Building Technologies Program eere.energy.gov 1 Public Service of Colorado Ponnequin Wind Farm 

# BUILDING TECHNOLOGIES PROGRAM

Framework Document Public Meeting on Energy Conservation Standards for Electric Motors James Raba Department of Energy Energy Efficiency & Renewable Energy ElecMotors -2010 - STD- 0027@ee.doe.gov October 18, 2010Building Technologies Program eere.energy.gov 2 

# • Introductions • Role of the Facilitator • Ground Rules (norms)

– Listen as an ally

– Use short, succinct statements/keep to the point

– Hold sidebar conversations outside the room

– Focus on issues, not personalities

– One person speak at a time (raise hand to be recognized; state your name for the record)

– Set cell phones to silent/vibrate 

# • Housekeeping Items 

# Welcome and IntroductionBuilding Technologies Program eere.energy.gov 3 

# Morning Agenda 9:00 – 9:05 am 9:05 – 9:20 am 9:20 – 9:40 am 9:40 – 9:50 am 9:50 – 10:15 am 10:15 – 10:30 am 10:30 – 11:00 am 11:00 – 11:45 a m 11:45 – 12:45 pm Welcome Introductions and Agenda Review Opening Remarks Regulatory History Rulemaking Overview and Scope of Coverage Break Market and Technology Assessment and Screening Analysis Engineering Analysis Break for lunchBuilding Technologies Program eere.energy.gov 4 

# Afternoon Agenda 12:45 – 1:00 pm 1:00 – 1:15 pm 1:15 – 1:45 pm 1:45 – 2:15 pm 2:15 – 2:30 pm 2:30 – 2:40 pm 2:40 – 3:10 pm 3:10 – 3:55 pm Energy Use Analysis Markups for Equipment Price Determination Life - Cycle Cost and Payback Period Analysis Shipments Analysis, National Impact Analysis, and Life - Cycle Cost Subgroup Analysis Break Manufacturer Impact Analysis Utility Impact Analysis, Employment Impact Analysis, Environmental Assessment, and Regulatory Impact Analysis Other issues and comments; closing remarksBuilding Technologies Program eere.energy.gov 5 

# Interested Parties Opening Statements

• At this time DOE welcomes opening remarks on the framework document for electric motors.Building Technologies Program eere.energy.gov 6 

### Scope Preliminary Analysis NOPR Analyses Closing Remarks 

# Public Meeting Agenda

4 5 6 7 Regulatory History 2 Rulemaking Overview 3 1 IntroductionBuilding Technologies Program eere.energy.gov 7 

# Purpose of the Framework Document Public Meeting

• Present the procedural and analytical approaches to evaluate energy conservation standards for electric motors.

• Provide a forum for public discussion of rulemaking issues.

• Encourage interested parties to submit data, information, and written comments.

• Inform interested parties and facilitate the rulemaking process.Building Technologies Program eere.energy.gov 8 

# Request for Comment

Issue Box In the Rulemaking Framework Document for Electric Motors, DOE welcomes comment. Throughout this presentation, specific issues will be raised for discussion on slides such as this, **with identifying numbers corresponding to those in the Framework Document** . Nonetheless, comments concerning any part of the document or presentation are welcome.Building Technologies Program eere.energy.gov 9 

# Feedback Is Requested Especially on Items Identified in Framework Document



### • In all correspondence, please refer to the Electric Motors rulemaking by:

– Electric Motors Rulemaking,

– Docket Number EERE –2010–BT–STD–0027 , and

– Regulatory Identification Number (RIN) 1904-AC28
• Email : ElecMotors -2010 - STD - 0027@ee.doe.gov

• Comment period closes: October 28, 2010 Postal : Hand Delivery/Courier : Ms. Brenda Edwards U.S. Department of Energy Building Technologies Program, Mailstop EE -2J 1000 Independence Avenue, SW Washington, DC 20585 - 0121 Ms. Brenda Edwards U.S. Department of Energy Building Technologies Program, Suite 600 950 L’Enfant Plaza, SW Washington, DC 20024 Tel: 202 - 586 -2945Building Technologies Program eere.energy.gov 10 

### Scope Preliminary Analysis NOPR Analyses Closing Remarks 

# Public Meeting Agenda
1 Introduction

4 5 6 7 Regulatory History 2 Rulemaking Overview 3Building Technologies Program eere.energy.gov 11 

# Regulatory History

• Part A of the Energy Policy and Conservation Act (EPCA) of 1975 (Public Law 94 - 163)

– Established the “Energy Conservation Program for Consumer Products Other Than Automobiles.”

– Subsequent amendments to EPCA gave DOE the authority to regulate the energy efficiency of several types of equipment.



## • Energy Policy Act (EPACT) of 1992 (Public Law 102 - 486)

– Prescribed energy efficiency standards for certain commercial & industrial motors.Building Technologies Program eere.energy.gov 12 

# Regulatory History (Continued)

• Energy Independence and Security Act (EISA) of 2007 (Public Law 110 - 140)

– Updated the energy efficiency standards for electric motors established in EPACT 1992.

– Established energy efficiency standards for a larger scope of electric motors, not previously covered.



## • Today ...

– DOE begins the process to consider further amending the efficiency standards for electric motors.

– As per EPCA’s direction, DOE should publish a final rule determining whether to amend energy conservation standard for electric motors by December 19, 2012 .

– Any standards that DOE establishes would go into effect on December 19, 2015 .Building Technologies Program eere.energy.gov 13 

# Test Procedures

• On October 5, 1999, DOE published a final rule test procedure for electric motors. (64 Fed. Reg. 54114).

– IEEE Std 112 Test Method B and CSA C390 Test Method 1

– Established methods for compliance, including the use of an Alternative Efficiency Determination Method (AEDM). 

## • On December 22, 2008 DOE published a Notice of Proposed Rulemaking (NOPR) test procedure:

– Updated definitions of key terms and citations to industry standards incorporated by reference.Building Technologies Program eere.energy.gov 14 

# Test Procedures (cont’d)

• DOE is currently developing a Supplemental Notice of Proposed Rulemaking (SNOPR) primarily focused on updating various definitions and incorporations by reference related to the current test procedure.

– Until finalized, manufacturers are required to determine compliance using current test procedure.

– DOE is also considering updating the definitions of general purpose electric motor (subtype I), NEMA Design B general purpose electric motor, and fire pump motor.


