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### BEFORE THE U.S. DEPARTMENT OF ENERGY Washington, D.C. 20585

In the Matter of:

Panasonic Appliances Refrigeration Systems Corporation of America,

Petitioner ) ) ) ) ) ) Case Number: _________________

PETITION FOR WAIVER AND APPLICATION FOR INTERIM WAIVER
Panasonic Appliances Refrigeration Systems Corporation of America (“PAPRSA”) respectfully submits this Petition for Waiver and Application for Interim Waiver (“Petition”) pursuant to 10 C.F.R. § 430.27 on the ground that its hybrid wine chiller/beverage center model (“hybrid model”) listed below contains one or more design characteristics that prevent testing of the basic model according to the test procedures prescribed in 10 C.F.R. § 430, subpart B, appendix A1. As detailed more fully below, the Department of Energy (“DOE”) has previously granted PAPRSA’s corporate predecessor, SANYO E&E Corp., 1 a waiver from DOE’s electric refrigerator and refrigerator-freezer test procedures for determining the energy consumption of substantially similar hybrid models in Case No. RF-022 (the “waiver hybrid models”). PAPRSA has developed a new basic hybrid model, SR5180JBC, that contains the same design characteristics as its waiver hybrid models that make it impossible to certify, rate, and sell this new hybrid model under the existing testing procedures. 2 PAPRSA therefore respectfully requests that it be permitted to employ the alternative testing method for this new basic hybrid model that has already been approved by DOE for the waiver hybrid models.

1. Existing Waiver Background and Product Characteristics of PAPRSA’s Hybrid Models On June 2, 2011, PAPRSA submitted a petition for waiver with respect to the test procedures for its waiver hybrid models that consist of a combination of a refrigerated “beverage” compartment in the top portion of these single-cabinet units and a wine storage compartment on the bottom of the units, and for which an alternative testing procedure was

1 Effective April 1, 2013, SANYO E&E Corporation changed its corporate name to Panasonic Appliances Refrigeration Systems Corporation of America. Throughout this Petition, PAPRSA will be used to refer to both SANYO E&E Corporation and Panasonic Appliances Refrigeration Systems Corporation of America, unless otherwise indicated. 2 At present, PAPRSA intends to market three derivative individual models based on basic hybrid model SR5180JBC that have variances in their cosmetic features: JUB24FLARS0*, JUB24FRARS0*, and JUB24FRACX0*. To the extent this Petition is granted, PAPRSA may develop additional derivative individual models based on basic hybrid model SR5180JBC in the future.2

necessary in order to certify, rate, and sell such models. The waiver hybrid models include the following models: JUB248LB, JUB248RB, JUB248LW, JUB248RW, KBCO24LS, KBCS24LS, KBCO24RS, KBCS24RS, and MBCM24FW.

As PAPRSA previously explained, PAPRSA designed the wine storage compartments of its waiver hybrid models to operate between a minimum temperature of 45 oF and a maximum temperature of 64 oF, with an average temperature of 55 to 57 oF. In fact, heaters are used to ensure that the temperature in the wine storage compartment never drops below 45 oF, as wines chilled below this temperature risk becoming crystallized and, therefore, ruined. Currently, however, DOE’s testing procedures contained in 10 C.F.R. § 430, subpart B, appendix A1, mandate that energy consumption be measured when the compartment temperature is set at 38 oF. Based on the design characteristics of its waiver hybrid models noted above, however, PAPRSA needed a waiver with respect to DOE’s testing procedures in order to properly “certify, rate, and sell such models,” because the existing test procedures contained in 10 C.F.R. § 430, subpart B, appendix A1, do not contemplate a product that is designed to be incapable of achieving a temperature below 45 oF.

On April 2, 2012, DOE published PAPRSA’s previous petition for waiver and sought public comment, and DOE subsequently extended the deadline for comments after PAPRSA submitted a request for extension to clarify the scope of its original petition for waiver. See Federal Register, Vol. 77, No. 96, 29331-29333. No comments were filed opposing the relief requested in PAPRSA’s petition for waiver.

On August 9, 2012, DOE granted PAPRSA a waiver from DOE’s electric refrigerator and refrigerator-freezer test procedures for determining the energy consumption of the basic models listed in its June 2, 2011 petition for waiver. See Federal Register, Vol. 77, No. 159, 49443-44. In permitting PAPRSA to test the wine chiller compartment at 55 oF, DOE noted “that the test procedures for wine chillers adopted by the Association of Home Appliance Manufacturers (AHAM), California Energy Commission (CEC), and Natural Resources Canada all use a standardized compartment temperature of 55 oF for wine chiller compartments, which is consistent with [PAPRSA’s] approach.” Id. at 49444.
On September 26, 2012, DOE issued a correction to its August 9, 2012 order that incorporated the K factor (correction factor) value of .85 that PAPRSA should utilize when calculating the energy consumption of its waiver hybrid models. See Federal Register, Vol. 77, No. 193, 60688-89. Accordingly, DOE ultimately directed PAPRSA to utilize the following test procedure for its waiver hybrid models:

Energy consumption is defined by the higher of the two values calculated by the following two formulas (according to 10 CFR part 430, subpart B, Appendix A1):

Energy consumption of the wine compartment:
EWine = (ET1 + [(ET2–ET1) x (55 oF–TW1) / (TW2–TW1)]) *0.85

Energy consumption of the refrigerated beverage compartment:3

EBeverage Compartment= ET1 + [(ET2–ET1) x (38 oF–TBC1) / (TBC2–TBC1)].

See Federal Register, Vol. 77, No. 193 at 60689.

