1. ENERGY STAR Criteria for Clothes Washers Overview of ENERGY STAR Criteria Setting Process and History of Clothes Washer Criteria Richard H. Karney, P.E. U.S. Department of Energy August 31, 2004

2. ENERGY STAR Purpose Preventing pollution through energy savings Section 103 of the Clean Air Act as amended in 1990 Promoting development and commercialization of energy efficient appliances Section 127 of the Energy Policy Act of 1992 Legislation directs agencies to establish voluntary programs that promote products more efficient than minimum Federal or State codes

3. ENERGY STAR Fundamentals Voluntary Program Reduces Energy Use Prevents Pollution Profitable for Partners

4. Theory of Criteria Setting R&D Building Codes and Standards Increasing Energy Efficiency (Metrics) Number of Unit Sales ENERGY STAR Market Transformation

5. ENERGY STAR Criteria Energy Efficiency –product should be among the most efficient in its category Commercial Availability –must be readily available in the market, cannot rely on proprietary technology owned by one manufacturer Cost effectiveness of price premium –if there is a premium, should be justified to the consumer based on cost savings or other benefits Performance –qualified models must perform as well or better than other models on the market

6. Criteria Revision Process DOE maintains the ENERGY STAR Criteria and reserves the right to change the criteria at any time should technological and/or market changes affect its usefulness or effectiveness. Changes can be triggered by revisions to Federal standards or market saturation. DOE will notify all ENERGY STAR partners and stakeholders by e-mail to announce the launch of a revision process, provide initial analysis or proposal of those requirements are targeted for potential revision, and call for comments. DOE will hold a stakeholder meeting. All formal comments will be reviewed and considered by DOE. All draft criteria revisions, announcements, partner and stakeholder comments, partner meeting minutes and presentations will be posted on the ENERGY STAR web site.

7. ENERGY STAR Clothes Washer Criteria History 1987 – Congress passed the National Appliance Energy Conservation Act (NAECA) 1994 – First Federal clothes washer standard and test procedure adopted 1997 – ENERGY STAR program expanded to include residential clothes washers 2001 – ENERGY STAR clothes washer criteria changed to use Modified Energy Factor (MEF) instead of Energy Factor (EF) 2001 – ENERGY STAR clothes washer criteria expanded to include residential style commercial clothes washers 2004 – Federal standard shifts to MEF, ENERGY STAR criteria changes

8. ENERGY STAR Clothes Washer Criteria Levels Federal StandardENERGY STAR Criteria 1997Minimum EF of 1.18Minimum EF of 2.50 January 1, 2001Minimum EF of 1.18Minimum MEF of 1.26 January 1, 2004Minimum MEF of 1.04Minimum MEF of 1.42 January 1, 2007Minimum MEF of 1.26To Be Determined

9. ENERGY STAR Qualified Clothes Washer Market Penetration YearENERGY STAR market penetration Estimated ENERGY STAR qualified clothes washer shipments 19960.07%4,358 19973.57%225,838 19985.73%391,646 19998.53%623,799 20009.30%697,035 200110.29%757,550 200216.30%1,262,435 200323.07%1,879,236 200425.58%*Not Available * 2004 market penetration is quarters one and two.

10. Next Steps Hold Stakeholder Meeting Collect Comments (September 17, 2004) Analyze Comments Make Draft Determination (if revision warranted) Collect Comments on Draft Issue Final Determination and Effective Date