## Item 1 DOE welcomes comment on any additional test procedures that should be considered or comments about the test procedures listed.Building Technologies Program eere.energy.gov 15 

### Scope Preliminary Analysis NOPR Analyses Closing Remarks 

# Public Meeting Agenda
1 Introduction

4 5 6 7 Regulatory History 2 Rulemaking Overview 3Building Technologies Program eere.energy.gov 16 

# EPCA Factors 42 U.S.C. 6295(o)(2)(B)( i ) directs DOE to consider seven factors when setting energy conservation standards for electric motors: EPCA Factors DOE Analysis 1. Economic impact on consumers and manufacturers Life - Cycle Cost Analysis Manufacturer Impact Analysis 2. Lifetime operating cost savings compared to increased cost for the product Life - Cycle Cost Analysis 3. Total projected energy savings National Impact Analysis 4. Impact on utility or performance Engineering Analysis Screening Analysis 5. Impact of any lessening of competition Manufacturer Impact Analysis 6. Need for national energy conservation National Impact Analysis 7. Other factors the Secretary considers relevant Environmental Assessment Utility Impact Analysis Employment Impact AnalysisBuilding Technologies Program eere.energy.gov 17 

## Stages for the Energy Conservation Standards for Electric Motors

Framework Document Public Meeting Points of Interested Parties Participation Milestones for DOE

Preliminary

Analysis

Public Meeting NOPR Public Meeting 2011 2014 2010 2012 2013 2015 2016Building Technologies Program eere.energy.gov 18 

# Framework Document
Framework Document Preliminary Analysis NOPR Final Rule Today 

## • Today’s public meeting covers the Framework Document for Electric Motors • Federal Register Notice of Public Meeting, 75 FR 59657, September 28, 2010.

– Gives notice of the public meeting and availability of the Framework Document being discussed today. 

## • Framework Document

– Provides an overview of the rulemaking process and encourages interested parties’ early participation.

– Encourages interested parties to submit comments by October 28, 2010 .

– The Framework Document and materials from today’s public meeting are available online: http://www1.eere.energy.gov/buildings/appliance_standards/commercial/electric_motor s.htmlBuilding Technologies Program eere.energy.gov 19 

# Steps in the Standards Rulemaking: Preliminary Analysis

Framework Document Preliminary Analysis NOPR Final Rule Effective Date

Market & Technology Assessment Screening Analysis Engineering Analysis Energy Use Characterization Shipments Analysis National Impact Analysis Markups for Product Price Determination Life - Cycle Cost and Payback Period AnalysisBuilding Technologies Program eere.energy.gov 20 

# Steps in the Standards Rulemaking: NOPR
Framework Document Preliminary Analysis NOPR Final Rule Effective Date

Manufacturer Impact Analysis Utility Impact Analysis Employment Impact Analysis Life-Cycle Cost Subgroup Analysis Environmental Assessment Regulatory Impact Analysis

Life-Cycle Cost & Payback Period Analyses National Impact Analysis Revise Preliminary Analysis

Engineering AnalysisBuilding Technologies Program eere.energy.gov 21 

# Analyses for Final Rule

Framework Document NOPR Final Rule

Revise NOPR Analyses Preliminary

AnalysisBuilding Technologies Program eere.energy.gov 22 

### Scope Preliminary Analysis NOPR Analyses Closing Remarks 

# Public Meeting Agenda
1 Introduction

4 5 6 7 Regulatory History 2 Rulemaking Overview 3Building Technologies Program eere.energy.gov 23 

# Electric Motors Related Statutory Definitions

 EISA 2007 establishes definitions for general purpose electric motor (subtype I) and general purpose electric motor (subtype II). (42 U.S.C. 6311(13))

 General purpose electric motor (subtype I) means any motor that meets the definition of “General Purpose” as established in the final rule issued by the DOE entitled “Energy Efficiency Program for Certain Commercial and Industrial Equipment: Test Procedures, Labeling, and Certification Requirements for Electric Motors” (10 CFR 431), as in effect on the date of enactment of EISA 2007. (42 U.S.C. 6311(13)(A))Building Technologies Program eere.energy.gov 24 

# Electric Motors Related Statutory Definitions (Continued)

• General purpose electric motor (subtype II) means motors incorporating the design elements of a general purpose electric motor (subtype I) that are configured as one of the following (42 U.S.C. 6311(13)(B)) :

– U - Frame motor

– Design C motor

– Closed - coupled pump motor

– Footless motor

– Vertical solid shaft normal thrust motor (tested in a horizontal configuration)

– 8 - pole motor (900 rpm)

– Poly- phase motor with voltage ≤ 600 V (other than 230 or 460 V)Building Technologies Program eere.energy.gov 25 

# DOE’s Electric Motors Related Definitions

• In March 2009, the EISA En Masse Technical Amendment codified a definition for general purpose electric motor (subtype I) to mean any motor designed in standard ratings with either:

– Standard operating characteristics and standard mechanical construction for use under usual service conditions (NEMA MG1 - 1993 paragraph 14.02) and without restriction to a particular type of application.

– Standard operating characteristics and standard mechanical construction for use under unusual service conditions (NEMA MG1 - 1993 paragraph 14.03) or for a particular type of application, and which can be used in most general purpose applications.Building Technologies Program eere.energy.gov 26 

# Electric Motor Categories & Current Standards Electric Motors General Purpose (Subtype I) Design A & B, foot mounted, open & enclosed 2, 4, 6 poles 1 – 200 hp NEMA Premium 

### General Purpose (Subtype II) U - Frame, Design C, Close coupled pump, Footless,

Vertical solid shaft, etc. 2, 4, 6, 8 poles 1 – 200 hp EPACT ‘92 

### NEMA Design B

2, 4, 6, 8 poles 201 – 500 hp

EPACT ‘92 

### Fire Pump Motors

2, 4, 6, 8 poles 1 – 500 hp EPACT ‘92Building Technologies Program eere.energy.gov 27 

# NEMA Design Characteristics

Source: http://www.allaboutcircuits.com/vol_2/chpt_13/7.html 

### • NEMA Design A – Normal starting torque, high starting current • NEMA Design B – Normal starting torque and current, most popular • NEMA Design C – High starting torque, used in crushers and conveyorsBuilding Technologies Program eere.energy.gov 28 

# Electric Motor Categories by NEMA Design

Design A

Design B Design C Vertical Solid Shaft Motors Closed- coupled Pump Motors
Fire Pump Motors T-Frame Motors U -Frame Motors 

## • DOE understands that not all types of motors or unique features are offered in all NEMA Design types.

DOE requests comment on whether the above diagram accurately depicts the design characteristics of the motors listed.Building Technologies Program eere.energy.gov 29 

### Scope NOPR Analyses Closing Remarks 

# Public Meeting Agenda
1 Introduction

4
6 7 Regulatory History 2 Rulemaking Overview 3 Preliminary Analysis 5Building Technologies Program eere.energy.gov 30 

# Steps in the Standards Rulemaking: Preliminary Analysis

Framework Document Preliminary Analysis NOPR Final Rule Effective Date

Screening Analysis Engineering Analysis Energy Use Characterization Shipments Analysis National Impact Analysis Markups for Equipment Price Determination Life - Cycle Cost and Payback Period Analysis Market & Technology AssessmentBuilding Technologies Program eere.energy.gov 31 

