Commercial Refrigerators and Freezers Efficiency Standards, Savings, and Cost RTF Meeting January 5th, 2010 (continued from July 1, 2008 meeting, with more Cost discussion )

Background Model Variations Where savings come from Door Type Sold Door Glass Door Combination Temperature Refrigerator Freezer Configuration Standard Chest Aesthetics Standard Line Specification Line Where savings come from Improved face frame design Lower wattage anti-sweat heaters High efficiency evaporator and condenser fan motors Higher efficiency compressor Optimized refrigeration system design Improved insulation Improved glass doors

Old & New Efficiency Standards Federal Minimum set at CEE Tier 1 (old Energy Star Standard) Effective Jan 2010 (OR & WA min. standard was already in effect) New Energy Star 2.0 Standard Effective Jan 2010 for all equipment (early start April 2009 for some equipment types)

Energy Savings Analysis Savings = Average “Market” Energy Use – Average Energy Star Energy Use Energy Use Based on Oct 2009 CEE List of Equipment, filtered for unique models Solid and Glass Door Refrigerators Solid Door Freezers List Used in EPA analysis of Energy Star Standard (NR Canada and Mfgrs) Glass Door Freezers Chest Freezers and Refrigerators Assumes each unique model on the list gets equal weighting in the “market”

Including these in the average skews the savings No units > 20 cu.ft. meet Energy Star

Off the Chart to 6,091 kWh/year

Cost Previous version of RTF assumptions used a 3 year payback as the basis for the incremental cost. Data Sources for Updating Costs ADL Report – Re-design for Efficiency at Manufacturer Level PG&E Workpaper - Catalog/online price research Online Data Search Food Technology Service Center CEE Analysis

Cost Data Source #1 Re-design for Efficiency at Manufacturer Level In 2002, ADL/DOE/Delfield re-designed the Delfield “Vantage” refrigerator line. $0 incremental cost (actually less expensive to produce than the baseline model) 68% energy savings over baseline model

Cost Data Source #2 PG&E Workpaper (Catalog price research) Solid Door Refrigerators Solid Door Freezers Glass Door Refrigerators Note: “Cost” is 60% of manufacturer list price. “Average Cost” and “Minimum Cost” are normalized by volume. “Energy Star” = EStar V.1

Cost Data Source #3 Online Price data Notes Data from Manufacturer’s Published List Prices 2003 Traulsen Price List 2008 Beverage Air Catalog “Cost” is 60% of manufacturer list price. “Avg Cost” is size (cu.ft.) normalized average.

Cost Data Source #4 | Solid Door Refr | Glass Door Refr | Solid Door Freezer | Glass Door Freezer |

Cost Data Source #5 Cost = 50% of list price. Incremental cost = difference in cost between a baseline unit and a unit meeting the Energy Star 2.0 spec. CEE data adjusted to assume entire market for baseline cost.

Cost Summary & Conclusion Summary: Cost varies dramatically through various data sources. Difficult to compare equipment with like feature sets. Proposal: Use average cost by refrigerator/freezer and door type categories. Data Source Key: ADL Report – Re-design for Efficiency at Manufacturer Level PG&E Workpaper - Catalog/online price research Online Data Search Food Technology Service Center CEE Analysis

Recommendation Decision??? Efficiency standard becomes Energy Star 2.0 (no longer CEE Tier II). Update Savings based on new Energy Star Standards, using available equipment lists to categorize the market. Use average incremental cost from all sources. Measure Life = 12 years. Decision???