2. Request to Test, Certify and Rate New Basic Model SR5180JBC Under Previously Approved Alternative Testing Procedure As indicated above, PAPRSA has developed a new basic hybrid model, SR5180JBC, that shares the same design characteristics that led DOE to approve PAPRSA’s June 2, 2011 petition for waiver. SR5180JBC is a single cabinet hybrid model that would be classified as a compactrefrigerator with automatic defrost without through-the-door ice service, but which has a winechiller compartment designed for an average temperature of 55 to 57 oF. Just as PAPRSA’s waiver hybrid models, SR5180JBC contains a heater that makes it impossible for the temperature of the wine-chiller compartment to reach a temperature below 45 oF. Thus, testing SR5180JBC at 38 oF is simply not possible and not representative of the energy consumption characteristics of this new basic hybrid model. Further, SR5180JBC, just as PAPRSA’s waiver hybrid models, will have a door-opening usage aligned with household freezers, thus 0.85 should also be the employed K factor (correction factor) for this basic hybrid model. See Appendix B1 to Subpart 430, 5.2.1.1, because Subpart 430 does not recognize wine chiller as a category.

In short, there are no material differences between SR5180JBC and PAPRSA’s waiver hybrid models as it impacts this Petition. While SR5180JBC has a total adjusted volume of 4.7 cubic feet (instead of the slightly higher volumes of the waiver hybrid models) that would be used in calculating the theoretical maximum allowable annual energy consumption for this basic hybrid model, the design characteristics of SR5180JBC are the same as PAPRSA’s waiver hybrid models that led DOE to allow PAPRSA to use the following testing procedure:

Energy consumption is defined by the higher of the two values calculated by the following two formulas (according to 10 CFR part 430, subpart B, Appendix A1):

Energy consumption of the wine compartment:
EWine = (ET1 + [(ET2–ET1) x (55 oF–TW1) / (TW2–TW1)]) *0.85

Energy consumption of the refrigerated beverage compartment:
EBeverage Compartment= ET1 + [(ET2–ET1) x (38 oF–TBC1) / (TBC2–TBC1)].

Accordingly, PAPRSA respectfully requests that it be permitted to use this approved alternative testing method to test, certify and rate new basic hybrid model SR5180JBC in the same manner as its waiver hybrid models subject to the existing waiver.4

3. Manufacturers of Other Basic Models Marketed in the United States Known to Incorporate Similar Design Characteristics
After reviewing publicly available product manuals of comparable hybrid models, PAPRSA was unable to locate a basic model marketed in the United States that incorporates similar design characteristics and that also would be considered a “covered product” under Section 430.62 of DOE’s rules. 3

4. Grounds for Interim Waiver
Pursuant to 10 CFR part 430.27(b)(2), applicants for an interim waiver should address the likely success of their petition and what economic hardships and/or competitive disadvantages are likely to arise absent the grant of an interim waiver.

As detailed above, it is highly likely that DOE will grant this Petition, as PAPRSA is simply seeking to test a new basic hybrid model under the alternative testing procedure already approved by DOE for PAPRSA’s other hybrid models subject to the existing waiver. SR5180JBC contains no materially different design characteristics that should warrant a different result.

Further, as DOE has previously stated, “[f]ully recognizing that product development occurs faster than the test procedure rulemaking process, the Department’s rules permit manufacturers of models not contemplated by the test procedures ... to petition for a test procedure waiver in order to certify, rate, and sell such models.” GC Enforcement Guidance on the Application of Waivers and on the Waiver Process at 2 (rel. Dec. 23, 2010);4 see also DOE FAQ Guidance Regarding Coverage of Wine Chillers, Etc. in the R/F Standard/Test Procedure at 2 (rel. Feb. 10, 2011) (“DOE recognizes the potential disparity in treatment among these hybrid products. As DOE indicated ..., the Department plans to engage in a future rulemaking to more comprehensively address these types of products.”).

3 PAPRSA cannot guarantee that its search disclosed every possible competing model, as PAPRSA ordinarily does not search for and retain this information in the normal course of business, but to the best of PAPRSA’s knowledge, certain GE hybrid models appear to be the closest substitutes to SANYO E&E’s hybrid models in terms of both functionality and design characteristics. However, GE represents in its product manuals that its hybrid models, specifically, ZDBC240, ZDBT240, ZDBR240, and ZDBI240, do not achieve temperatures below 40 oF and thus would not be considered a covered product under DOE regulations. PAPRSA is uncertain if GE means that the average temperature of the entire cabinet does not drop below 40 oF, which is the case with all PAPRSA’s hybrid models, or whether GE is representing that no portion of its single-cabinet models can achieve temperatures below 40 oF. Based on this uncertainty, PAPRSA excluded GE from this section. PAPRSA’s research did not reveal any other basic models that, after review of the design characteristics, were comparable to PAPRSA’s hybrid models.

4 Available at http://www.gc.energy.gov/documents/LargeCapacityRCW_guidance_122210.pdf.5

As noted in Section 3 above, certain manufacturers design comparable hybrid models so that the beverage center compartment does not reach below 40 oF, and thus are not covered products under DOE’s regulations. Unless PAPRSA is granted an interim waiver, it will be at a competitive disadvantage by being unable to introduce new basic hybrid models to compete with manufacturers that design their hybrid models in a manner that falls outside of DOE’s jurisdiction.

Thus, given that this Petition is likely to be granted and PAPRSA will face economic hardship unless an interim waiver is granted, permitting PAPRSA to immediately certify new basic hybrid model SR5180JBC under the alternative testing method already approved by DOE is in the public interest.

Respectfully submitted,

/s/ Alan G. Fishel Adam D. Bowser ARENT FOX LLP 1717 K St., NW Washington, DC 20036-5369 (202) 857-6450 fishel.alan@arentfox.com bowser.adam@arentfox.com

Counsel for Panasonic Appliances Refrigeration Systems Corporation of America

April 29, 2013