# Market and Technology Assessment Purpose • Characterize the markets, the electric motor industries, and the measures to improve efficiency Method • Identify and characterize manufacturers of electric motors; • Estimate shipments and trends in the market; • Identify regulatory and non - regulatory initiatives intended to improve the efficiency of the equipment covered under this rulemaking ; • Establish product classes; and • Identify technologies that could improve efficiency.Building Technologies Program eere.energy.gov 32 

## Relationship of Market and Technology Assessment to Other Analyses
Market and Technology Assessment **Product Classes Technology Options to improve efficiency**  Screening Analysis **Design Options to improve efficiency** Engineering AnalysisBuilding Technologies Program eere.energy.gov 33 

# Product Classes

• DOE is considering dividing electric motor product classes by:

– Horsepower Rating

– Pole Configuration

– Enclosure Type (Open vs. Enclosed)

– NEMA Design Letter (Design A & B vs. C)

– Frame Type (U vs. T)

– Vertical Solid Shaft Normal Thrust Motor

– Fire Pump Motor 

## • DOE establishes separate energy conservation standards for each product class . • DOE divides covered products into classes by:

– The type of energy used

– Capacity of the product or other performance - related features that justify different standard levels, such as features affecting consumer utility (42 U.S.C. 6295(q ))Building Technologies Program eere.energy.gov 34 

# Possible Electric Motor 

# P roduct Classes for Discussion

Motor Design Frame Horsepower Poles Enclosure Group 12/2010 Minimum Efficiency NEMA Design A & B U 1 -200 2, 4, 6,8 Open 1 EPACT Closed 2 T 1 -500 2, 4, 6, 8 Open 3 EPACT & EISA Closed 4 NEMA Design C T 1 -200 2, 4, 6, 8 Open 5 EPACT Closed 6 Vertical Solid Shaft Normal Thrust All 1 -200 2, 4, 6, 8 Open 7 EPACT Closed 8 Fire Pump All 1 -500 2, 4, 6, 8 Open 9 EPACT Closed 10 

## • DOE proposes to group motors differently than they are under current standards.Building Technologies Program eere.energy.gov 35 

# Considerations for Electric Motor P roduct Classes
• DOE initially believes that the following factors do not provide unique utility that affects efficiency, and therefore, does not consider them to be class - setting factors:

– Differences between NEMA Design A & B motors

– Whether a motor is a close - coupled pump motor

– Voltage

– Presence of mounting feet 

## Item 2 DOE welcomes interested party comment on the proposed product class - setting criteria outlined for this rulemaking. In particular, DOE is interested in feedback regarding the continued aggregation of NEMA Design A and Design B motors, the disaggregation of NEMA Design C motors from Design A and B motors, and the disaggregation of U - Frame motors, T- Frame motors, and vertical mount motors. Finally, DOE is also interested in its proposal to not use close - coupled pump design as a product class setting criterion.Building Technologies Program eere.energy.gov 36 

# Initial Technology Options for Electric Motors Type of Loss to Reduce Technology Option Applied
I2R Losses Use copper die- cast rotor cage Remove skew on conductor cage Increase cross - sectional area of rotor conductor bars Increase end ring size Increase the amount of copper wire in stator slots Increase the number and size of stator slots Decrease the radial air gap Core Losses Improve grades of electrical steel Use thinner steel laminations Consider fully-processed versus annealed steel laminations Add stack height ( i.e. , length, add electrical steel laminations) Use lamination materials with lower losses Use plastic bonded iron powder Friction and Windage Losses Use bearings and lubricant with lower losses Install a more efficient cooling system Stray-load Losses Any technology options to reduce stray-load losses 

## • DOE identifies technology options to improve efficiency by reducing losses.Building Technologies Program eere.energy.gov 37 

# Request for Comments Item 3 DOE requests comment on the technology options for reducing I 2 

## R losses. In particular, DOE understands that the 0.0125” small electric motor air gap may be different for electric motors and seeks comment on what an appropriate air gap may be for electric motors covered by this rulemaking. Item 4 DOE requests comment on the technology options for reducing core losses. In particular, DOE seeks comment on the most appropriate steels, both “conventional” and “exotic,” that it should consider in its analysis . Item 5 DOE seeks any information regarding recent developments of plastic iron powder technology and comments on whether DOE should consider it in its analysis for electric motors. Item 6 DOE requests comment on the technology options for reducing friction and windage losses. Item 7 DOE welcomes comment on the technology options identified in this section. DOE welcomes comment on whether there are other technology options that it should also consider.Building Technologies Program eere.energy.gov 38 

# Steps in the Standards Rulemaking: Preliminary Analysis

Framework Document Preliminary Analysis NOPR Final Rule Effective Date

Screening Analysis Engineering Analysis Energy Use Characterization Shipments Analysis National Impact Analysis Markups for Equipment Price Determination Life - Cycle Cost and Payback Period Analysis Market & Technology AssessmentBuilding Technologies Program eere.energy.gov 39 

# Screening Analysis

Impacts on health or safety Adverse impacts on product or equipment utility or availability to consumers Practicability to manufacture, install, and service Technological feasibility Purpose • Screen out technology options that DOE will not consider in the engineering analysis for electric motors. Approach • DOE will evaluate each technology option based on the following criteria:

Item 8 DOE welcomes comments on how the above four screening criteria might apply to the technology options discussed in the market and technology assessment.Building Technologies Program eere.energy.gov 40 

# Steps in the Standards Rulemaking: Preliminary Analysis

Framework Document Preliminary Analysis NOPR Final Rule Effective Date

Screening Analysis Engineering Analysis Energy Use Characterization Shipments Analysis National Impact Analysis Markups for Equipment Price Determination Life - Cycle Cost and Payback Period Analysis Market & Technology AssessmentBuilding Technologies Program eere.energy.gov 41 

# Goals of the Engineering Analysis

• A key factor in setting the standard is the increased cost of a more efficient product. • The Engineering Analysis determines the relationship between cost and efficiency. Rulemaking Analyses

• Life-Cycle Cost and Payback Period
• Manufacturer Impact Analysis
• Employment Impact Analysis Manufacturer Selling Price – Efficiency RelationshipManufacturerSelling Price
Efficiency LevelBuilding Technologies Program eere.energy.gov 42 

# Engineering Analysis Methodology  Choose product classes to be analyzed in the engineering analysis.  Define characteristics of models in each representative product class, which will serve as reference points to assess changes due to more stringent standard levels.  Identify electric motor models for testing and teardown from a database of commercially available electric motors.  Determine manufacturer production costs and selling prices for the different models of electric motors.  Develop candidate standard levels that span the range of electric motor efficiencies.  Scale results to product classes not analyzed. Scale Results Choose Representative Product Classes

Define Baseline Models Identify Electric Motor Models Develop Manufacturer Selling Price Develop Candidate Standard LevelsBuilding Technologies Program eere.energy.gov 43 

# Choose Representative Product Classes

• DOE will choose a subset of product classes called “representative product classes” to analyze in the engineering analysis and life - cycle cost analysis. • Representative product classes (highlighted below) are generally based on: • High volume products. • Ability to scale to other classes.

