[Federal Register Volume 63, Number 75 (Monday, April 20, 1998)] [Rules and Regulations] [Pages 19397-19399] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 98-10391] ======================================================================= ----------------------------------------------------------------------- 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. ----------------------------------------------------------------------- SUMMARY: The Federal Trade Commission amends its Appliance Labeling Rule by publishing new ranges of comparability to be used on required labels for clothes washers. DATES: Effective: August 12, 1998. Compliance: Manufacturers of clothes washers must begin using these revised ranges on labels on clothes washers manufactured on or after August 12, [[Page 19398]] 1998. Manufacturers may begin using these revised ranges on labels on clothes washers manufactured on or after July 1, 1998, in order to comply with the July 1, 1998 mandatory effective date of recent amendments to the Department of Energy's (``DOE'') test procedure for clothes washers, 62 FR 45484 (August 27, 1997). 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, 44 FR 66466 (Nov. 19, 1979), in response to a directive in the Energy Policy and Conservation Act of 1975.\1\ The Rule covers eight categories of major household appliances. Clothes washers are among those categories. The Rule also covers pool heaters, 59 FR 49556 (Sept. 28, 1994), and contains requirements that pertain to fluorescent lamp ballasts, 54 FR 28031 (July 5, 1989), certain plumbing products, 58 FR 54955 (Oct. 25, 1993), and certain lighting products, 59 FR 25176 (May 13, 1994, eff. May 15, 1995). --------------------------------------------------------------------------- \1\ 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. --------------------------------------------------------------------------- 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 certain information annually to the Commission by specified dates for each product type.\2\ These reports, which are to assist the Commission in preparing the ranges of comparability, contain 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. To keep the required information consistent with these changes, under Section 305.10 of the Rule, the Commission will publish 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 will publish a statement that the prior ranges remain in effect for the next year. --------------------------------------------------------------------------- \2\ Reports for clothes washers are due March 1. --------------------------------------------------------------------------- On August 27, 1997, DOE revised its test procedure for the clothes washer category. 62 FR 45,484. Manufacturers of clothes washers have made the required annual submissions of data for this product category, and the data are based on the revised version of the test, which will become effective July 1, 1998. In analyzing the date, the Commission has found that a significant number of the upper and lower limits of the ranges have changed by more than 15%. Accordingly, the Commission is publishing new ranges of comparability for the clothes washer category. These ranges will supersede the current ranges for clothes washers, which were published originally on May 14, 1997 (62 FR 26,383), and later corrected on August 6, 1997 (62 FR 42,209), and which became effective August 12, 1997. Section 326(c) of EPCA, 42 U.S.C. 6296, states that the Commission may not require labels to be changed to reflect revisions to the ranges of comparability more often than annually. Thus, the effective date of today's revision to the ranges of comparability for clothes washers is August 12, 1998, one day beyond a year from the effective date of the previous ranges. The Commission notes, however, that manufacturers of clothes washers may begin using these revised ranges on labels on clothes washers manufactured on or after July 1, 1998, in order to comply with the mandatory effective date of the amended DOE test procedure for those products. In consideration of the foregoing, the Commission revises Appendix F of its Appliance Labeling Rule by publishing the following ranges of comparability for use in required disclosures (including labeling) for clothes washers manufactured on or after August 12, 1998. In addition, as of this effective date, manufacturers must base the disclosures of estimated annual operating cost required at the bottom of the EnergyGuide for clothes washers on the 1998 Representative Average Unit Costs of Energy for electricity (8.42 cents per kiloWatt-hour) and natural gas (61.9 cents per therm) that were published by DOE on December 8, 1997, 62 FR 64,574, and by the Commission on December 29, 1997, 62 FR 67,560. On July 1, 1998, manufacturers may voluntarily begin basing the disclosures of estimated annual operating cost required at the bottom of the EnergyGuide for clothes washers on the 1998 Representative Average Unit Costs of Energy for electricity and natural gas. Regulatory Flexibility Act The provisions of the Regulatory Flexibility Act relating to a Regulatory Flexibility Act analysis (5 U.S.C. 603-604) are not applicable to this proceeding because the amendments do not impose any new obligations on entities regulated by the Appliance Labeling Rule. Thus, the amendments will not have a ``significant economic impact on a substantial number of small entities'' (5 U.S.C. 605). The Commission has concluded, therefore, that a regulatory flexibility analysis is not necessary, and certifies, under Section 605 of the Regulatory Flexibility Act (5 U.S.C. 605(b)), that the amendments announced today will not have a significant economic impact on a substantial number of small entities. Paperwork Reduction Act The Paperwork Reduction Act (``PRA''), 44 U.S.C. 3501 et seq., requires government agencies, before promulgating rules or other regulations that require ``collections of information'' i.e., recordkeeping, reporting, or third-party disclosure requirements), to obtain approval from the Office of Management and Budget (``OMB''), 44 U.S.C. 3502. The Commission currently has OMB clearance for the Rule's information collection requirements (OMB No. 3084-0069). The amendment will not impose any new information collection requirements. Instead, it will provide manufacturers with revised ranges of comparability to use the EnergyGuide labels already required by the Rule. [[Page 19399]] List of Subjects in 16 CFR Part 305 Advertising, Energy conservation, Household appliances, Labeling, Reporting and recordkeeping requirements. Accordingly, 16 CFR Part 305 is amended as follows: PART 305--[AMENDED] 1. The authority citation for Part 305 continues to read as follows: Authority: 42 U.S.C. 6294. 2. Appendix F to Part 305 is revised to read as follows: Appendix F to Part 305--Clothes Washers Range Information: ``Compact'' includes all household clothes washers with a tub capacity of less than 1.6 cu. ft. or 13 gallons of water. ``Standard'' includes all household clothes washers with a tub capacity of 1.6 cu. ft. or 13 gallons of water or more. ------------------------------------------------------------------------ Range of estimated annual energy consumption (kWh/yr.) Capacity ------------------------------- Low High ------------------------------------------------------------------------ Compact: Top Loading......................... 592 607 Front Loading....................... (*) (*) Standard: Top Loading......................... 294 1231 Front Loading....................... 241 318 ------------------------------------------------------------------------ (*) No data submitted. By direction of the Commission. Donald S. Clark, Secretary. [FR Doc. 98-10391 Filed 4-17-98; 8:45 am] BILLING CODE 6750-01-M