input on 
the extensive data that has been collected to date and to help inform 
DOE as to whether energy conservation standards for MGPs would result 
in significant conservation of energy and be economically justified and 
technologically feasible, consistent with its obligations under EPCA.

II. Deviation From Appendix A

    In accordance with section 3(a) of 10 CFR part 430, subpart C, 
appendix A (``appendix A''), DOE notes that it is deviating from the 
provision in appendix A regarding the length of comment periods for the 
pre-NOPR stages for an energy conservation standards rulemaking. 
Section 6(d)(2) of appendix A specifies that the length of the public 
comment period for pre-NOPR rulemaking documents will not be less than 
75 calendar days. For this NODA, DOE has opted instead to provide a 30-
day comment period. In the June 2022 RFI, DOE initiated a review to 
determine whether potential energy conservation standards would satisfy 
the relevant requirements of EPCA for miscellaneous gas products. 87 FR 
35925. The June 2022 RFI provided 30 days for submitting written 
comment, data, and information. In light of the previous 30-day comment 
period associated with the June 2022 RFI, DOE believes a 30-day comment 
period is appropriate and would provide interested parties a meaningful 
opportunity to comment on the clarifications, data, and accompanying 
analyses presented in this NODA.

III. Discussion

    This NODA presents various data that DOE has collected to date, 
through the June 2022 RFI, confidential manufacturer interviews, and 
other efforts. DOE intends to use this information to help determine 
whether energy conservation standards for MGPs would result in 
significant conservation of energy and be economically justified and 
technologically feasible.

A. Scope

    In the September 2022 Final Coverage Determination, DOE established 
coverage for miscellaneous gas products and codified definitions for 
``miscellaneous gas products'', ``decorative hearth product'', and 
``outdoor heater'' in 10 CFR 430.2. 87 FR 54330. Specifically, DOE 
defined ``miscellaneous gas products'' to mean decorative hearth 
products and outdoor heaters. Further, DOE provided definitions for 
both decorative hearth products and outdoor heaters. A ``decorative 
hearth product'' means a gas fired appliance that--
    (1) Simulates a solid-fueled fireplace or presents a flame pattern;
    (2) Includes products designed for indoor use, outdoor use, or 
either indoor or outdoor use;
    (3) Is not for use with a thermostat;
    (4) For products designed for indoor use, is not designed to 
provide space heating to the space in which it is installed; and
    (5) For products designed for outdoor use, is not designed to 
provide heat proximate to the unit.
    And an ``outdoor heater'' means a gas-fired appliance designed for 
use in outdoor spaces only, and which is designed to provide heat 
proximate to the unit. 10 CFR 430.2.
    In response to the June 2022 RFI, several commenters expressed 
confusion and/or concern related to the scope of a potential MGP energy 
conservation standard rulemaking.\3\ (The American Public Gas 
Association, National Propane Gas Association, and American Gas 
Association (``Gas Associations''), No. 8 at p. 2; Hearth and Home 
Technologies and the Outdoor GreatRoom Company, No. 6 at p. 1; Hearth, 
Patio, & Barbecue Association (``HPBA'', No. 7 at pp. 3-4) For example, 
the Gas Associations stated that the June 2022 RFI did not provide 
enough information to determine which products would potentially be 
subject to a future energy conservation standard rulemaking.
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    \3\ The comments received in response to the June 2022 RFI will 
be addressed in a subsequent rulemaking stage. However, select 
comments are referenced in this discussion in order to address 
commenters' confusion and concerns about the scope of this 
rulemaking. A parenthetical reference at the end of a comment 
quotation or paraphrase provides the location of the item in the 
public record. Specifically, the parenthetical references provide a 
reference for information located in Docket No. EERE-2022-BT-STD-
0017, which is maintained at www.regulations.gov. The references are 
arranged as follows: (commenter name, comment docket ID number, page 
of that document).
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    DOE recognizes that a wide range of products meeting the 
definitions of decorative hearth product or outdoor heater 
(collectively, miscellaneous gas products) are available on the market, 
including, for example, vented gas log sets, gas fire pits, gas stoves, 
and gas fireplace inserts. And, while MGPs share similarities in form, 
function, and operation, DOE also recognizes that the different 
products that comprise MGPs may have different design characteristics, 
usage patterns, installation environments, and may offer differing 
utility for consumers. These factors can significantly influence an 
analysis of whether potential energy conservation standards would 
result in significant energy savings and would be technologically 
feasible and economically justified. In order to both provide more 
certainty for stakeholders regarding which MGPs would potentially be 
subject to energy conservation standards and ensure that DOE's analysis 
reflects the differences between certain types of MGPs, DOE has 
tentatively identified four distinct groups of MGPs for the purpose of 
conducting its energy conservation standard rulemaking analysis. The 
products within each representative group tend to have similar (or in 
some cases identical) ignition systems and are often certified to the 
same industry safety standards. The four groups of representative 
products are:
     Indoor vented gas log sets;
     Other indoor vented decorative hearth products (includes 
all other decorative hearth products that are not gas logs, including 
gas fireplaces, gas stoves, and gas fireplace inserts);
     Outdoor decorative hearth products (which includes outdoor 
decorative fireplaces, fire pits, fire bowls, fire columns, and fire 
tables); and,
     Outdoor patio heaters (which includes pyramid-style patio 
torch heaters, radiant patio torch heaters, and infrared heaters).
    The first three representative product groups fall under the 
definition of ``decorative hearth product'' while the final group meets 
the definition of an ``outdoor heater.'' Performing separate analyses 
on each representative product group will enable DOE to better account 
for the differences among the products that comprise MGPs.
    In addition to the general comments about the scope of potential 
energy conservation standards discussed in the prior paragraphs, 
commenters also had comments and questions about specific MGPs. For 
instance, some commenters

[[Page 68933]]

requested additional clarity regarding the distinction between outdoor 
heaters and hearth heaters, especially in cases where a heater has a 
dual indoor and outdoor certification. (The Air-Conditioning, Heating, 
and Refrigeration Institute, No. 9 at p. 1; Madison Indoor Air Quality, 
No. 5 at pp. 1-2). In response, DOE notes that the definition for an 
outdoor heater requires that the appliance be ``designed for use in 
outdoor spaces only'', and therefore a product that is certified for 
use both indoors and outdoors would not meet the definition of an 
outdoor heater. DOE also notes that hearth heaters, which are similar 
to decorative hearth products except that they are designed to provide 
heat to the indoor space in which they are used,\4\ are not included 
within the scope of this NODA. Hearth heaters are addressed as part of 
a separate rulemaking process.\5\
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    \4\ See 87 FR 36249, 36253.
    \5\ See Docket No. EERE-2022-BT-STD-0018, available at: 
www.regulations.gov/docket/eere-2022-bt-std-0018.
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    Commenters also sought clarification on whether gas lights would 
meet the definition of decorative hearth products because they present 
a flame pattern, are designed for outdoor use (at least), are not 
designed to be operated with a thermostat, and are not designed to 
provide heat proximate to the unit. (Hearth, Patio, & Barbecue 
Association, No. 7 at pp. 3-4) However, DOE has tentatively excluded 
gas lights from the current analysis due to a lack of information 
pertaining specifically to these products. Absent sufficient data, DOE 
has tentatively concluded not to analyze standards for these products 
at this time. Commenters also stated that if products with propane 
tanks include a continuous pilot, the pilot would not be left on 
because doing so would drain the fuel tank. (Hearth and Home 
Technologies and the Outdoor GreatRoom Company, No. 6 at p. 10) DOE 
agrees that continuous pilot lights are unlikely to be left on for 
products with propane tanks. DOE has tentatively concluded that 
portable propane products should not be included in this analysis 
because there would be minimal energy savings associated with removing 
standing pilots from these products.
    Issue 1: DOE requests comment regarding these four representative 
product groups.
    Issue 2: DOE requests comment on its tentative decision to exclude 
gas lights and portable propane products from the current analysis. DOE 
also requests comment on an appropriate definition for gas lights in 
order to distinguish them from other miscellaneous gas products, as 
well as data specific to gas lights. DOE also requests comment on 
whether any other products should be excluded from the current 
rulemaking.