Scale Results Choose Representative Product Classes

Define Baseline Models Identify Electric Motor Models Develop Manufacturer Selling Price Develop Candidate Standard Levels Motor Design Frame Horsepower Poles Enclosure Group NEMA Design A & B U 1 -200 2, 4, 6,8 Open 1 Closed 2 T 1 -500 2, 4, 6, 8 Open 3 Closed 4 NEMA Design C T 1 -200 2, 4, 6, 8 Open 5 Closed 6 Vertical Solid Shaft Normal Thrust All 1 -200 2, 4, 6, 8 Open 7 Closed 8 Fire Pump All 1 -500 2, 4, 6, 8 Open 9 Closed 10Building Technologies Program eere.energy.gov 44 

# Choose Representative Product Classes

• DOE believes that because fire pump motors are a specific subset of NEMA Design B motors, analysis of a separate representative product class for those motors is not needed.

• The cost- efficiency relationship will be the same between fire pump and Design B motors, however, a separate economic analysis will be performed. • Because of the low number of operating hours for fire pump motors, DOE will complete the economic assessment using a reduced operating time.
Scale Results Choose Representative Product Classes

Define Baseline Models Identify Electric Motor Models Develop Manufacturer Selling Price Develop Candidate Standard LevelsBuilding Technologies Program eere.energy.gov 45 

# Define Baseline Models

• Define characteristics of models in each representative product class that will serve as reference points to assess changes due to energy conservation standards . • Typically, for product classes that have existing standards, the baseline model just meets the current energy conservation standard .

Scale Results Choose Representative Product Classes

Define Baseline Models Identify Electric Motor Models Develop Manufacturer Selling Price Develop Candidate Standard LevelsBuilding Technologies Program eere.energy.gov 46 

# Define Baseline Models

• Possible baseline models include: • PC Group 2 – Design B, U - Frame, 4- pole, 7.5 hp, Enclosed • PC Group 4 – Design B, T- Frame, 4- pole, 5 hp, Enclosed • PC Group 6 – Design C, T- Frame, 4- pole, 40 hp, Enclosed • PC Group 7 – Design B, Vertical Solid Shaft, 2 - pole, 20 hp, Open Scale Results Choose Representative Product Classes

Define Baseline Models Identify Electric Motor Models Develop Manufacturer Selling Price Develop Candidate Standard Levels Motor Design Frame Horsepower Poles Enclosure Group NEMA Design A & B U 1 -200 2, 4, 6,8 Open 1 Closed 2 T 1 -500 2, 4, 6, 8 Open 3 Closed 4 NEMA Design C T 1 -200 2, 4, 6, 8 Open 5 Closed 6 Vertical Solid Shaft Normal Thrust All 1 -200 2, 4, 6, 8 Open 7 Closed 8 Fire Pump All 1 -500 2, 4, 6, 8 Open 9 Closed 10Building Technologies Program eere.energy.gov 47 

# Identify Electric Motor Models

Item 10 DOE welcomes comment on whether it has identified the representative product classes appropriately. DOE also welcomes comments on the appropriate horsepower ratings, pole configurations, and motor enclosures to analyze for each of the proposed motor designs.

Scale Results Choose Representative Product Classes

Define Baseline Models Identify Electric Motor Models Develop Manufacturer Selling Price Develop Candidate Standard LevelsBuilding Technologies Program eere.energy.gov 48 

# Identify Higher Efficiency Electric Motor Models

• In identifying higher-than - baseline - efficiency electric motors to teardown and test, DOE will begin by utilizing a database of commercially- available electric motors.

• Higher efficiency models will be used to create cost vs. efficiency curves for each motor group. 

## • DOE will evaluate all design options that are commercially available or present in a working prototype, including proprietary designs and technologies. • Proprietary designs will only be considered if they do not present a unique path to a given efficiency level. Item 14 DOE welcomes comment on whether there are proprietary designs it should consider for any of the motor designs under consideration in this rulemaking and, if so, how DOE should acquire the cost data necessary for evaluating these designs. Scale Results Choose Representative Product Classes

Define Baseline Models Identify Electric Motor Models Develop Manufacturer Selling Price Develop Candidate Standard LevelsBuilding Technologies Program eere.energy.gov 49 

# Develop Manufacturer Selling Price

• Calculate manufacturer production cost (MPC) by disassembling multiple manufacturer’s electric motors that span a range of efficiency levels.

• Bill of materials (BOMs) describe the product in detail, including all manufacturing steps required to make and/or assemble each part.


## • Apply derived manufacturer markups to the MPCs • Calculate the manufacturer selling prices (MSPs). • Construct industry cost- efficiency curves.


## • DOE may supplement the findings from its tests through: • A review of data collected from manufacturers. • Interviews with manufacturers about techniques and costs used to improve efficiency. Scale Results Choose Representative Product Classes

Define Baseline Models Identify Electric Motor Models Develop Manufacturer Selling Price Develop Candidate Standard LevelsBuilding Technologies Program eere.energy.gov 50 

# Develop Manufacturer Selling Price

Scale Results Choose Representative Product Classes

Define Baseline Models Identify Electric Motor Models Develop Manufacturer Selling Price Develop Candidate Standard Levels 

## Item 12 DOE welcomes comment on the markup approach proposed for developing estimates of manufacturer selling prices. Item 13 DOE welcomes comment on the above described approach to determining the relationship between manufacturer selling price and motor efficiency.Building Technologies Program eere.energy.gov 51 

# Develop Candidate Standard Levels

• Develop candidate standard levels (CSLs) that span the range of electric motor efficiencies from the baseline to the maximum technologically feasible . • DOE is required to analyze maximum technologically feasible (“ max-tech ”) efficiency levels

– “Max available” may not correspond to “ max-tech ” if some design options are not yet commercially available.

– DOE will seek input from interested parties to develop a max-tech efficiency and cost . 

