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 <subject>Energy consumption</subject>
 <subject>Energy costs</subject>
 <subject>Energy efficiency</subject>
 <subject>Federal regulations</subject>
 <subject>Internal controls</subject>
 <subject>Labeling law</subject>
 <subject>Monitoring</subject>
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<titleInfo>
 <title>Energy Efficiency: Opportunities Exist for Federal Agencies to Better Inform Household Consumers</title>
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<abstract>Household energy use accounts for nearly one-fourth of all energy
consumed in the United States, amounting to more than $200	 
billion per year spent by consumers. Recent increases in energy  
prices have heightened consumers&apos; interest in making their	 
households more energy efficient. To this end, the federal	 
government manages two key efforts--EnergyGuide and Energy	 
Star--to inform consumers about the energy consumed by certain	 
household products. EnergyGuide is a mandatory labeling program  
created under the Energy Policy and Conservation Act of 1975	 
(EPCA) and administered by the Federal Trade Commission (FTC)	 
with assistance from the Department of Energy (DOE). It requires 
manufacturers to label and prominently display information about 
the energy consumption and annual energy costs of 11 categories  
of household products. In recent years, manufacturers have used  
adhesive backed labels adhered to appliances and so-called &quot;hang 
tags&quot; loosely attached to the interior or exterior of appliances.
In its August 2007 revisions to the rule, FTC, among other	 
things, prohibited the use of hang tags on the exterior of	 
appliances, but continues to allow them on the inside. The law	 
requires retailers to provide this information in catalogs	 
offering products for sale. In 2000, FTC interpreted its	 
authority over catalogs to encompass Web sites and required	 
retailers to provide the same information on Web sites where	 
consumers may purchase such products. The law prohibits retailers
from removing labels placed by manufacturers or making them	 
illegible. Also, EPCA requires DOE, in consultation with FTC, to 
study new product categories to determine whether they should be 
added to the EnergyGuide program and to report annually on the	 
energy savings of the program. Energy Star is a voluntary	 
labeling program created in response to the Clean Air Act	 
amendments of 1990, and the Energy Policy Act of 1992 and jointly
administered by the Environmental Protection Agency (EPA) and	 
DOE. In general, it is designed to identify models for 26	 
categories of household products that, without sacrificing	 
performance, are the most energy efficient (the top 25 percent). 
Manufacturers are permitted to apply the Energy Star logo to	 
products that the manufacturers identify are qualified, based on 
EPA or DOE criteria. Standards for internal control in the	 
federal government require federal agencies, including FTC, EPA, 
and DOE, to establish goals, measure performance, and report	 
program costs and accomplishments in order to improve management 
and program effectiveness. In this context, Congress asked us to 
analyze the EnergyGuide and Energy Star programs to determine (1)
how these programs have changed over time, (2) how federal	 
agencies verify the accuracy of the energy consumption estimates 
for household products covered by these programs, (3) the actions
federal agencies take to ensure that the EnergyGuide is available
to consumers and that the Energy Star logo is not misused, and	 
(4) how federal agencies measure the effectiveness and cost of	 
these programs.</abstract>
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<identifier type="preferred citation">GAO-07-1162</identifier>
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 <searchTitle>GAO-07-1162; Energy Efficiency: Opportunities Exist for Federal Agencies to Better Inform Household Consumers;
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<subject>
 <topic>Energy consumption</topic>
 <topic>Energy costs</topic>
 <topic>Energy efficiency</topic>
 <topic>Federal regulations</topic>
 <topic>Internal controls</topic>
 <topic>Labeling law</topic>
 <topic>Monitoring</topic>
 <topic>Product evaluation</topic>
 <topic>Program evaluation</topic>
 <topic>Standards</topic>
</subject>
<relatedItem type="isReferencedBy">
 <titleInfo>
  <title>United States Public Law 163 (94th Congress)</title>
</titleInfo>
 <identifier type="public law citation">Public Law 94-163</identifier>
</relatedItem>
<relatedItem type="isReferencedBy">
 <titleInfo>
  <title>United States Public Law 58 (109th Congress)</title>
</titleInfo>
 <identifier type="public law citation">Public Law 109-58</identifier>
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