B. Analysis

1. Market and Technology Assessment
    DOE generally develops information in a market and technology 
assessment that provides an overall picture of the market for the 
products concerned, including general characteristics of the products, 
the industry structure, manufacturers, market characteristics, and 
technologies used in the products. This activity includes both 
quantitative and qualitative assessments, based primarily on publicly 
available information. The subjects addressed in the market and 
technology assessment include: (1) a determination of the scope of the 
rulemaking and product classes, (2) manufacturers and industry 
structure, (3) existing efficiency programs, (4) shipments information, 
(5) market and industry trends, and (6) technologies or design options 
that could improve the energy efficiency of the product. In this NODA, 
DOE presents initial findings from its review of the market and 
technologies for MGPs, as well as findings related to the design 
options that could improve the energy efficiency or reduce the energy 
consumption of MGPs.
a. Market Assessment
    As an initial step in analyzing the market for MGPs, DOE reviewed 
the market to identify the MGPs currently available and constructed a 
database of these products that includes information on their 
characteristics, such as whether the main burner is lit by a pilot 
ignition system or the main burner is lit directly without a pilot, 
ignition methods of the pilot (if applicable) or main burner (e.g., 
electronic ignition, piezo ignition, etc.), pilot light control system 
(if applicable) (e.g., continuous pilot, intermittent pilot, or pilot 
on demand), the main burner input rate, and other characteristics. 
Additional details about DOE's definitions of these features are 
discussed in section III.C.1.b. of this document. As a starting point 
in constructing a database for the current analysis, DOE reviewed the 
list of manufacturers identified in the technical support document 
(``TSD'') for a NOPR for hearth products published on February 9, 2015 
(``February 2015 NOPR'').\6\ (See Docket EERE-2014-BT-STD-0036.) 
Although the scope of the February 2015 NOPR differed from the scope of 
MGPs, as defined in 10 CFR 430.2, DOE notes that many of the 
manufacturers identified for that analysis also manufacture MGPs. DOE 
collected information on MGPs available from many of these 
manufacturers from brochures, specification sheets, installation 
manuals, and other manufacturer literature available on manufacturer 
websites. DOE also reviewed the Natural Resources Canada (``NRCan'') 
database for gas fireplaces to identify additional manufacturers and 
models of MGPs.\7\ Before adding any products from NRCan's database, 
DOE first ensured these products are available for sale in the United 
States. DOE supplemented data from NRCan's database with data gathered 
directly from manufacturer websites. Lastly, DOE reviewed retailer 
websites and conducted internet searches for MGPs to identify any 
additional manufacturers that were not identified in either the 
February 2015 NOPR or in NRCan's database and gathered information on 
their models. DOE notes that the scope of the February 2015 NOPR was 
different than the scope of this NODA,\8\ and similarly, the 
definitions and scope of this NODA are not the same as the models 
listed in the NRCan database, which includes fireplace heaters. 
Therefore, DOE assessed each model individually and only included 
models in its database that meet the definition of MGPs. DOE's product 
database for MGPs currently includes information on over 3,500 models 
and 64 brands, but DOE is continuing to research additional 
manufacturers and models. To provide further context for the MGP 
market, the following paragraphs discuss the relevant domestic and 
international manufacturers of MGPs that DOE has currently identified.
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    \6\ On December 31, 2013, DOE published a notice of proposed 
determination of coverage (``NOPD'') for hearth products in the 
Federal Register. 78 FR 79638 (``December 2013 NOPD''). In the 
December 2013 NOPD, DOE proposed to define ``hearth product'' as a 
gas-fired appliance that simulates a solid-fueled fireplace or 
presents a flame pattern (for aesthetics or other purpose) and that 
may provide space heating directly to the space in which it is 
installed. However, DOE later withdrew the December 2013 NOPD in the 
bi-annual publication of the Regulatory Agenda and the February 2015 
NOPR was never finalized. 82 FR 40270, 40274.
    \7\ NRCan's database of gas fireplaces is available here: 
oee.nrcan.gc.ca/pml-lmp/index.cfm?action=app.search-recherche&appliance=FIREPLACE_G. (Last accessed October 5, 2022.)
    \8\ The scope of the February 2015 NOPR included ``hearth 
heaters'' which are not included within the scope of MGPs.
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    The 64 brands of MGPs that DOE identified from its current database 
were found to be associated with 36 manufacturers. Many of these

[[Page 68934]]

manufacturers import or privately label MGPs. From this list of 
manufacturers, DOE has so far identified 19 original equipment 
manufacturers (``OEMs'') with domestic manufacturing facilities for 
MGPs sold in the United States. Of those 19 OEMs with domestic 
manufacturing, 12 offer indoor vented gas log sets; 6 offer other 
indoor vented decorative hearths; 3 offer outdoor patio heaters; and 16 
offer outdoor decorative hearths. DOE understands that many companies 
are OEM for key products but also source portions of their product 
offerings. Publicly available information was insufficient to 
consistently discern which specific product lines at a company are made 
versus private labeled.
    Based on the DOE-compiled product database, DOE identified the 
manufacturers in Table III.1. DOE identifies OEMs with domestic 
manufacturing facilities with an asterisk.