## • DOE may use software modeling to establish maxtech levels. Scale Results Choose Representative Product Classes

Define Baseline Models Identify Electric Motor Models Develop Manufacturer Selling Price Develop Candidate Standard LevelsBuilding Technologies Program eere.energy.gov 52 

# Develop Candidate Standard Levels

Scale Results Choose Representative Product Classes

Define Baseline Models Identify Electric Motor Models Develop Manufacturer Selling Price Develop Candidate Standard Levels 

## Item 9 DOE welcomes input from interested parties on a software package that would be appropriate for use in developing the max-tech models for each electric motor analyzed. Item 11 For each product class, DOE welcomes interested party comment on methods and approaches employed to improve the efficiency of the motors, including the max-tech model. Detailed information on the motor performance and the incremental manufacturing costs (e.g., material costs, labor costs, overhead costs (excluding depreciation), building conversion capital expenditures, tooling/equipment conversion capital expenditures associated with more efficient designs, research and development (R&D) expenses, and marketing expenses) would be useful.Building Technologies Program eere.energy.gov 53 Motor Design Frame Horsepower Poles Enclosure Group NEMA Design A & B U 1 -200 2, 4, 6,8 Open Scaled Closed Representative T 1 - 500 2, 4, 6, 8 Open Scaled Closed Representative NEMA Design C T 1 -200 2, 4, 6, 8 Open Scaled Closed Representative Vertical Solid Shaft Normal Thrust All 1 -200 2, 4, 6, 8 Open Representative Closed Scaled Fire Pump All 1 - 500 2, 4, 6, 8 Open Scaled Closed Scaled 

# Scale Results

• Scale analyses conducted on representative product classes to other product classes. • Due to the large number of product classes, DOE needs to scale across horsepower, poles, and enclosure type.

Scale Results Choose Representative Product Classes

Define Baseline Models Identify Electric Motor Models Develop Manufacturer Selling Price Develop Candidate Standard LevelsBuilding Technologies Program eere.energy.gov 54 

# Scale Results

Scale Results Choose Representative Product Classes

Define Baseline Models Identify Electric Motor Models Develop Manufacturer Selling Price Develop Candidate Standard Levels y = 18.013x- 0.2658 R 2 = 0.9817

y = 17.052x- 0.2727 R 2 = 0.9868 y = 23.364x- 0.2809 R 2 = 0.9708

1.0 10.0 100.0

1 10 100 10001/efficiency-1

Rated Electric Motor Horsepower EISA Open Motor 6 pole EISA Open Motor 4 pole EISA Open Motor 2 pole Power (EISA Open Motor 6 pole) Power (EISA Open Motor 4 pole) Power (EISA Open Motor 2 pole) 

### • Motor losses scale with horsepower according to a power law equation and can be predicted for different pole configurations.Building Technologies Program eere.energy.gov 55 

# Scale Results

Scale Results Choose Representative Product Classes

Define Baseline Models Identify Electric Motor Models Develop Manufacturer Selling Price Develop Candidate Standard Levels 

## Item 15 DOE welcomes comment from interested parties on the best methodology for scaling from the representative product classes to the remaining product classes, including the proposed methodology of using a power law function and an industry- accepted equation for motor losses to model the efficiency relationships established by EISA. Item 16 DOE also welcomes comment from interested parties on the best approach for scaling from open motors to enclosed motors (or vice versa).Building Technologies Program eere.energy.gov 56 

# Outside Regulatory Changes

• DOE takes into consideration the effects on manufacturers of other regulatory changes outside of the standards rulemaking process.

Item 17 DOE welcomes comment on whether there are outside regulatory changes that DOE should consider in its engineering analysis of electric motors.Building Technologies Program eere.energy.gov 57 

# Steps in the Standards Rulemaking: Preliminary Analysis

Framework Document Preliminary Analysis NOPR Final Rule Effective Date

Screening Analysis Engineering Analysis

Shipments Analysis National Impact Analysis Markups for Equipment Price Determination Life - Cycle Cost and Payback Period Analysis Energy Use Characterization Market & Technology AssessmentBuilding Technologies Program eere.energy.gov 58 

# Energy Use Analysis Purpose

• Develop annual energy use data for commercial and industrial electric motors based on field operating conditions. Method • DOE will develop average energy use values by using typical motor operating profiles associated to different applications (e.g., compressors, fans, pumps). • Develop distributions of electric motor operating hours and motor loading data. • Take into account operating variability by using distribution of operating hours and loading characteristics. • Include power factor effects on local power circuit.Building Technologies Program eere.energy.gov 59 

# Request for Comments Item 18 DOE seeks to identify and obtain detailed data on the typical applications and end - use profiles for the motors considered in this rulemaking. If the range of energy use determined for each product class is large enough, DOE will conduct a sensitivity analysis to determine how high and low estimates of energy use might impact the economic feasibility of any amended energy conservation standards. DOE welcomes recommendations on sources of data that would provide end - use operating profiles for each of the product classes covered under this rulemaking. Item 19 DOE welcomes comments on whether the end - use operating profiles are different for each of the product classes covered under this rulemaking, as well as how the profiles might be different.Building Technologies Program eere.energy.gov 60 

# Request for Comments (continued)

Item 20 DOE welcomes comments regarding motor repair practices and their impact on motor energy use. Item 21 DOE welcomes comment on other end - use issues that could impact the energy use analysisBuilding Technologies Program eere.energy.gov 61 

# Steps in the Standards Rulemaking: Preliminary Analysis

Framework Document Preliminary Analysis NOPR Final Rule Effective Date

Screening Analysis Engineering Analysis

Shipments Analysis National Impact Analysis Markups for Equipment Price Determination Life - Cycle Cost and Payback Period Analysis Energy Use Characterization Market & Technology AssessmentBuilding Technologies Program eere.energy.gov 62 

# Markups for Equipment Price Determination Purpose

• Determine consumer motor prices based on manufacturer costs, both for baseline and higher efficiency products. • Characterize motor distribution channels. Method • Identify distribution channels. • Estimate the consumer prices by applying markups (consisting of distribution channel markups and sales tax) to manufacturer selling price estimates. • Collect retail price data for validation purposes.Building Technologies Program eere.energy.gov 63 

# Inputs for Markups for Equipment Price Determination

• The engineering analysis will develop manufacturer markups. • U.S. Census Bureau data

– Manufacturing Industry Series data for calculating original equipment manufacturer (OEM) markups

– Business Expenditure Survey for calculating distributor markups. • RSMean data

– Electrical Cost Data for calculating contractor markups Manufacturer
OEM

Distributor Contractor
End userBuilding Technologies Program eere.energy.gov 64 

# Request for Comments

Item 22 DOE welcomes comment on the distribution chain for electric motors, the key stakeholders in those distribution chains, the typical markups applied by those stakeholders, and the overall markup from manufacturer selling price to consumer retail price.Building Technologies Program eere.energy.gov 65 

# Steps in the Standards Rulemaking: Preliminary Analysis

Framework Document Preliminary Analysis NOPR Final Rule Effective Date

Screening Analysis Engineering Analysis

Shipments Analysis National Impact Analysis Markups for Equipment Price Determination Life - Cycle Cost and Payback Period Analysis Energy Use Characterization Market & Technology AssessmentBuilding Technologies Program eere.energy.gov 66 

