### D ep artment o

### f E nergy Washington, DC 20585

MEMORANDUM TO DOCKET EE-RM

- 93-801 ENERGY EFFICIENCY STANDARDS FOR REFRIGERATORS, REFRIGERATOR- FREEZERS , AND FREEZERS
DEPUTY GENERAL COUNSEL FOR ENERGY POLICY FROM: DOUG SMITH
DATE: OCTOBER 4, 1996 SUBJECT: MEETING WITH OFFICIALS FROM WHIRLPOOL CORPORATION

9 Staff Dan Reicher, Deputy Assistant Secretary for Energy Efficiency and Renewable Energy Joseph Romm, and I met with the following officials from Whirlpool Corporation: Ralph Hake, Executive Vice President, North American Appliance Group; Andy Takacs, Vice President Government Relations; Ed Wendholt, Director, Laundry Technology; Robert W. Johnson, Director, Product Technology, Refrigerator Group; and Michael Thompson, Director, Government Relations. Whirlpool made a presentation on the subject of energy efficiency standards for washing machines and refrigerators. The briefing materials are attached.
Attachment

Printed with soy ink on recycled paper 

### Department of Energy Washington, DC 20585

MEMORANDUM TO DOCKET EE-RM-93-801 ENERGY EFFICIENCY STANDARDS FOR REFRIGERATORS, REFRIGERATOR-FREEZERS, AND FREEZERS FROM:

# DOUGSMITH~VV~ DEPUTY

# GE~EI{AL fuUNSEL FOR ENERGY POLICY DATE: OCTOBER 4, 1996 SUBJECT: MEETING WITH OFFICIALS FROM WHIRLPOOL CORPORATION

Staff Dan Reicher, Deputy Assistant Secretary for Energy Efficiency and Renewable Energy Joseph Romm, and I met with the following officials from Whirlpool Corporation: Ralph Hake. Executive Vice President. North American Appliance Group; Andy Takacs. Vice President Government Relations; Ed Wendholt, Director, Laundry Technology; Robert W. Johnson. Director, Product Technology, Refrigerator Group; and Michael Thompson, Director, Government Relations. Whirlpool made a presentation on the subject of energy efficiency standards for washing machines and refrigerators. The briefing materials are attached.
Attachment


# *

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# AGENDA ! flip '!Y^ .



# Introductions Why are we here? Background: Whirlpool has spent 'lions based high efficiency appliances n Justification for early effective dat Justification for stringent efficient eels n Other comments (time permitting - Cumulative burden - Consumer perspectives on ens & water savings Whirlpool's plans to build energy ;iency appliances n Our request

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# AGEND
'. Introductions

• Why are we here? 

# • Background: Whirlpool has spen lions based on high efficiency appliances • Justification for early effective 

# datl::,; • Justification for stringent efficien vels • Other comments (time permitting

- Cumulative burden

_ Consumer perspectives on en • Whirlpool's plans to build energy • Our request & 

# water savings

. 'Jiency appliancesMW f/{'f` Lfi i:J`%l ys.;•':;?`i.,'r..'G :.^1fh%:i!1i:,rlr:rrrj}f%f /?f':fi"rEi::'r.':^:i/n•:i'iiii ^ji'l'•. /. r. r. f: /. ^ p/'•-'/. .^1 ''11.cG :%s2G

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# Overview Whirlpool Corp a tion Founded: 11 Products: AI.. :, jor home appliances pit acme portables Number of Brand Names: 11 Number of Countries: ® where we manufacture: 12 where we market: 14 Number of Employees: 45, Annual Revenues: $8.` illion

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# Overview Whirlpool Corp tion
Founded: 

# 191 Products: All ·or home appliances pi ome portables Number of Brand Names: 11 Number of Countries: . • where we manufacture: 12 • where we market: 14 Number of Employees: 45, Annual Revenues: $8.3 

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# NAECA Lang Section 325 V"



# sae OWN



# "(g) Standards for Dishwashers; CIS Washer ; Clothes Dryers. "(4)(A) The Secretary shall publish , rules no later than January 1, 1990 B After January 1, 1990 , the S e ry sl it publish final rule no later than five yeas ter tl da te p ublication of the previous fine- le. (1,,A 1996) 

# "(C) Any such amendment shall app, products manufactured after a date which i4 'e years a er- "(i) the effective date of the previoi amendment;

