[Federal Register Volume 61, Number 209 (Monday, October 28, 1996)]
[Rules and Regulations]
[Pages 55563-55564]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-27528]


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FEDERAL TRADE COMMISSION

16 CFR Part 305


Rule Concerning Disclosures Regarding Energy Consumption and 
Water Use of Certain Home Appliances and Other Products Required Under 
the Energy Policy and Conservation Act (``Appliance Labeling Rule'')

AGENCY: Federal Trade Commission.

ACTION: Final rule.

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SUMMARY: The Federal Trade Commission (``Commission'') announces that 
the current ranges of comparability for refrigerators, refrigerator-
freezers, and freezers will remain in effect until new ranges of 
comparability are published for these products. The Commission also 
announces that manufacturers must continue to base the disclosures of 
estimated annual operating cost

[[Page 55564]]

required at the bottom of EnergyGuides for refrigerators, refrigerator-
freezers, and freezers on the 1995 Representative Average Unit Costs of 
Energy for electricity (8.67 cents per kilowatt-hour) that was 
published by the Department of Energy (``DOE'') on January 5, 1995,\1\ 
and by the Commission on February 17, 1995.\2\

    \1\ 60 FR 1773.
    \2\ 60 FR 9295.
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EFFECTIVE DATE: October 28, 1996.

FOR FURTHER INFORMATION CONTACT: James Mills, Attorney, Division of 
Enforcement, Federal Trade Commission, Washington, DC 20580 (202-326-
3035).

SUPPLEMENTARY INFORMATION: The Appliance Labeling Rule (``Rule'') was 
issued by the Commission in 1979 \3\ in response to a directive in the 
Energy Policy and Conservation Act of 1975.\4\ The Rule covers eight 
categories of major household appliances: refrigerators and 
refrigerator-freezers, freezers, dishwashers, clothes washers, water 
heaters, room air conditioners, furnaces, and central air conditioners. 
The Rule also covers pool heaters \5\ and contains requirements that 
pertain to fluorescent lamp ballasts,\6\ certain plumbing products,\7\ 
and certain lighting products.\8\
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    \3\ 44 FR 66466 (Nov. 19, 1979).
    \4\ 42 U.S.C. 6294. The statute also requires DOE to develop 
test procedures that measure how much energy the appliances use, and 
to determine the representative average cost a consumer pays for the 
different types of energy available.
    \5\ 59 FR 49556 (Sept. 28, 1994).
    \6\ 54 FR 28031 (July 5, 1989).
    \7\ 58 FR 54955 (Oct. 25, 1993).
    \8\ 59 FR 25176 (May 13, 1994, eff. May 15, 1995).
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    The Rule requires manufacturers of all covered appliances and pool 
heaters to disclose specific energy consumption or efficiency 
information (derived from the DOE test procedures) at the point of sale 
in the form of an ``EnergyGuide'' label and in catalogs. It also 
requires manufacturers of furnaces, central air conditioners, and heat 
pumps either to provide fact sheets showing additional cost 
information, or to be listed in an industry directory showing the cost 
information for their products. The Rule requires that manufacturers 
include, on labels and fact sheets, an energy consumption or efficiency 
figure and a ``range of comparability.'' This range shows the highest 
and lowest energy consumption or efficiencies for all comparable 
appliance models so consumers can compare the energy consumption or 
efficiency of other models (perhaps competing brands) similar to the 
labeled model. The Rule requires that manufacturers also include, on 
labels for some products, a secondary energy usage disclosure in the 
form of an estimated annual operating cost based on a specified DOE 
national average cost for the fuel the appliance uses.
    Section 305.8(b) of the Rule requires manufacturers, after filing 
an initial report, to report annually (by specified dates for each 
product type \9\) the estimated annual energy consumption or energy 
efficiency ratings for the appliances derived from tests performed 
pursuant to the DOE test procedures. Because manufacturers regularly 
add new models to their lines, improve existing models, and drop 
others, the data base from which the ranges of comparability are 
calculated is constantly changing. Under Sec. 305.10 of the Rule, to 
keep the required information on labels consistent with these changes, 
the Commission publishes new ranges (but not more often than annually) 
if an analysis of the new information indicates that the upper or lower 
limits of the ranges have changed by more than 15%. Otherwise, the 
Commission publishes a statement that the prior ranges remain in effect 
until new ranges of comparability are published.
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    \9\ Reports for refrigerators, refrigerator-freezers, and 
freezers are due August 1.
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    The annual submissions of data for refrigerators, refrigerator-
freezers, and freezers have been made and have been analyzed by the 
Commission. The ranges of comparability for these products have not 
changed by more than 15% from the current ranges for refrigerators, 
refrigerator-freezers, and freezers, which were published on November 
13, 1995, and became effective on February 12, 1996.\10\ Therefore, the 
current ranges will remain in effect until new ranges of comparability 
are published for refrigerators, refrigerator-freezers, and freezers. 
As of the effective date of the current ranges (February 12, 1996), the 
disclosures of estimated annual operating cost required at the bottom 
of EnergyGuides for refrigerators, refrigerator-freezers, and freezers 
must be based on the 1995 Representative Average Unit Costs of Energy 
for electricity (8.67 cents per kilowatt-hour) that was published by 
DOE on January 5, 1995,\11\ and by the Commission on February 17, 
1995.\12\ Because the current ranges will remain in effect until new 
ranges are published, this requirement to use the 1995 DOE cost for 
electricity (8.67 cents per kilowatt-hour) also will remain in effect 
until new ranges of comparability are published for refrigerators, 
refrigerator-freezers, and freezers.
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    \10\ 60 FR 56945.
    \11\ 60 FR 1773.
    \12\ 60 FR 9295.
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List of Subjects in 16 CFR Part 305

    Advertising, Energy conservation, Household appliances, Labeling, 
Reporting and recordkeeping requirements.

Authority

    The authority citation for Part 305 continues to read as follows:

    Authority: 42 U.S.C. 6294.

    By direction of the Commission.
Donald S. Clark,
Secretary.
[FR Doc. 96-27528 Filed 10-25-96; 8:45 am]
BILLING CODE 6750-01-M