# Life - Cycle Cost and Payback Period Analysis Purpose • Assess the LCC impacts and PBP for the consumers of commercial and industrial electric motors under the considered efficiency levels. Method • LCC equals first costs plus the sum of annual operating costs discounted to a particular base year • Analysis will model the uncertainty and variability of inputs using Monte Carlo approach and probability distributions. • Analysis will be implemented in MS Excel® spreadsheet combined with Crystal Ball.® First Cost (Consumer Price +

Installation Cost) Operating Expenses Combine Changes in Costs LCC Results Convert to Present ValueBuilding Technologies Program eere.energy.gov 67 

# Life - Cycle Cost and Payback Period Analysis

Baseline Manufacturer Price Std-Level Manufacturer Price

Sales Tax Installation Cost Total Installed Cost

Energy Prices Energy Use Equipment Price

Lifetime Operating Expense Annual Energy Expense Lifetime Repair Cost Discount Rate Maintenance Cost Energy Price Trends Annual Operating Expense Payback Period Life-Cycle Cost Distribution

channel Markup From Engineering

Analysis (Price is a function of Efficiency)

From Markups for Equipment Price Determination

From Energy Use Analysis

(Use is a function of Efficiency)Building Technologies Program eere.energy.gov 68 

# Energy Prices

• Electricity prices are used to convert energy use to energy costs. • DOE will use projections of national average energy prices for commercial and industrial customers – from the most recent EIA Annual Energy Outlook (AEO) – to forecast future energy prices for the LCC analysis. • DOE also intends to survey reactive power prices, principally using data from the EIA

Item 23 DOE welcomes input on the proposed methodology for estimating current and future electricity prices.Building Technologies Program eere.energy.gov 69 

# Life - Cycle Cost Discount Rates

• DOE uses the discount rate to determine the present value of lifetime operating expenses. • DOE will derive a distribution of discount rates for the commercial and industrial sectors.

– These distributions will be developed by estimating the weighted average cost of capital (WACC) for commercial and industrial consumers of electric motors.

– WACC includes: • Financial cost of any debt incurred to purchase products. • Opportunity cost of any equity to purchase products . 

## Item 24 DOE welcomes input on the proposed approaches for estimating discount rates for customers of motors covered under this rulemaking.Building Technologies Program eere.energy.gov 70 

# Installation, Maintenance, and Repair Costs

• DOE will evaluate how installation, maintenance, and repair costs change with increased efficiency. Data sources will include:

– RS Means;

– Vaughens ;

– Manufacturer literature; and,

– Expert consultants. • Installation costs: DOE is aware that larger, more efficient motors may be more difficult and expensive to install in constrained spaces or configurations. • Repair and Maintenance costs : DOE does not currently have information indicating that routine repair and maintenance costs are different for more efficient motors.Building Technologies Program eere.energy.gov 71 

# Request for Comments

Item 25 DOE welcomes comment on whether and how to develop maintenance, repair, and installation costs for electric motors. Specifically, DOE invites comment on how efficiency requirements may affect the ability of motor designs to fit in constrained spaces and configurations. DOE also invites comment on changes in repair practices that may accompany more efficient motors.Building Technologies Program eere.energy.gov 72 

# Electric Motors Lifetimes

• DOE will use information from:

– Manufacturer literature,

– Various literature sources such as technical reports and conference proceedings, and

– Inputs from manufacturers and other interested parties. • DOE may consider correlation between motor lifetime, loading, and duty factor.Item 26 DOE welcomes comment on appropriate motor lifetimes for the product classes covered in this rulemaking, as well as data regarding correlation between motor end - use patterns and motor lifetime.Building Technologies Program eere.energy.gov 73 

# Steps in the Standards Rulemaking: Preliminary Analysis

Framework Document Preliminary Analysis NOPR Final Rule Effective Date

Screening Analysis Engineering Analysis

Shipments Analysis National Impact Analysis Markups for Equipment Price Determination Life - Cycle Cost and Payback Period Analysis Energy Use Characterization Market & Technology AssessmentBuilding Technologies Program eere.energy.gov 74 

# Shipment Analysis Purpose • To estimate electric motor shipments in the base case and standards cases Method • The shipments model will rely on a range of data sources e.g.:

– Manufacturers and industry organizations;

– National market reports;

– National energy and motor use surveys; and

– Historical motor sales data from the United States Bureau of Census.Building Technologies Program eere.energy.gov 75 

# Shipments model - Methodology

• Option 1: Accounting methodology

– New Installations : New motors that are installed each year due to equipment growth in a particular sector. DOE proposes to determine this by using the National Energy Modeling System (NEMS) growth projections for the commercial and industrial sectors.

– Replacements : Motors that have failed or that are included as a component in equipment that fails. DOE bases this calculation on equipment sales and retirement rates.

– Retrofits (early replacements) : Motors replacing existing motors during renovation and/or repair of equipment. This replacement may occur before the original motor has failed. 

## • Option 2: Model driven by forecasted economic growth

– Similar to what was done in the analysis for small motors: shipment forecasts are based on NEMS growth projections for the commercial and industrial sectors.Building Technologies Program eere.energy.gov 76 

# Base - Case Shipments Forecast Approach

• Provides the basis to compare forecasts for higher efficiency levels (standards case) • Depicts the situation where new or amended standards are not adopted . • Depicts the current and forecasted mix of electric motor efficiencies sold in the absence of new regulation .

– DOE will develop projected market shares of products by efficiency under the base case.

– DOE will use data on recent market trends in electric motor efficiency, as well as efficiency distributions based on available models and information from motor experts, as a proxy. 

## • Data requirements:

– Historical shipments.

– Breakdown of shipments product class .

– Market share efficiency dataBuilding Technologies Program eere.energy.gov 77 

# Standards Impacts on Motor Shipments

• DOE develops Standards - Case Forecasts from the same data it will use to develop the Base - Case Forecast. • Standards - Case Forecasts may also use purchase price increases and operating cost savings to estimate shipments impacts (non interactive effects). • DOE is interested in cross - elasticity between different motor product classes covered in this rulemaking, and other non - covered motor types (interactive effects). • DOE will also consider impacts from market- pull programs .Building Technologies Program eere.energy.gov 78 

# Request for comment Item 27 DOE welcomes recommendations on data sources for shipments of electric motors by different product classes and long term trends in electric motor shipments. Item 28 DOE welcomes comment on the accounting methodology described above for each product class covered in this rulemaking. DOE especially invites comments regarding the stock of motors in use in different applications and motor lifetimes in each application. Item 29 DOE welcomes comment on how any standard for electric motors might impact shipments of these motors, as well as interactions between the market for these motors and the market for motors using other technologies. DOE also invites information about market- pull programs that promote the adoption of more - efficient motors.Building Technologies Program eere.energy.gov 79 