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# NAECA Language Section 325 "(g) Standards for Dishwashers; CI Dryers. "(4) (A) The Secretary shall publish fl January 1, 1990 "(8) After January 1, 1990, the Se final rule no later than five yea publication of the previous fina "(C) Any such amendment shall app manufactured after a date which 

# i "(i) 

# the effective date of the previo Washers; Clothes
rules no later than

ry 

# sh II publish a fter til date of



# Ie. (May 14, 1996)

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# DOE Clothes Was, per clergy Standards Rule -May ' , 1991 DOE said "Because of the great energy savings pc iztial of this design (ie. horizontal-axis), DOE is ev sting this technology as soon as possible" (FR2 j9, 5/14/91) "Since DOE has decided to consider the izontal axis technology with its associated fixed co as soon as possible, the Department issues a Fim yule today that imposes minimal impact on rianu .tuner's retooling costs" (FR22270, 5/74/91)

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# DOE Clothes Was er Standards Rule - May DOE said 

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# , 1991

"Because of the great energy savings po tial of this design (ie. horizontal-axis), DOE is**ev(c~** 

# Jating this technology 

# as soon 

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# (FR2,,:;, 

# 69, 5/14/91) "Since DOE has decided to consider the {)rizontal axis technology with its associated fixed**co~s** 

# as 

# soon as possible, the Department issues 

# a Fin**F~ule** 

# today that imposes minimal impact on 111anuf cturer's retooling costs" 

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# NAECA Lan^
Section 325 "(b) Standards for refrigerator-freezer 3 A..i ...The Secretary shall publish than July 1, 1989...which shall appl, manufactured after January 1, 199: "(B) After the publication of a final r, subparagraph (A), the Secretary rule no later than five years after p ublication of the previous final r

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# ru subparagraph (A), the Secretary 

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MAYTAG

WHIRLPOOL Activity Purchased commercial H-axis plant 2 Divisi year ago. (appr Has marketed H-axis for years; new Part H-axis promised for the last year. (apprc "Plans to market H-axis washers in Apprc the U.S. for those consumers who (One choose to buy them." (Appliance Mfgr., $137. 5/95) 7/1 /96 Is committed to building H-axis Final products. 'Expected introduction is deve 1997. are for g some 9/1E Has more than one-high efficiency Has clothes washer design. U.S.

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# Technology

Other Comments

.sh parent -Electrolux12 billion annual sales) zillion in annual sales. grid's top companies with in assets , USA Today p.28 of a $50-M investment to .is and companion dryer ... we financially" and have "choices at we have not had for (CEO Hadley-PR Newswire clothes washer production in the 

# High Efficiency Clothes Wa Technology
Company Activity Other Comments Purchased commercial H-axis plant 2 Divisio(**~::aytheon** AMANA year ago. (appro;:. 12 billion annual sales) Has marketed H-axis for years; new Part !ish parent -ElectroluxFRIGIDAIRE H-axis promised for the last year. (appro;; 12 billion annual sales) "Plans to market H-axis washers in Appro, IJillion in annual sales. GENERAL the U.S. for those consumers who (One vorld's top companies with ELECTRIC choose to buy them." (Appliance Mfgr., $137. in assets, USA Today p.28 8/95) V/1/96} Is committed to building H-axis Finai of a $50-M investment to MAYTAG products

.. Expected introduction is develcj.) l;<is and companion dryer

... we 1997. are financially" and have "choices for qat we have not had for somE;!\!! (CEO Hadley-PR Newswire 9/1 WHIRLPOOL Has more than one high efficiency Has clothes washer production in the clothes washer design. U.S.:•rw^S? y;•<rxii::'

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### Product 

### Size

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### Product Size GE 20% 25% 25% 20% 10%


### Side-I ,-Side ProdLx Manufac Frigidaire rv nufadurr

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0%

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# Energy Levels Available**-':v~,,,~!?frigerators** q:>-I 