                                   Table III.1--Manufacturers by Product Group
----------------------------------------------------------------------------------------------------------------
                                                                            Other
                                                                           indoor                      Outdoor
                                                             Indoor        vented        Outdoor     decorative
                      Manufacturer                         vented gas    decorative       patio        hearth
                                                            log sets       hearth        heaters      products
                                                                          products
----------------------------------------------------------------------------------------------------------------
Aei, Corporation........................................  ............  ............            X   ............
American Gas Log, LLC *.................................            X   ............  ............  ............
Arizona Fasteners Corporation *.........................            X   ............  ............            X
AZ Patio Heaters, LLC...................................  ............  ............            X             X
Cal Spas Inc............................................  ............  ............  ............            X
Crown Verity............................................  ............  ............            X   ............
Empire Comfort Systems, Inc *...........................            X             X   ............            X
Enerco Group, Inc.......................................  ............  ............            X   ............
Ferrellgas Partners, L.P................................  ............  ............  ............            X
Gas-Fired Products, Inc *...............................  ............  ............            X   ............
Golden Blount *.........................................            X             X   ............            X
Hargrove Manufacturing Co *.............................            X   ............  ............            X
Hearth Products Controls Co *...........................  ............  ............  ............            X
Heatmaster, LLC *.......................................            X   ............  ............            X
HNI Corporation *.......................................            X             X   ............            X
Infrared Dynamics, Inc..................................  ............  ............            X   ............
IR Energy...............................................  ............  ............            X   ............
Island Industrial Services *............................  ............            X   ............            X
Ksp Group, Inc *........................................  ............  ............  ............            X
Lava Heat Italia........................................  ............  ............            X   ............
Lennox *................................................            X             X   ............            X
Lume Fire, LLC..........................................  ............  ............  ............            X
Mr. Bar-B-Q Products LLC................................  ............  ............            X             X
Napoleon Systems & Developments Ltd.....................            X             X   ............            X
Novacap Industries......................................  ............  ............  ............            X
Procom Heating, Inc *...................................            X   ............            X             X
R.H. Peterson Co *......................................            X   ............  ............            X
Rasmussen Iron Works, Inc *.............................            X   ............            X   ............
R-Co Inc *..............................................            X   ............  ............            X
S[oacute]las *..........................................  ............  ............  ............            X
Spark Modern Fires, LLC.................................  ............  ............  ............            X
The Home Depot Inc......................................  ............  ............            X             X
The Outdoor Greatroom Company LLP *.....................  ............  ............  ............            X
Travis Industries, Inc *................................  ............            X   ............            X
Wayfair Inc.............................................  ............            X             X             X
Well Traveled Imports, Inc..............................  ............  ............            X             X
----------------------------------------------------------------------------------------------------------------
* OEMs with domestic manufacturing.

    Issue 3: DOE requests comment on the OEMs identified for each 
representative group: indoor vented gas log sets; other indoor vented 
decorative hearths; outdoor patio heaters; and outdoor decorative 
hearths. Additionally, DOE requests data on the number of OEMs with 
domestic production facilities for each group. DOE also requests 
comment on names of OEMs of MGPs that DOE did not identify in Table 
III.1.
b. Description of Pilot and Ignition Systems Identified on the Market
    DOE has identified several ignition system and pilot light 
technologies available on the market, which DOE has tentatively defined 
in order to provide a common understanding of these technologies 
between stakeholders and DOE for the purposes of this analysis.
    DOE is aware of the following types of main burner ignition 
systems:
     Pilot ignition, in which the main burner is ignited by a 
pilot light; and
     Direct Main Burner Ignition, in which the main burner is 
ignited directly (i.e. the absence of a pilot light).
    Additionally, DOE is aware of the following ignition methods that 
can be utilized with either pilot ignition or direct main burner 
ignition:
     Electronic Ignition, in which an electronic spark 
automatically lights the pilot or main burner and which uses line power 
connection and/or battery power;
     Push-button Battery Ignition, in which a spark is manually 
generated by pushing a button to light the pilot or

[[Page 68935]]

main burner and which uses energy from a battery to create the spark;
     Manually-lit Ignition, in which the pilot or main burner 
is manually lit using a match or lighter;
     Piezo Ignition, in which a piezo material creates a spark 
to ignite the pilot or main burner without the need for a battery or 
connection to line power; and,
     Hot Surface Ignition, in which a material that is heated 
through electricity is used to ignite the pilot or main burner.
    Issue 4: DOE seeks comment regarding whether there are any ignition 
methods that are not captured in this section, or if any of the listed 
methods are not applicable to MGPs. DOE also seeks comment on whether 
the above descriptions for each ignition method accurately reflect the 
industry's understanding.
    Additionally, DOE has observed the following types of pilot lights:
     Continuous pilot (or ``standing pilot''), in which the 
pilot is capable of burning indefinitely until manually turned off;
     Intermittent or interrupted pilot, in which the pilot is 
automatically lit when it is needed to light the main burner, and it 
turns off automatically once the main burner turns off again or once 
the main burner is lit; and,
     Pilot on-demand, in which the pilot is automatically lit 
and burns continuously as long as the main burner is operated within a 
preprogrammed period of time (e.g., 7 days) and the pilot is 
automatically shut off if the main burner is not operated within the 
preset time period.
    Finally, DOE has found that some products are capable of using more 
than one of the ignition method or pilot light types described above. 
For example, DOE has observed products that provide an option to switch 
between intermittent pilot ignition, continuous pilot ignition, and/or 
on-demand pilot ignition. However, DOE notes that an MGP with an 
ignition system that features an option to select a continuous pilot 
mode, regardless of whether it can also operate in intermittent pilot 
and/or pilot on demand modes, meets DOE's definition of a continuous 
pilot system since it is capable of operating continuously until the 
pilot is manually extinguished. Further, such product would not meet 
the definition of an intermittent pilot or pilot on demand because the 
pilot will not necessarily turn off automatically when operating in 
continuous pilot mode.
    Issue 5: DOE seeks comment regarding whether there are any pilot 
light technologies that are not captured in this section, or if any of 
the listed technologies are not applicable to MGPs. DOE also requests 
comment about any subsets of MGPs in which it would not be feasible to 
implement the aforementioned technologies. DOE also seeks comment on 
whether the above descriptions for each pilot light technology 
accurately reflect the industry's understanding. Finally, DOE seeks 
comment on the potential combinations of ignition systems and pilot 
lights that are available on the market, and on the prevalence of these 
combinations in each product group.
c. Technology Options
    In its initial review of the market and technology, DOE has 
identified seven technology options that would be expected to improve 
the efficiency or reduce the energy consumption of MGPs, which include 
the following:
     Optimized air-to-fuel ratio. The mixture of air and fuel 
for combustion determines key flame aspects for many MGPs, in 
particular the flame color, height, and heat output. In order to 
achieve flame characteristics that mimic wood-burning flames, gas-fired 
MGPs utilize a ``rich'' mixture, that is, the ratio of air to fuel is 
low. For many natural gas products, primary air is in fact not pre-
mixed, and what is burned is nearly 100 percent natural gas. This 
results in a tall yellow flame. For propane products, air is pre-mixed 
with fuel prior to combustion.
     Optimized burner port design. Gas burners for many MGPs 
comprise tubes with holes or slots through which the gas exits and 
combusts. The holes or slots are designed with particular sizes and 
patterns in order to achieve the desired flame pattern or aesthetic. 
While the primary objective of optimizing gas burner ports is to 
achieve the desired flame pattern, the ports could also be optimized to 
deliver an acceptable flame aesthetic while reducing the amount of fuel 
consumed.
     Improved simulated log design. Many MGPs incorporate 
cement, fiber, or ceramic logs that are designed to simulate the look 
of wood logs. The log shapes are optimized in conjunction with the 
burner design. The combination of the burner design and log shape, 
size, and placement results in the overall aesthetic for the product. 
Additionally, logs must be designed in conjunction with the burner to 
ensure that flames do not impinge on the logs themselves, as this 
causes the flame to cool and form soot. The log shape, size, placement, 
and material may be optimized to potentially impact the energy 
efficiency and/or energy use of products that include these design 
elements.
     Improved pan burner media/bead type. Many MGPs include an 
ember material that glows and radiates when heated. In pan type 
burners, sand is used to cover the burner and results in a flame 
pattern. In some products, glass beads may be used in place of 
simulated logs for effect. These media could potentially be selected to 
produce a satisfactory flame pattern while reducing the required gas 
consumption.
     Reflective walls and/or other components inside combustion 
zone. For MGPs that include a firebox or other enclosure, the interior 
walls could potentially be painted with a reflective coating. This 
could potentially give the illusion of more or taller flames, thereby 
reducing the fuel required to achieve a satisfactory aesthetic. This 
technology would only apply to the subset of products that include an 
enclosure surrounding the flame.
     Intermittent pilot. Intermittent pilot ignition systems 
are described in section III.C.1.b of this document and reduce the 
amount of fuel burned by the pilot when the main burner is not in use.
     Pilot on-demand. Pilot on-demand ignition systems are 
described in section III.C.1.b of this document and reduce the amount 
of fuel burned by the pilot when the main burner is not in use.
    Issue 6: DOE requests comment regarding whether these technology 
options would impact the energy efficiency and/or energy use of MGPs. 
In addition, DOE requests comment on whether any other technologies are 
available to reduce the energy consumption of MGPs.
2. Screening Analysis
    DOE uses the following five screening criteria to determine which 
technology options are suitable for further consideration in an energy 
conservation standards rulemaking:
    (1) Technological feasibility. Technologies that are not 
incorporated in commercial products or in commercially viable, existing 
prototypes will not be considered further.
    (2) Practicability to manufacture, install, and service. If it is 
determined that mass production of a technology in commercial products 
and reliable installation and servicing of the technology could not be 
achieved on the scale necessary to serve the relevant market at the 
time of the projected compliance date of the standard, then that 
technology will not be considered further.
    (3) Impacts on product utility. If a technology is determined to 
have a significant adverse impact on the utility