# Steps in the Standards Rulemaking: Preliminary Analysis

Framework Document Preliminary Analysis NOPR Final Rule Effective Date

Screening Analysis Engineering Analysis

Shipments Analysis National Impact Analysis Markups for Equipment Price Determination Life - Cycle Cost and Payback Period Analysis Energy Use Characterization Market & Technology AssessmentBuilding Technologies Program eere.energy.gov 80 

# National Impact Analysis Purpose • To assess the aggregate impacts at the national level of potential energy conservation standards for each of the product classes, in terms of net present value of total consumer economic impacts and national energy savings. Method • DOE calculates annual equipment expenditures by multiplying the price per unit by forecasted shipments. • The difference between base - and standards - case scenarios gives the national energy bill savings and increased expenditure in dollars. • The difference each year between energy bill savings and increased equipment expenditures is the net savings (if positive) and net costs (if negative).Building Technologies Program eere.energy.gov 81 

# National Energy Savings Flow Diagram

Base Case Annual Energy

Consumption 2044 Base Case Annual Energy

Consumption 2017 Base Case Annual Energy

Consumption 2016 Base Case Annual Energy

Consumption 2015 Shipments Analysis StandardsCase Projection Base- Case Projection Base Case Annual Energy

Consumption 2044 Base Case Annual Energy

Consumption 2017 Base Case Annual Energy

Consumption 2016 Standards Case Annual Energy

Consumption 2015
Base - Case Cumulative Energy Use Standards- Case Cumulative Energy Use Site to Source Energy Conversion National Energy SavingsBuilding Technologies Program eere.energy.gov 82 

# National Consumer Net Present Value Flow Diagram Shipments Analysis StandardsCase Projection Energy

Cost (2015 –

2044) Base- Case Projection

Cumulative Operating Cost Savings Cumulative Total Equipment

Cost Increase Discount Rate Net Present Value Rep, Maint, Cost (2015 –

2044) Total Install Cost (2015 –

2044) Energy Cost (2015 –

2044) Rep, Maint, Cost (2015 –

2044) Total Install Cost (2015 –

2044)Building Technologies Program eere.energy.gov 83 

# Calculation of National Energy Savings

• DOE intends to calculate national energy consumption for each year beginning with the expected compliance date of the standards and over a 30 year period. • DOE will use the DOE National Energy Savings (NES) spreadsheet for standard rulemakings.

Item 30 DOE welcomes comment on the NES spreadsheet models it proposes to use for estimating national impacts of energy conservation standards for electric motors.Building Technologies Program eere.energy.gov 84 

### Scope NOPR Analyses Closing Remarks 

# Public Meeting Agenda
1 Introduction

4
6 7 Regulatory History 2 Rulemaking Overview 3 Preliminary Analysis 5Building Technologies Program eere.energy.gov 85 

# Steps in the Standards Rulemaking: NOPR

Framework Document NOPR Final Rule Effective Date

Manufacturer Impact Analysis Utility Impact Analysis Employment Impact Analysis Life-Cycle Cost Subgroup Analysis Revise Preliminary Analysis Environmental Assessment Regulatory Impact Analysis

Engineering Analysis Life-Cycle Cost & Payback Period Analyses National Impact Analysis Preliminary AnalysisBuilding Technologies Program eere.energy.gov 86 

# Steps in the Standards Rulemaking: NOPR

Framework Document NOPR Final Rule Effective Date

Manufacturer Impact Analysis Utility Impact Analysis Employment Impact Analysis Life-Cycle Cost Subgroup Analysis Revise Preliminary Analysis Environmental Assessment Regulatory Impact Analysis

Engineering Analysis Life-Cycle Cost & Payback Period Analyses National Impact Analysis Preliminary AnalysisBuilding Technologies Program eere.energy.gov 87 

# Life - Cycle Cost Subgroup Analysis Purpose • Analyze the economic impacts of standards on consumers, including subgroups who may be disproportionately impacted compared with the general user population.

– A subgroup comprises a subset of the population likely to be disaffected disproportionately by new or revised energy conservation standards (e.g., small businesses). 

## Method • Extend the LCC analysis to examine the impacts for defined subgroups. • DOE will use inputs specific to each of the considered consumer subgroups.Building Technologies Program eere.energy.gov 88 

# Request for Comment

Item 31 DOE welcomes comment on what, if any, customer subgroups are appropriate in considering standards for electric motors.Building Technologies Program eere.energy.gov 89 

# Steps in the Standards Rulemaking: NOPR

Framework Document NOPR Final Rule Effective Date

Manufacturer Impact Analysis Utility Impact Analysis Employment Impact Analysis Life-Cycle Cost Subgroup Analysis Revise Preliminary Analysis Environmental Assessment Regulatory Impact Analysis

Engineering Analysis Life-Cycle Cost & Payback Period Analyses National Impact Analysis Preliminary AnalysisBuilding Technologies Program eere.energy.gov 90 

# Manufacturer Impact Analysis Purpose • Assess the impacts of standards on manufacturers. • Identify and estimate impacts on manufacturer subgroups that may be more severely impacted than the industry as a whole. • Examine the impact of cumulative regulatory burden on the industry. Method • Analyze industry cash flow and net present value through use of the Government Regulatory Impact Model (GRIM). • Interview manufacturers to refine inputs to the GRIM, develop subgroup analyses, and address qualitative issues. Output • Industry NPV impacts • Subgroup NPV impacts • Other impactsBuilding Technologies Program eere.energy.gov 91 

# MIA Methodology

• The MIA consists of three main phases:

Industry profile Develop straw- man GRIM* Develop interview guide Interviews & industrywide / subgroup analyses Assess direct employment, competition, cumulative burden Phase 2 Phase 3 Preliminary MIA Interviews Phase 1 Preliminary Analysis NOPR



## Item 32 DOE welcomes comment on key issues related to the manufacturing impact analysis.Building Technologies Program eere.energy.gov 92 

# Steps in the Standards Rulemaking: NOPR

Framework Document NOPR Final Rule Effective Date

Manufacturer Impact Analysis Utility Impact Analysis Employment Impact Analysis Life-Cycle Cost Subgroup Analysis Revise Preliminary Analysis Environmental Assessment Regulatory Impact Analysis

Engineering Analysis Life-Cycle Cost & Payback Period Analyses National Impact Analysis Preliminary AnalysisBuilding Technologies Program eere.energy.gov 93 

# Utility Impact Analysis Purpose • Assess the overall impacts on domestic energy supplies that would result from the imposition of standards.