### reezer 

## s PrcxJLd 

### l\t13nufcdure



### Size Mana Frigidaire 

### GE Wlirf 15'16 

### 10'10 200/0 

### 0'10 15% 17/18 200/0 

### 10'10* 25% f···· 

### 15% 

### 20010 19'20 15% 

### 0'/0* 25% 15%
. 

### 20010 

### ,-_.- 21/22 

### 20010 0'10* 20010 150/0 25%

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### 23+ 

### 250/0 

### . 0'10* 10'/0 0'/0 0'/0 * Better effiden:)' 

### levels V\€fe availal)e in 1995. 

### Side-bJ-Sid9 PrcxJoct"
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### - PrcxJLd 

### l\t13nufoctt

Size 

### Asmna Frigidaire 

### GE M3ytcg .•- 

### Wlirfp:xll 19'20 200/0' 

### 10'/;: 0.% 15% 21/22 '. 25% 200/0 2m,: 

### 15% 40% 

### 22124 200/0 2m/', l,\:' 

### 150/0 25'26 250/0 150/0 350/0 27+ 

### 20010 15% 

### 20010 0'10 35% 

### N.Jrrtx:rs rep-esent 

### arn:u1t tetter than '93 Federal Starrlard (rruxJed 

### cbM1 to nearest 

### 5%), 

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### data 

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### Jure, 1993 A.HAJ\II 

### Dredory ci Certifioo 

### Remerators ard 

### Freezers.

### annual production

R' 

# [ion 

# unify $12.50 

# yr ^( 

# year as ion 

# per (er^^rgy cost production) (savings/unit) (average lit M

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# REFRIGERATOR ENERGY S ADARDS IMPACT OF EACH YEAR ' S DE Y ( TIER 2)

(Over the life of the prod#

'/^, :nw r rrniri ,: .^ r'!n^5 ^{'rn f rrr 5cgr!4.`rr2:^ ;7^ a frr. irwr.;u^ fir;!!`% ^..:;.'%':%^.`• ;^.`•:::2:' <i?;'S':• ^ "i::;%^G^i'J.r'fr^.:^f}{%`•' ! , / ^'; r ^` 9;•%;:,•S:f q g ^ ^ "f,%i . / r/,,,. ff.'•'-:f.. 1,:.+'vn.r,. r r •, l,, / r^y^f,^,.:y;,r ry,/: • r. ..:.......... .... :•';-•',d!.+Y!,c'cG^: fl'^ r ,^` ^^^ /^^1/'^ r:•f••i jl,^'r• ! ^ fi',^Kf^ , V'/^t^R:.!r !

fi??Y^'.....t '^.^';'^:n:.. ^ff' f l'•'f:••x.::..;:•;:::;;-•::•:, • f ^ y ! f'' , , r r s ' f ^ ' ` , . .. k..r

.•::: r•::: r•........:. ^::::.:.::.. ...... f. S • ^ r, it
.. f:%„^i,:: rf,• t "•f r^ /^^'^ . rr!•`'fr :' b.//..1 • i .. .r...:rrt::.... ,: ..,? r/ ...r r:•:^rr. '.:../

1::•:...! ...+..i:. "- yr%'%r^r! i ^•ui'^' 

### 15 blli :;

M 

# REFRIGERATOR ENERGY S i\JDARDS IMPACT OF EACH YEAR'S DE Y (TIER 2) (Over the life of the prods, x^,•, • x. ssg :, r :•:fi':.N s xS ^' ry;,: --- ------- --- - - ------
---- ------- ------ ::psi . .. ....:....:...;.;...` ._...ti „1,.,•4::



### Average Energy Consumj Kwh/yr

. i \ `3 Z^ ^ ;,vim` j^ ^; • .: 

### m

+TF^3':Z 3,kt^`

, 7^M1 ' ^J ,'T,j: ^.I'.•°°•( h:.s ^• yf. ! J:Y' ^. :. ff•YJf Y'.;VT'•.:Y. . .. ^^.G':!:! .:•, r v? .,y:'^x,^' ,{^r„'•,:C±,^.^,r:4^ .4• :Y^., '^'ri. .•,Y."+ 'fir n, i,sa?S..lyxi ,.n:"x^s ^ nr,a tss>5'y: ^^+ r.:, ^' S.'-'. !. /;'.T

;. '.•'¢ .•'l.'^^ .. ^>,^•..__TrendsinRefrigeratorEnergyConsumption14001200-E1000r:::oU800•.r:::UJ600Q)Olco•Q)400><C20087CECStd.90DOEStd.93DOEPredicted,'.o,,,"aIiii-ll-ppioo2___mom 

### --------------- FF- EM' NO %A WMI I I X^IMII "I MIMMIN 

# Quotes from "Joint Comments lating to Energy Conservation Standards for RE' rato r/Freeze rs" (November 15,19c

..,

Section VI m 

# "The agreed to standards com. jri Lilly with the standards (page 22) ji



# criteria in NAECA Section VI (page 23) 

# m "The energy -savings ... are ve ficant." ry 

# • "These standards were choser level that provides for no significant lessening of utilit, performance.",

• "None of the parties to these aL, ",ments bil-dieve that the standards will lead to a likeliho( f reduc^-:-I- I competition."