[[Page 68936]]

of the product to subgroups of consumers, or result in the 
unavailability of any covered product type with performance 
characteristics (including reliability), features, sizes, capacities, 
and volumes that are substantially the same as products generally 
available in the United States at the time, it will not be considered 
further.
    (4) Safety of technologies. If it is determined that a technology 
would have significant adverse impacts on health or safety, it will not 
be considered further.
    (5) Unique-pathway proprietary technologies. If a technology has 
proprietary protection and represents a unique pathway to achieving a 
given efficiency level, it will not be considered further, due to the 
potential for monopolistic concerns.
    10 CFR part 430, subpart C, appendix A, sections 6(b)(3) and 7(b).
    If DOE determines that a technology, or a combination of 
technologies, fails to meet one or more of the listed five criteria, it 
will be excluded from further consideration in the engineering 
analysis.
    DOE tentatively expects to screen out optimized air-to-fuel ratio, 
optimized burner report design, improved simulated log design, improved 
pan burner media/bead type, and reflective walls and/or other 
components inside combustion zone because of the potential negative 
impact on the aesthetics, and therefore utility, of MGPs. In contrast, 
DOE has tentatively determined not to screen out intermittent pilot 
ignition or pilot on-demand ignition.
    Issue 7: DOE seeks comment regarding its tentative conclusion that 
only intermittent pilot ignition and on-demand ignition pass the 
screening criteria. DOE also requests comment on whether any other 
technology options should pass the screening analysis.
3. Engineering Analysis
    The purpose of the engineering analysis is to establish the 
relationship between the efficiency and cost of MGPs. There are two 
elements to consider in the engineering analysis; the selection of 
efficiency levels to analyze (i.e., the ``efficiency analysis'') and 
the determination of product cost at each efficiency level (i.e., the 
``cost analysis''). In determining the performance of higher-efficiency 
products, DOE considers technologies and design option combinations not 
eliminated by the screening analysis. For each product class (or in 
this case, each representative product group), 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 life-cycle cost (``LCC'') and payback period (``PBP'') 
analyses and the national impact analysis (``NIA'')). In this NODA, DOE 
presents initial inputs and outputs for the engineering analysis and 
solicits relevant data and information.
a. Design Options
    As discussed in the June 2022 RFI, DOE is considering whether a 
prescriptive design requirement would be appropriate for MGPs. 87 FR 
35925, 35929. As noted in section III.C.2 of this document, DOE has 
tentatively found that only intermittent pilot ignition and pilot on-
demand ignition would pass the screening criteria. For this NODA, DOE 
tentatively focused its initial engineering analysis on the impacts of 
a prescriptive design requirement that would prohibit the use of a 
continuous pilot or pilot on-demand, as opposed to a performance-based 
design standard and associated test procedure, because an intermittent 
pilot ignition can reduce energy consumption of MGPs as compared to 
continuous pilot and pilot on-demand ignition systems.
    Additionally, as discussed in section III.B of this document, for 
this analysis, DOE has tentatively divided MGPs into four 
representative groups for analysis. For each of these groups, DOE 
identified a baseline design that represents the most energy-
consumptive designs typical of that group. Specifically, for each MGP 
product group, DOE has tentatively identified a standing pilot ignition 
system as a baseline design characteristic. DOE has received feedback 
from stakeholders that outdoor propane heaters which are not 
permanently installed should not be included in its analysis because 
the pilot on those units are not intended to stay lit when the product 
is not in use. In its market research, DOE did identify propane-burning 
products which provided instruction to extinguish the pilot when the 
unit is not in use. However, DOE notes that the tentative description 
of standing pilots which DOE is considering for this rulemaking (as 
discussed in section III.C.1.b) considers a standing pilot to be a 
pilot which is capable of burning indefinitely until manually turned 
off. DOE notes that pilot systems for outdoor propane heaters which 
provide additional instructions to extinguish the pilot light do not 
match the description of an intermittent pilot because the pilot is not 
necessarily extinguished automatically when the main burner is shut 
off. Therefore, DOE has tentatively included outdoor propane heaters in 
the analysis because they often include ignition systems that meet the 
description of standing pilots.
    Additionally, for each of the four product groups, DOE conducted 
market research to evaluate what design options are often incorporated 
in conjunction with standing pilot ignition that provides basic 
functionality. Any components that are necessary for the product to 
ignite the main burner and provide the necessary functionality are 
included, while components that provide remote on/off functionality, 
variable flame height, etc. are not included. These design options are 
outlined in Table III.2.