• The Department proposes to use National Energy Modeling System (NEMS) - Building Technologies (BT) developed and used by DOE/EIA for the AEO report, as the basis of the Utility Impact Analysis. • DOE will model the energy savings impacts from amended energy conservation standards using NEMS - BT to generate forecasts that deviate from the AEO reference case . • Outputs of the utility impact analysis include forecasts of electricity generation, and avoided capacity resulting from a comparison of base and standards cases. MethodBuilding Technologies Program eere.energy.gov 94 

# Request for Comments

Item 33 DOE welcomes input from stakeholders on its proposed use of NEMS - BT to conduct the utility impact analysis.Building Technologies Program eere.energy.gov 95 

# Steps in the Standards Rulemaking: NOPR

Framework Document NOPR Final Rule Effective Date

Manufacturer Impact Analysis Utility Impact Analysis Employment Impact Analysis Life-Cycle Cost Subgroup Analysis Revise Preliminary Analysis Environmental Assessment Regulatory Impact Analysis

Engineering Analysis Life-Cycle Cost & Payback Period Analyses National Impact Analysis Preliminary AnalysisBuilding Technologies Program eere.energy.gov 96 

# Employment Impact Analysis Purpose • Assess the overall impact on national employment from the imposition of energy conservation standards at differing levels. • Include both direct and indirect employment impacts.

– Direct employment impacts are estimated in the manufacturer impact analysis.

– Indirect employment impacts result from shifting consumer expenditures among goods and services ( “substitution effect”) and changing equipment and energy costs (“income effect”). 

## Method • DOE intends to use the Impact of Sector Energy Technologies ( ImSET) model for the evaluation of indirect employment impacts. ( Note: ImSET is an update of IMBUILD. ) Item 34 DOE welcomes feedback on its proposed approach to assessing national employment impacts, both direct and indirect.Building Technologies Program eere.energy.gov 97 

# Steps in the Standards Rulemaking: NOPR

Framework Document NOPR Final Rule Effective Date

Manufacturer Impact Analysis Utility Impact Analysis Employment Impact Analysis Life-Cycle Cost Subgroup Analysis Revise Preliminary Analysis Environmental Assessment Regulatory Impact Analysis

Engineering Analysis Life-Cycle Cost & Payback Period Analyses National Impact Analysis Preliminary AnalysisBuilding Technologies Program eere.energy.gov 98 

# Environmental Assessment Purpose • To report environmental impacts resulting from amended energy conservation standards, including changes in power plant emissions. Method • DOE intends to use the environmental impacts predicted from the NEMS - BT modeling analysis used for the Utility Impacts Analysis.

– Carbon dioxide (CO 2

### ) will be the primary emissions reported .

– Mercury (Hg) emissions will also be reported.

– Nitrogen Oxide ( NOx

### ) emissions will be reported for the 22 states where emissions are not capped.

– Existing legislation cap Sulfur Dioxide (SO 2

### ), so physical emission reductions will be zero or nearly zero from any single energy conservation standard.Building Technologies Program eere.energy.gov 99 

# Request for Comment

Item 35 DOE seeks input on its plan to use NEMS - BT to conduct the environmental assessment for the products covered by this rulemaking.Building Technologies Program eere.energy.gov 100 

# Monetization of Emission Reductions

• DOE intends to use the most current Social Cost of Carbon (SCC) values developed by interagency reviews.

– SCC is intended to be a monetary measure of the incremental damage resulting from greenhouse gas (GHG) emissions, including but not limited to agricultural productivity loss, human health effects, property damage from rising sea level, and changes in the ecosystem.



## • At present, the most recent interagency estimates of the potential global benefits resulting from reduced CO 2 

## emissions in 2010 are $4.7, $21.4, $35.1, and $64.9 per metric ton in 2007 dollars.

– For emission reductions that occur in later years, these values grow in real terms over time.



## • DOE will also estimate the potential monetary benefit of reduced NOx 

## emissions resulting from the considered standard levels.Building Technologies Program eere.energy.gov 101 

# Request for Comment

Item 36 DOE requests comments on the approach it plans to use for estimating monetary values associated with emissions reductions, or any widely- accepted values that could be used in DOE’s analyses.Building Technologies Program eere.energy.gov 102 

# Steps in the Standards Rulemaking: NOPR

Framework Document NOPR Final Rule Effective Date

Manufacturer Impact Analysis Utility Impact Analysis Employment Impact Analysis Life-Cycle Cost Subgroup Analysis Revise Preliminary Analysis Environmental Assessment Regulatory Impact Analysis

Engineering Analysis Life-Cycle Cost & Payback Period Analyses National Impact Analysis Preliminary AnalysisBuilding Technologies Program eere.energy.gov 103 

# Regulatory Impact Analysis Purpose • To investigate the national impacts of non - regulatory alternatives compared with mandatory energy conservation standards. • The non - regulatory alternatives that may be considered include:

– Consumer rebates;

– Consumer tax credits;

– Manufacturer tax credits;

– Voluntary efficiency targets;

– Early replacement; and

– Bulk government procurement. 

### Method • Modify NES spreadsheet model to consider non - regulatory scenarios. • Estimate impacts of non - regulatory scenarios based on experience with the considered policies. • Output will include National Energy Savings and Net Present Value of the non - regulatory alternatives.Building Technologies Program eere.energy.gov 104 

# Request for Comment

Item 37 DOE invites comments on the ability of voluntary initiatives or other non - regulatory efforts by manufacturers to achieve significant energy savings and reasonable costs.Building Technologies Program eere.energy.gov 105 

### Scope NOPR Analyses Closing Remarks 

# Public Meeting Agenda
1 Introduction

4
6 7 Regulatory History 2 Rulemaking Overview 3 Preliminary Analysis 5Building Technologies Program eere.energy.gov 106 

# How to Submit Written Comments

• In all correspondence, please refer to the Electric Motors rulemaking by:

– Electric Motors Rulemaking,

– Docket Number EERE –2010–BT–STD–0027 , and

– Regulatory Identification Number (RIN) 1904-AC28
• Email : ElecMotors- 2010-STD-0027@ee.doe.gov

• Comment period closes: October 28, 2010

Postal : Courier : Ms. Brenda Edwards U.S. Department of Energy Building Technologies Program, Mailstop EE -2J 1000 Independence Avenue, SW Washington, DC 20585 - 0121 Ms. Brenda Edwards U.S. Department of Energy Building Technologies Program, Suite 600 950 L’Enfant Plaza, SW Washington, DC 20024 Tel: 202 586 -2945Building Technologies Program eere.energy.gov 107 

# Relevant URLs

• DOE Appliance Standards

– http://www1.eere.energy.gov/buildings/appliance_standards/
• Electric Motors Rule

– http://www1.eere.energy.gov/buildings/appliance_standards/commercial/e lectric_motors.html
 Electric Motors Test Procedure

– http://www1.eere.energy.gov/buildings/appliance_standards/commercial/e lectric_motors.html