• "The non-HCFC standard avoic^ ie possibility that some or all manufacturers would have t( astically reduce product offerings because of their inability initially to meet the 1998, standards without HCFC-141b."

M 99wa a W -1 KE41 V

t-10 111, ON 1 Section VI (page 22) 

# Quotes from "Joint Comments Conservation Standards for Re (November 15, 199"i) 

# iating to Energy 

# erator/Freezers"

- 

## • "The agreed to standards com :Jrt lully with the standards

. criteria in NAECA" Section VI

. (page 23) • 

## "The energy savlngs

... are very ificant. " • "These standards were chosen level that provides for no significant lessening of 

# utility performance." • "None of the parties to these a ments believe that the standards will lead to a likelihoo c)f reduced competition."

'- 

## • "The non-HCFC standard avoids e possibility that some or all manufacturers would**hav~** 

## to rastically reduce product offerings because of their inability initially to maet the 1998 standards without HCFC-141 b."'%," r%r%^.:rr ,,.fi.'^.^'^'%'%5,: ^ff•+rlf%% f fl.+i+iJ^if„S'`^,`„frf^/Sf+t .'^fr'^''^r. 7' f /•{ /I fi+ .fw'^^illrifvi:.ui%;l^t/%^ylliiiaoiu:^{rifia^rrti`^I^k'+•w:r. ... ari 

## Appliance Market Pull & Utility Inc( Programs Program Activit Energy Star (DOE>* Pre-pilot Pilot Implement Federal Energy Appliance purchasing Management Progra m guidelines are being DOE developed 

### i", only 1995 A 

### les Late 1996 

### € . onwide 

### Mid 1997

SERP Super efficient refrigerators Utility Ends tricts Mid 1997 Consortium on Energy High efficiency clothes stly Ongoing Efficiency washers Est Coast
* Clothes washers are not part of the pilot program. 

## Appliance Market Pull 

## & Utility Ince
Program Energy Star (DOE}*

Federal Energy Management Program (DOE) Activity Pre-pilot Pilot Implement Appliance purchasing guidelines are being developed [ l1 I' 

## Programs (,:ation Timetable only 1995 dies Late 1996 ionwide Mid 1997 1997

SERP Super efficient refrigerators Utility [Jistricts Ends Mid 1997 Consortium on Energy High efficiency clothes 'Efficiency ,washers :Iastly Ongoing VI/est Coast
* Clothes washers are not part of the pilot program. , .'

# Importance of Fe as on

Co ns um er P rc as •_ ci i Clothes Wa&,., Vka

9



### 0 10 20 30 1 50 70 80 Utility Value of FeatuL Purcha .; r ecision 

## Base : 200 female washer owners

ource : ©Whirlpool Corp ., Washer ConjoiniAnalysis , Mar., 1992 ( Bases Corp.)

sl "^k^$1 r/?n:Ys Y^.:w.,,:kk$ S:s 

### Load Position

Wash Time Ease of Opening

Price Axis Agitator Noise Level Water Savings Spin Speed Energy Savings

..^nalr;:^.Z...',:..awxs 

# r1a"I'MIMM im 

# XIM I 

# Importance 

# of**Fee;~** 

# Consumer 

# Purchas Clothes Was load Position Wash Time Ease of Opening Price Axis Agitator 

## Noise Level Water Savings Spin Speed Energy 

### Savings '.**,~tes** 

# on



# . 

# .. eCISlon

o 10 20· 30 50 70 80 

### Utility Value of Featu {)n Purchas Decision

I 

### Base: 200 female 

## washer owners

ouree: ©WhirlpooICorp., WasherConjolnlAnalysis, Mar., 1992 

### (Bases Corp.)

### Cleaning Reliability Durability Qual. of Construction

Safety Ease of Service Capacity Price Quiet Water Usage Energy Usage . Rack Loading Controls X j E

sz:o w.A53 i e.. •.;2f.. ....