   Table III.2--Baseline Design Characteristics of Each Product Group
------------------------------------------------------------------------
                                     Typical design characteristics for
           Product group              products including standing pilot
------------------------------------------------------------------------
Indoor vented gas log sets........  Standing pilot with manually-lit
                                     pilot, on/off switch, and millivolt
                                     gas valve.
Other indoor vented decorative      Standing pilot with piezo ignition
 hearth products.                    for pilot, on/off switch, and
                                     millivolt gas valve.
Outdoor patio heaters.............  Standing pilot with manually-lit
                                     pilot and on/off switch.
Outdoor decorative hearths........  Standing pilot with piezo pilot
                                     igniter and on/off switch.
------------------------------------------------------------------------

    Issue 8: DOE requests comment regarding the baseline design 
characteristics identified for each product group. DOE also requests 
comment regarding whether additional clarity is needed regarding the 
baseline design characteristics and the components in each design.
    DOE then identified an alternative design for each product group 
that could reduce the energy consumption of a standing pilot light. As 
discussed,

[[Page 68937]]

DOE tentatively focused its initial engineering analysis for this NODA 
on the impacts of a prescriptive design requirement that would prohibit 
the use of a continuous pilot or pilot on-demand ignition systems. 
Therefore, direct main burner ignition designs and other designs that 
do not include pilots would not be affected by this rulemaking. The 
design options typically found in products that include intermittent 
pilot ignition and that offer similar consumer utility as comparable 
products with constant pilot ignition systems are listed in Table III.3 
for each of the four aforementioned product groups.

Table III.3--Design Characteristics Associated With Products That Do Not
                 Use Continuous Pilot or Pilot On-Demand
------------------------------------------------------------------------
                                    Alternate design characteristics for
           Product group               products without standing pilot
------------------------------------------------------------------------
Indoor vented gas log sets........  Intermittent pilot with electronic
                                     ignition, on/off switch, and
                                     battery backup.
Other indoor vented decorative      Intermittent pilot with electronic
 hearth products.                    ignition, on/off switch, and
                                     battery backup.
Outdoor patio heaters.............  Intermittent pilot with electronic
                                     ignition and on/off switch.
Outdoor decorative hearths........  Intermittent pilot with electronic
                                     ignition and on/off switch.
------------------------------------------------------------------------

    Issue 9: DOE requests comment regarding the alternate design 
characteristics identified for each product group.
b. Teardown Analysis
    For the current analysis, DOE plans to use physical teardowns to 
estimate the cost to replace a continuous pilot with an intermittent 
pilot. A physical teardown is an approach wherein DOE physically 
dismantles a commercially available product, component-by-component, to 
develop a detailed bill of materials (``BOM'') for the product. The 
BOMs incorporate all materials, components, and fasteners (classified 
as either raw materials or purchased parts and assemblies, and 
characterize the materials and components by weight, manufacturing 
processes used, dimensions, material, and quantity.
    DOE uses the BOMs from the teardowns as inputs to calculate the MPC 
for the representative product for each product type and for each 
ignition type discussed in section. The materials and components in the 
BOMs are converted into dollar values using a computer cost model. DOE 
collects information on labor rates, tooling costs, raw material 
prices, and other factors as inputs into the cost estimates.
    For this NODA, DOE has developed draft MPCs using teardowns of 
models from each of the for representative product groups. To compare 
only the cost difference between standing pilot and intermittent pilot 
models in each product group, DOE assessed the differences in major 
components including the gas valve, the pilot assembly (pilot, sparker, 
flame sensor, ignitor, thermocouple, etc.), the power supply, and the 
battery pack, as applicable. DOE did not include costs for additional 
features such as remote controls and accompanying remote receivers. 
Remote control functionality may be found more commonly on intermittent 
pilot ignition systems than on continuous pilot ignition systems, but 
are not necessary for either type of ignition system, and therefore DOE 
did not account for costs associated with such features.
    For purchased parts, DOE estimates the purchase price based on 
volume-variable price quotations and detailed discussions with 
manufacturers and component suppliers. For parts fabricated in-house, 
the prices of the underlying ``raw'' metals (e.g., tube, sheet metal) 
are estimated on the basis of 5-year averages to smooth out spikes in 
demand. Other ``raw'' materials, such as plastic resins, insulation 
materials, etc., are estimated on a current-market basis. The costs of 
raw materials are based on manufacturer interviews, quotes from 
suppliers, and secondary research. Past results are updated 
periodically and/or inflated to present-day prices using indices from 
resources such as MEPS Intl.,\9\ PolymerUpdate,\10\ the U.S. geologic 
survey (``USGS''),\11\ and the Bureau of Labor Statistics 
(``BLS'').\12\ The cost of transforming the intermediate materials into 
finished parts is estimated based on current industry pricing.
---------------------------------------------------------------------------

    \9\ For more information on MEPS Intl, please visit: 
www.meps.co.uk/ (Last accessed Sept. 23, 2022).
    \10\ For more information on PolymerUpdate, please visit: 
www.polymerupdate.com (Last accessed Sept. 23, 2022).
    \11\ For more information on the USGS metal price statistics, 
please visit www.usgs.gov/centers/nmic/commodity-statistics-and-information (Last accessed Sept. 23, 2022).
    \12\ For more information on the BLS producer price indices, 
please visit: www.bls.gov/ppi/ (Last accessed Sept. 23, 2022).
---------------------------------------------------------------------------

    The MPC is, in part, a function of the annual production volume 
since the production volume typically impacts the price the manufacture 
pays for sourced components. The production volumes used in this 
analysis are intended to reflect an average manufacturer in each 
product group and are shown in Table III.4.

             Table III.4--Estimated Product Volumes for MGPs
------------------------------------------------------------------------
                                                              Annual
                      Product group                         production
                                                              volume
------------------------------------------------------------------------
Indoor vented gas log sets..............................           8,750
Other indoor vented decorative hearth products..........          17,500
Outdoor patio heaters...................................           8,750
Outdoor decorative hearths..............................           8,750
------------------------------------------------------------------------

    The results of the engineering analysis performed for this NODA are 
shown in Table III.5. The MPCs of the ``baseline design'' reflect the 
cost to manufacture a basic design of a product that utilizes a 
continuous pilot in each category, while the MPC for the ``alternate 
ignition system'' reflects the MPC to manufacture an identical product 
that utilizes an intermittent pilot ignition system rather than a 
continuous pilot system. The MPC difference accounts for all design 
changes necessary to replace the continuous pilot system with the 
intermittent system.

