SENATE BILL REPORT

SHB 1100

As Reported by Senate Committee On:

Energy, Environment & Telecommunications, March 31, 2015

Title: An act relating to creating new appliance efficiency standards.

Brief Description: Creating new appliance efficiency standards.

Sponsors: House Committee on Technology & Economic Development (originally sponsored by Representatives Morris, S. Hunt, Hudgins, Ormsby and Fey).

Brief History: Passed House: 2/12/15, 50-47.

Committee Activity: Energy, Environment & Telecommunications: 3/18/15, 3/24/15, 3/31/15 [DPA].

Majority Report: Do pass as amended.

Signed by Senators Ericksen, Chair; Sheldon, Vice Chair; McCoy, Ranking Minority Member; Braun, Brown, Cleveland, Habib, Honeyford and Ranker.

Staff: Jan Odano (786-7486)

Background: Efficiency Standards for Electrical Products. Federal law generally allows states to establish minimum energy efficiency standards for electrical products that are not currently addressed in federal law. The National Appliance Energy Conservation Act of 1987 established minimum efficiency standards for many common household appliances. Congress set initial federal energy efficiency standards and established schedules for the U.S. Department of Energy to review and update these standards. The Energy Policy Act of 1992 (EPAct) added standards for some fluorescent and incandescent reflector lamps, plumbing products, electric motors, commercial water heaters, and heating, ventilation, and air conditioning systems. EPAct also allowed for the future development of standards for many other products.

California's Appliance Efficiency Regulations include standards for both federally regulated appliances and non-federally regulated appliances. The standards within these regulations apply to appliances that are sold or offered for sale in California, except those sold wholesale in California for final retail sale outside the state and those designed and sold exclusively for use in recreational vehicles or other mobile equipment.

Washington law sets minimum energy efficiency standards for several categories of electrical products sold, offered for sale, or installed in the state, including the following:

• automatic commercial ice cube machines;

• commercial refrigerators and freezers;

• certain incandescent reflector lights;

• hot water dispensers and mini-tank electric water heaters;

• wine chillers used by individuals; and

• commercial hot-food holding cabinets.

The Department of Commerce (Commerce) may recommend updates to the energy efficiency standards and test methods for products listed under the energy efficiency laws. Commerce may also recommend establishing state standards for additional non-federally covered products. In making its recommendations, Commerce must use the following criteria: (1) multiple manufacturers produce products that meet the proposed standard at the time of recommendation; (2) products meeting the proposed standard are available at the time of recommendation; (3) the products are cost effective to consumers on a life-cycle cost basis using average Washington resource rates; (4) the utility of the energy-efficient product meets or exceeds the utility of the comparable product available for purchase; and (5) the standard exists in at least two other states in the U.S.

Air-Conditioning, Heating, and Refrigeration Institute (AHRI). The AHRI is the global trade association representing manufacturers of heating, ventilating, air-conditioning, refrigeration, and water heating equipment. The AHRI provides a certification program for heating, water heating, ventilation, air conditioning, and commercial refrigeration equipment.

American Society of Heating, Refrigerating and Air-Conditioning Engineers (ASHRAE). The ASHRAE, founded in 1894, develops industry standards in the areas of heating, ventilating, air-conditioning, and refrigerating.

American National Standards Institute (ANSA). The ANSI is a not-for-profit organization that produces voluntary consensus standards and conformity assessment systems for a variety of industry sectors.

Summary of Bill (Recommended Amendments): Efficiency Standards for Battery Charger Systems, Battery Backup Supplies, and Uninterruptible Power Supplies. Minimum efficiency standards for consumer and non-consumer battery charger systems, battery backup supplies, and uninterruptible power supplies are established. The minimum efficiency standards for these products are incorporated by reference to the California Code of Regulations Title 20, section 1605, as of the effective date of the bill. Large and small battery charger systems must meet energy efficiency requirements as specified in the California Code of Regulations Title 20, section 1604.

Large and small battery charger systems, battery backup supplies, and uninterruptible power supplies manufactured after January 1, 2017, may not be sold or offered for sale or installed for compensation in the state on or after January 1, 2018, unless the new product meets or exceeds the efficiency standards.

Certain battery charger systems are exempt from meeting the efficiency standard for battery charger systems. They include battery charger systems for the following:

• motor vehicles powered by an electric motor drawing current from rechargeable storage batteries, fuel cells, or other portable sources of electrical current, autoettes, golf carts, personal assistive electric mobility devices, other low-speed vehicles, and larger industrial motive equipment;

• certain medical devices approved for human use under the federal Food, Drug, and Cosmetic Act and listed and approved by the U.S. Food and Drug Administration as a medical device;

• a battery or batteries in an illuminated exit sign; and

• certain stationary power applications.

Battery analyzers and voltage-independent or voltage and frequency-independent uninterruptible power supplies are also exempt.

EFFECT OF CHANGES MADE BY ENERGY, ENVIRONMENT & TELECOMMUNICATIONS COMMITTEE (Recommended Amendments): The provisions regarding energy efficiency standards for quartz halogen, small diameter directional and state-regulated LED lamps, and heating, ventilating, and air-conditioning filters are deleted. The exemption to the energy efficiency standards is extended to chargers for autoettes, electric personal assistive mobility devices, golf carts, and larger industrial motive equipment.

Appropriation: None.

Fiscal Note: Available.

Committee/Commission/Task Force Created: No.

Effective Date: Ninety days after adjournment of session in which bill is passed.

Staff Summary of Public Testimony on Substitute House Bill: PRO: This is one of the easiest and cheapest ways to achieve energy efficiency. This would provide ratepayer savings across the state. This would result in real cost and energy savings. The standards should be adopted in cooperation with California and British Columbia. There are 30 million battery charging units within the state and this would result in substantial savings. Approximately two-thirds of energy is wasted through the charging process. The standards have a favorable payback within Washington.

CON: There should be a national standard instead of a patchwork of state regulations. It is difficult to work in commerce with products needing to comply with different state, national, and international standards.

Persons Testifying: PRO: Chuck Murray, Tony Usibelli, Energy Office, Commerce; JJ McCoy, NW Energy Coalition.

CON: Charlie Brown, Consumer Electronics Assn.

Persons Signed in to Testify But Not Testifying: No one.