^^3sxr.;ec r^xs-war 

### 0% 20% 40°Y 

### % of Consumers Rating' 

## Base: 1930 Nationally Representative Househol.

Source . C©Whirlpool Corp ., DishnrasherPurchase Process , 1992;MarkeiFac: 9 

# Importance of Fe Consumer Purchas Dishwash Creanin'g Reliability Durability Qual. of Construction Safety 

### Ease of Service 

### Capacity 

## Price Quiet 

## Water Usage Energy Usage Rack Loading '.



### . Controls 0% 20% 40%

I**~** 

## % of 

### Consumers Raling 

## Base: 1930 Nationally Representative Household;';; DishwQsherPurcha-se Process,**1992:MiJrkeIFaclJ~** 

# {es on • • 

## eelSIOO

60% 80% 100% ,**t~mely** 

### or Very 

## Important0 20 40 60 80 Correlation with Satisfaction Base: 2498 Washer owners

Dishwashers Cleaning Clothes Clothes Care Capacity Appearance Durability Energy EH. Balance Operation

Cleaning Capacity Appearance Drying Durability Convenience Energy Eft. Operation 

# Standardized Appliance Measu

Importance of F Washers 1995/96

ff'' S::i Y yy..

0 20 40 60 80 Correlation with Satisfaction Base : 3970 DW owners 

# it of Satisfaction' "s Refrigerators

0 20 40 60 Correlation with Satisfaction ,3535 Top Mount &Side x Side owners

Dryers

r^ ^3 s} rG C.1to Dryir 3s Ck ,ire

Ice C city nce Eff. city ( :ion 0 20 40 60 80

Correlation with Satisfaction 2262 Dryer owners 

# ,§tandardized 8ppliance 

# Measur{::; 

# Importance of F,) nt of Satisfaction'**~** 

# - rs Washers 

## 1995/96 Cleaning Clothes Clothes Care Capacity Appearance Durability Energy Eff. Balance Operation 

### o 20 .40 60 Correlation with Satisfaction Base: 2498 Washer owners Cleaning Capacity Appearance Drying Dura bJllty

. Convenience

Energy Elf.

Operafion 

### o Dishwashers

20 40 60 Correlation with Satlsractlon Base: 3970 OW owners 80

•

80 C .Iality**Shl~;lf** ess Pet{cw m:e (: z:lty 5lee Eff. Ac!;mty Refrigerators



### o 3**~** 00 Correlation with Satisfaction 5535 Top Mount & Side )( Side owners Dryers

'lflCe C**!l~city** f; j,lnce Eft. (w**(:~.** bility Opc.t%ltion o 2Q 40 60 Correlation wlfh Satisfaction 2262 Dryer owners 80v:::;^i:;iii•.}iC;'.:.::i:4:::;}: F........: • ;4^: nr i!+'•i^i F :': .:r '4":::::::..:: -. ..^,r^. ... .... ^.,' r. f r }.• y^J^ ^ ^^y^}},+r ^^ F..Y lr:7y /• •rr.;%tyrl

l rrr,^'+'','i'; i'.•

!/•••'••''//^:^+l l, ,l^if'"fi!

rrtlr /i^lSl^.m?N>^fl^Jf:'i^^^^J9rl^ %/!,l,G^ ^.^1.' if//,i' G^^^ ^¢

''r 

### ZIM V, fs 

# ReqUe Clothes W a s her s - Continue the clothes washer he it left off - Place maximum resources c pie cl o t ,,,,, S wa s he r rule - Have a final rule at 3.0enerf factor t At will become effective no later than 1/1/20u1 

# n Refrigerators - Publish the final rule quickly 

# - Establish Tier 2 levels (16-23% more efficient than current standard) that will become effective no later than 1/1/2000

!^ /r'..r!/. rrYXr^f/• '!.r .' U rl r .vir^yyrr' i r.{i^.>f!Y.•:'•r;•^:r+' •y "^',,.t/"!•r ^ry! Y:^lH„^

's'•`•.:.li't:1 ,. i' .:!': .'.:7J:x

:^:.. /^^.^i' ^r..^.'

:^.: •.ll:•s:•;:;:.: :.>:;'lKrrt'r.,!'.r_%::;..::..•..::........•J.;3;^/ff5,.. :>'E::.. r.+r^•.. .:.! nsi•::.... :::::.:... 

# Reque

.. Clothes Washers

- Continue the clothes washer whe it left off

- Place maximum resources 0 

# the**clotl~l** 

# s washer rule

- Have a final rule at 3.0'ener£j factor t at will become effective no later than 1/1/2001



# .. Refrigerators

- Publisn the final rule quickly

- Establish Tier 2 levels (16-23 % 

# more efficient than current standard) that will become effective no later than 1/1/2000Request(ct.)ItisouropinionthateJryoneintheindustryiscapableofeetingtoughnewstandards