[[Page 68938]]



                          Table III.5--Estimated Typical Manufacturer Production Costs
----------------------------------------------------------------------------------------------------------------
                                                                             Alternate ignition
           Product group               Baseline design      Baseline MPC           system          Alternate MPC
----------------------------------------------------------------------------------------------------------------
Indoor vented gas log sets........  Standing pilot with           $223.95  Intermittent pilot            $274.42
                                     manually-lit pilot,                    with electronic
                                     on/off switch and                      ignition, on/off
                                     millivolt gas valve.                   switch, and battery
                                                                            backup.
Other indoor decorative hearth      Standing pilot with            340.30  Intermittent pilot             365.80
 products.                           piezo ignition for                     with electronic
                                     pilot, on/off                          ignition, on/off
                                     switch, and                            switch, and battery
                                     millivolt gas valve.                   backup.
Outdoor patio heaters.............  Standing pilot with            235.32  Intermittent pilot             294.45
                                     manually-lit pilot                     with electronic
                                     and on/off switch.                     ignition and on/off
                                                                            switch.
Outdoor decorative hearths........  Standing pilot with            167.17  Intermittent pilot             252.99
                                     piezo igniter (for                     with electronic
                                     lighting the pilot)                    ignition and on/off
                                     and on/off switch.                     switch.
----------------------------------------------------------------------------------------------------------------

    Issue 10: DOE seeks comment regarding the estimated MPCs for each 
product group. Further, DOE seeks specific cost information and data 
about MGP ignition system components. These components include the gas 
valves, the pilot assembly, the power supply, and the battery pack.
    Issue 11: DOE seeks feedback regarding the average production 
volumes used in this analysis, and whether these values are 
representative of the MGP market.
    DOE converts MPC to the manufacturer selling price (``MSP'') by 
multiplying by the manufacturer markup. MSP is the price the 
manufacturer charges its first customer, when selling into product 
distribution channels. MSPs include direct manufacturing production 
costs (i.e., labor, materials, and overhead estimated in MPCs), non-
production costs (i.e., SG&A, R&D, and interest), and profit.
    The manufacturer markup accounts for manufacturer non-production 
costs and profit. DOE multiplied MPCs by an industry average 
manufacturer markup of 1.5 to estimate MSPs.
    Issue 12: DOE requests feedback on the industry average 
manufacturer markup of 1.5 and whether this value is representative of 
the MGP market. Additionally, DOE requests feedback on whether the 
average manufacturer markups varies significantly across four groups: 
indoor vented gas log sets, other indoor vented decorative hearths, 
outdoor patio heaters; and outdoor decorative hearths.
4. Energy Use Analysis
    The purpose of the energy use analysis is to determine the annual 
energy consumption of MGPs at different efficiencies in representative 
U.S. single-family homes, and multi-family residences, and to assess 
the energy savings potential of increased MGP efficiency. The energy 
use analysis estimates the range of energy use of MGPs 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.
    In order to estimate the energy consumption of standing pilot 
lights in MGPs, DOE must estimate the fraction of consumers that leave 
their standing pilots on all year long vs. those that shut off the 
standing pilot during some portion of the year. Table III.6 presents 
standing pilot usage data from a survey of hearth products in U.S. 
homes.\13\ The average operating hours for standing pilot lights from 
this survey are 4593 hours per year. The survey primarily included 
respondents with indoor fireplaces, log sets, or stoves, although a 
small fraction of survey respondents had outdoor units. For outdoor 
decorative products, DOE does not have any data suggesting that 
standing pilot usage behavior is substantially different. For outdoor 
heaters, DOE assumed in the proposed and final coverage determination 
that standing pilot usage is 50 percent that of outdoor decorative 
hearth products. 87 FR 6786, 6791. For portable propane outdoor units, 
such as portable outdoor patio heaters, DOE assumes that standing 
pilots are never left on as that would quickly drain the portable tank.
---------------------------------------------------------------------------

    \13\ Siap, D. et al. (2017), ``Survey of Hearth Products in U.S. 
Homes'', Lawrence Berkeley National Laboratory. (Available at: 
ees.lbl.gov/publications/survey-hearth-products-us-homes) (last 
accessed Oct. 4, 2022).

                    Table III.6--Standing Pilot Usage
------------------------------------------------------------------------
                                                            Fraction of
                   Standing pilot use                        consumers
------------------------------------------------------------------------
Always on...............................................             35%
Off when hearth is off..................................             33%
Off in summer...........................................             32%
                                                         ---------------
    Total...............................................            100%
------------------------------------------------------------------------

    As discussed in section III.C.1.b, an on-demand pilot will turn off 
automatically after a certain period of time (typically one week), but 
not immediately after the unit is turned off. Survey data \14\ suggest 
that MGP users use their products at least once a week on average 
during the heating season and therefore the average period between last 
use and automatic turn-off is one week. As a result, on-demand pilot 
lights operate for a similar amount of time during the heating season 
as standing pilots.
---------------------------------------------------------------------------

    \14\ Id.
---------------------------------------------------------------------------

    Issue 13: DOE seeks comment regarding the estimated MGP operating 
hours for standing pilots.
5. 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.
    In order to estimate the LCC and PBP for MGPs, DOE must estimate 
several input parameters including average product lifetime, repair and 
maintenance costs, and the distribution of different ignition types in 
the market.

[[Page 68939]]

    In the February 2015 NOPR, DOE estimated that the average lifetime 
of MGPs was 15 years, with a minimum lifetime of 5 years and a maximum 
lifetime of 30 years.\15\ This lifetime estimate was the same across 
all product categories. DOE continues to estimate the same average 
lifetime for MGPs.
---------------------------------------------------------------------------

    \15\ See chapter 8 of the Technical Support Document for the 
February 2015 NOPR. (Available at: www.regulations.gov/document/EERE-2014-BT-STD-0036-0002) (last accessed Oct. 4, 2022).
---------------------------------------------------------------------------

    In the February 2015 NOPR, DOE estimated repair costs for standing 
pilot lights and intermittent ignition systems.\16\ These estimates are 
presented in Table III.7 and Table III.8, corrected to 2021$ using the 
Consumer Price Index. Labor hours are estimated from RSMeans 2022 data.
---------------------------------------------------------------------------

    \16\ Id.

                                       Table III.7--Repair Cost Estimates
----------------------------------------------------------------------------------------------------------------
                                                                                    Total labor
              Repair description                              Group                    hours           Cost
----------------------------------------------------------------------------------------------------------------
Standing Pilot Ignition.......................  Indoor Vented Gas Log Sets......            1.50          $39.10
                                                Indoor Other Decorative Hearth              1.50           62.40
                                                 Products.
                                                Outdoor Patio Heaters...........            1.50          107.73
                                                Outdoor Decorative Hearths......            1.50          107.73
Intermittent Ignition.........................  Indoor Vented Gas Log Sets......            1.50          127.80
                                                Indoor Other Decorative Hearth              1.50           97.57
                                                 Products.
                                                Outdoor Patio Heaters...........            1.50          177.75
                                                Outdoor Decorative Hearths......            1.50          177.75
----------------------------------------------------------------------------------------------------------------


                                        Table III.8--Labor Cost Estimates
----------------------------------------------------------------------------------------------------------------
                                                                                        Cost per labor-hour
               Crew type                    Crew description       Laborers per  -------------------------------
                                                                       crew         Bare costs      Incl. O&P *
----------------------------------------------------------------------------------------------------------------
Q1 *..................................  1 Plumber, 1 Plumber                   2          $37.70          $61.50
                                         Apprentice.
----------------------------------------------------------------------------------------------------------------

    In the February 2015 NOPR, DOE estimated that approximately 14 
percent of MGPs would experience an ignition system failure over the 
lifetime of the product. If the failure occurred in the first year, DOE 
assumed that the cost was covered by warranty; if the failure occurred 
between 2 and 5 years, the consumer only paid labor costs; and if the 
failure occurred after 5 years, the consumer paid labor and material 
costs for the repair.\17\ DOE continues to estimate these same repair 
costs for MGPs.
---------------------------------------------------------------------------

    \17\ Id.
---------------------------------------------------------------------------

    In order to estimate the fraction of consumers impacted by an 
energy conservation standard at a given efficiency level, DOE must 
estimate the distributions across different efficiency levels in the 
market. A 2017 survey on hearth products in U.S. homes found that, at 
the time, most consumers had MGPs with a standing pilot, as seen in 
Table III.9.\18\ A more recent examination of models available on the 
market (from retailer/manufacturer websites and product literature from 
manufacturers of MGPs, as discussed in section III.C.1.a) shows some 
variation among product groupings. In particular, there are fewer of 
Other Indoor Vented Decorative Hearths, Outdoor Decorative Hearths, and 
Outdoor Patio Heaters with a standing pilot. In particular, portable 
propane units that fall within outdoor decorative hearths and outdoor 
patio heaters do not have a standing pilot as that would quickly drain 
the propane tank. DOE does not intend to analyze these portable propane 
products. The updated estimates based on DOE's recent market research 
are shown in Table III.10.
---------------------------------------------------------------------------

    \18\ Siap, D. et al. (2017), ``Survey of Hearth Products in U.S. 
Homes'', Lawrence Berkeley National Laboratory. (Available at: 
ees.lbl.gov/publications/survey-hearth-products-us-homes) (last 
accessed Oct. 4, 2022).

  Table III.9--Ignition Type Distribution in the No-New-Standards Case
                            From 2017 Survey
------------------------------------------------------------------------
                                                           Market share
                      Ignition type                          (percent)
------------------------------------------------------------------------
Standing Pilot..........................................              67
Intermittent Pilot......................................              19
Manually-lit............................................              14
                                                         ---------------
    Total...............................................             100
------------------------------------------------------------------------


  Table III.10--Ignition Type Distribution in the No-New-Standards Case
      From Available Models on the Market in DOE's Current Database
------------------------------------------------------------------------
                                        Pilot type by          Share
           Product group                  category           (percent)
------------------------------------------------------------------------
Indoor Vented Gas Log Sets........  Intermittent or On                23
                                     Demand Pilot.
                                    Standing Pilot......              72
                                    Direct Main Burner                 5
                                     Ignition.
Other Indoor Vented Decorative      Intermittent or On                64
 Hearth Products.                    Demand Pilot.
                                    Standing Pilot......              36
                                    Direct Main Burner                 0
                                     Ignition.
Outdoor Decorative Hearths........  Intermittent or On                28
                                     Demand Pilot.
                                    Standing Pilot......              27
                                    Direct Main Burner                45
                                     Ignition.
Outdoor Patio Heaters.............  Intermittent or On                 8
                                     Demand Pilot.
                                    Standing Pilot......              22

[[Page 68940]]

 
                                    Direct Main Burner                70
                                     Ignition.
------------------------------------------------------------------------

    Issue 14: DOE seeks comment regarding the estimated MGP lifetime, 
particularly if there are differences among product categories (such as 
indoor/outdoor products).
    Issue 15: DOE seeks comment regarding the estimated MGP repair 
costs.
    Issue 16: DOE seeks comment regarding the estimated distribution of 
ignition types among MGPs and the estimated fraction of products with 
main burners that are manually lit.
6. 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 new standards at specific efficiency levels (referred to as 
candidate standard levels).\19\ DOE calculates the NES and NPV for the 
potential standard levels considered based on projections of annual 
product 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, product costs, and NPV of consumer benefits over the lifetime 
of MGPs sold from 2029-2058.
---------------------------------------------------------------------------

    \19\ 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 with standards-case projections (``no-
new-standards case''). The no-new-standards case characterizes energy 
use and consumer costs for each product 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 product 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 
product with efficiencies greater than the standard.
    In order to estimate national impacts from 30 years of MGP 
shipments, DOE must project future MGP shipments for each product 
grouping based on historical shipments. For the February 2015 NOPR, DOE 
received total historical shipment data from HPBA, however these data 
included product categories that are not part of the current MGP 
analysis.\20\ DOE notes that patio heaters were not included in the 
submitted shipment data. DOE received additional data from HPBA to 
clarify the categorization of some product groupings. From these data, 
DOE estimated the market shares of various product types as shown in 
Table III.12. Some of these product categories do not fall under the 
definition of MGP, therefore the corrected market shares of MGP product 
categories from the shipment data is shown in Table III.12. From these 
market share and historical shipment data, DOE estimates total 
historical MGP shipments as shown in Table III.13. DOE notes that 
outdoor portable propane units are included in these market share 
estimates and requests comment on their market share, so that they may 
be excluded from the analysis.
---------------------------------------------------------------------------

    \20\ See chapter 9 of the Technical Support Document for the 
February 2015 NOPR. (Available at: www.regulations.gov/document/EERE-2014-BT-STD-0036-0002) (last accessed Oct. 4, 2022).

Table III.11--Market Share of Product Categories From Submitted Shipment
                                  Data
------------------------------------------------------------------------
                                                           Market share
                      Product type                           (percent)
------------------------------------------------------------------------
Vented Fireplace........................................            50.4
Unvented Fireplace......................................             4.1
Vented Stove............................................             4.1
Unvented Stove..........................................             0.5
Vented Insert...........................................             7.2
Unvented Insert.........................................             0.2
Vented Gas Log..........................................             6.7
Unvented Gas Log........................................            20.1
Outdoor Units (Excluding Patio Heaters).................             6.7
                                                         ---------------
    Total...............................................           100.0
------------------------------------------------------------------------


   Table III.12--Market Share of MGP Product Categories Estimated From
                              Previous Data
------------------------------------------------------------------------
                                                           Market share
                      Product group                          (percent)
------------------------------------------------------------------------
Indoor Vented Gas Log Sets..............................             8.2
Indoor Other Decorative Hearth Products.................            75.8
Outdoor Patio Heaters...................................             7.8
Outdoor Decorative Hearths..............................             8.2
                                                         ---------------
    Total...............................................           100.0
------------------------------------------------------------------------


          Table III.13--Estimated Historical Shipments of MGPs
------------------------------------------------------------------------
                                                               Total
                                                            historical
                          Year                             shipments of
                                                               MGPs
------------------------------------------------------------------------
2005....................................................       1,338,749
2006....................................................       1,029,272
2007....................................................         892,789
2008....................................................         621,562
2009....................................................         365,983
2010....................................................         385,108
2011....................................................         334,687
2012....................................................         345,119
2013....................................................         464,216
2014....................................................         319,885
2015....................................................         412,812
2016....................................................         379,017
2017....................................................         416,992
2018....................................................         406,917
2019....................................................         377,377
2020....................................................         395,499
2021....................................................         455,259
------------------------------------------------------------------------

    A more recent examination of models available on the market (from 
retailer/manufacturer websites and product literature from 
manufacturers of MGPs) based on DOE's current market database (as 
discussed in section III.C.1.a) shows some variation from the above 
market shares. These market shares are shown in Table III.14. DOE again 
notes that outdoor portable propane units are included in these market 
share estimates and requests comment on their market share, so that 
they may be excluded from the analysis.

  Table III.14--Market Share Breakdown of MGP Product Groups in Current
                                Database
------------------------------------------------------------------------
                                                           Market share
                      Product group                          (percent)
------------------------------------------------------------------------
Indoor Vented Gas Log Sets..............................              48

[[Page 68941]]

 
Other Indoor Vented Decorative Hearth Products..........               6
Outdoor Patio Heaters...................................               8
Outdoor Decorative Hearths..............................              38
------------------------------------------------------------------------

    Issue 17: DOE seeks comment regarding the estimated shipments of 
MGPs and the market shares of different MGP product categories. In 
particular, DOE requests comment on the market share of portable 
propane outdoor units so that they may be excluded from the analysis.
7. Manufacturer Impact Analysis
    The purpose of the manufacturer impact analysis (``MIA'') is to 
identify and quantify the impacts of any potential new and/or amended 
energy conservation standards on manufacturers. DOE conducts the MIA in 
three phases, and further tailors the analytical framework based on the 
comments it receives. In Phase I, DOE creates an industry profile to 
characterize the industry and identify important issues that require 
consideration. In Phase II, DOE prepares an industry cash-flow model 
and considers what information it might gather in manufacturer 
interviews. In Phase III, DOE's contractors interview manufacturers and 
assesses the impacts of standards both quantitatively and 
qualitatively.
    As part of DOE's rulemaking process, DOE's contractors reached out 
to MGP manufacturers to conduct confidential manufacturer interviews in 
2022. The interviews covered a range of topics, including manufacturer 
key concerns, technology options, production costs, conversion costs, 
financial metrics, market shares, shipment levels, manufacturer markup, 
and competitive concerns. Given the sensitive nature of these topics, 
the interviews were conducted under nondisclosure agreement with DOE's 
contractors to ensure attributable data and sensitive business 
information was maintained as confidential. Only aggregate information 
was provided to the Department. DOE's contractors conducted interviews 
with manufacturers that sell product in each of the groups: indoor 
vented gas log sets, other indoor decorative hearth products, outdoor 
patio heaters, and outdoor decorative hearths. The interviews provided 
broadest coverage of indoor vented gas log set manufacturers. The 
interviews included manufacturers that account for 39% of indoor vented 
gas log sets models in the DOE-compiled product database.

IV. Public Participation

A. Submission of Comments

    DOE will accept comments, data, and information regarding this NODA 
no later than the date provided in the DATES section at the beginning 
of this document. 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. Otherwise, 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 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, hand delivery/courier, or postal 
mail. Comments and documents submitted via email, hand delivery/
courier, or postal mail 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. If you submit via postal mail 
or hand delivery/courier, please provide all items on a CD, if 
feasible, in which case it is not necessary to submit printed copies. 
No telefacsimiles (``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.

[[Page 68942]]

    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).

B. Issues on Which DOE Seeks Comment

    Issue 1: DOE requests comment on its tentative decision to exclude 
gas lights and portable propane products from the current analysis. DOE 
also requests comment on an appropriate definition for gas lights in 
order to distinguish them from other miscellaneous gas products. DOE 
also requests comment on whether any other products should be excluded 
from the current rulemaking.
    Issue 2: DOE requests comment regarding these four representative 
product groups.
    Issue 3: DOE requests comment on the OEMs identified for each 
representative group: indoor vented gas log sets; other indoor vented 
decorative hearths; outdoor patio heaters; and outdoor decorative 
hearths. Additionally, DOE requests data on the number of OEMs with 
domestic production facilities for each group. DOE also requests 
comment on names of OEMs of MGPs that DOE did not identify in Table 
III.1.
    Issue 4: DOE seeks comment regarding whether there are any ignition 
methods that are not captured in this section, or if any of the listed 
methods are not applicable to MGPs. DOE also seeks comment on whether 
the above descriptions for each ignition method accurately reflect the 
industry's understanding.
    Issue 5: DOE seeks comment regarding whether there are any pilot 
light technologies that are not captured in this section, or if any of 
the listed technologies are not applicable to MGPs. DOE also requests 
comment about any subsets of MGPs in which it would not be feasible to 
implement the aforementioned technologies. DOE also seeks comment on 
whether the above descriptions for each pilot light technology 
accurately reflect the industry's understanding. Finally, DOE seeks 
comment on the potential combinations of ignition systems and pilot 
lights that are available on the market, and on the prevalence of these 
combinations in each product group.
    Issue 6: DOE requests comment regarding whether these technology 
options would impact the energy efficiency and/or energy use of MGPs. 
In addition, DOE requests comment on whether any other technologies are 
available to reduce the energy consumption of MGPs.
    Issue 7: DOE seeks comment regarding its tentative conclusion that 
only intermittent pilot ignition and on-demand ignition pass the 
screening criteria. DOE also requests comment on whether any other 
technology options should pass the screening analysis.
    Issue 8: DOE requests comment regarding the baseline design 
characteristics identified for each product group. DOE also requests 
comment regarding whether additional clarity is needed regarding the 
baseline design characteristics and the components in each design.
    Issue 9: DOE requests comment regarding the alternate design 
characteristics identified for each product group.
    Issue 10: DOE seeks comment regarding the estimated MPCs for each 
product group. Further, DOE seeks specific cost information and data 
about MGP ignition system components. These components include the gas 
valves, the pilot assembly, the power supply, and the battery pack.
    Issue 11: DOE seeks feedback regarding the average production 
volumes used in this analysis, and whether these values are 
representative of the MGP market.
    Issue 12: DOE requests feedback on the industry average 
manufacturer markup of 1.5 and whether this value is representative of 
the MGP market. Additionally, DOE requests feedback on whether the 
average manufacturer markups varies significantly across four groups: 
indoor vented gas log sets, other indoor vented decorative hearths, 
outdoor patio heaters; and outdoor decorative hearths.
    Issue 13: DOE seeks comment regarding the estimated MGP operating 
hours for standing pilots.
    Issue 14: DOE seeks comment regarding the estimated MGP lifetime, 
particularly if there are differences among product categories (such as 
indoor/outdoor products).
    Issue 15: DOE seeks comment regarding the estimated MGP repair 
costs.
    Issue 16: DOE seeks comment regarding the estimated distribution of 
ignition types among MGPs and the estimated fraction of products with 
main burners that are manually lit.
    Issue 17: DOE seeks comment regarding the estimated shipments of 
MGPs and the market shares of different MGP product categories. In 
particular, DOE requests comment on the market share of portable 
propane outdoor units so that they may be excluded from the analysis.

V. Approval of the Office of the Secretary

    The Secretary of Energy has approved publication of this 
notification of the availability of the preliminary technical support 
document and request for comment.
Signing Authority
    This document of the Department of Energy was signed on November 7, 
2022, by Francisco Alejandro Moreno, Acting 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 November 10, 2022.
Treena V. Garrett,
Federal Register Liaison Officer, U.S. Department of Energy.
[FR Doc. 2022-24925 Filed 11-16-22; 8:45 am]
BILLING CODE 6450-01-P