Federal Register / Vol. 78, No. 251 / Tuesday, December 31, 2013 / Proposed Rules 79649 

17Available at: http://www.whitehouse.gov/sites/

default/files/omb/inforeg/social_cost_of_carbon_

for_ria_2013_update.pdf. 

18Available at: http://www.cio.noaa.gov/services_

programs/pdfs/OMB_Peer_Review_Bulletin_m05- 

03.pdf. 

its Executive Order 13563 review. See 

78 FR 36365. 

IV. Comments on Sufficiency of the 

Science and Precedential Effects 

In responding to the August 16, 2013, 

Federal Register petition document, 

many commenters questioned the 

scientific and economic basis of the SCC 

values. These commenters made 

extensive comments about: the alleged 

lack of economic theory underlying the 

models; the sufficiency of the models 

for policy-making; potential flaws in the 

models’ inputs and assumptions 

(including the discount rates and 

climate sensitivity chosen); whether 

there was adequate peer review of the 

three models; whether there was 

adequate peer review of the TSD 

supporting the 2013 SCC values; 17

whether the SCC estimates comply with 

OMB’s ‘‘Final Information Quality 

Bulletin for Peer Review’’ 18 and DOE’s 

own guidelines for ensuring and 

maximizing the quality, objectivity, 

utility and integrity of information 

disseminated by DOE; whether DOE’s 

use of the updated SCC values has 

precedential effect for other agency 

rulemakings; and why DOE is 

considering global benefits of carbon 

dioxide emission reductions rather than 

solely domestic benefits. (See CEI, No. 

34; Heritage, No. 24; IER, No. 9; Cato, 

No. 8; AFFORD, No. 20; ATR, No. 12; 

ACC, No. 29; AFPM, No. 16; FMEA, No. 

19; Heritage, No 26; IECA, No. 22; 

TRCS, No. 25; SEEP No. 27; Kiefer, No. 

4; ACC, No. 29; Chamber, No. 23; 

Laclede, No. 7; API, No. 30; APGA, No. 

13; GWU–RSC, No. 5; AGA, No. 10; 

GRU, No. 21; NAM, No. 29; George 

Mason, No. 11) 

As described above, OMB has 

announced minor technical corrections 

to the 2013 SCC values and a new 

opportunity for public comment on the 

revised TSD underlying the SCC 

estimates. Comments regarding the 

underlying science and potential 

precedential effect of the SCC estimates 

resulting from the interagency process 

should be directed to that process. See 

78 FR 70586. Additionally, as EDF 

documented in its comments, several 

current rulemakings also use the 2013 

SCC values and the public is welcome 

to comment on the values as applied in 

those rulemakings just as the public was 

welcome to comment on the use and 

application of the 2010 SCC values in 

the many rules that were published 

using those values in the past three 

years. (EDF, No. at pp. 4–5). 

Finally, in addition to the topics 

above, commenters provided feedback 

on several other issues that go beyond 

the scope of the notice asking for 

comments on whether DOE should 

reconsider the microwave oven rule. 

IECA commented that the use of SCC 

values in regulation will negatively 

impact U.S. manufacturers, shipping 

U.S. production, jobs and investments 

overseas, which IECA contends would 

lead to more CO emissions by non-U.S. 

energy sources. IECA also questioned 

why the benefits of U.S. production to 

U.S. consumers and the economy are 

not considered by DOE. (IECA, No. 22) 

Other comments include statements 

about whether climate change is 

occurring at all, contentions that climate 

change may be natural and not humancaused, and that climate change may not 

have significant, adverse impacts; 

statements that all fossil-fueled power 

plants should be replaced with nuclear 

power plants and DOE should be 

reorganized to only work on nuclear 

issues; suggestions to use the IPCC Fifth 

Assessment Report when considering 

SCC values; statements that effects due 

to other greenhouse gases and other 

harms to society need to be included in 

the SCC as well; comments that the 

standards rule (apart from the SCC 

portion) must be reopened because the 

regulation fails to pass benefit-cost tests 

because it assumes irrational consumer 

behavior; and questions about why 

comments on the Draft National Climate 

Assessment were not addressed in 

DOE’s rule. 

V. Conclusion 

After reviewing LLF’s petition and 

comments on the petition, DOE has 

concluded that it has provided 

sufficient notice and the opportunity for 

public comment as required under the 

Administrative Procedure Act and a 

level of transparency in accordance with 

Executive Order 13563 regarding the use 

of SCC values in the microwave oven 

SNOPR and final rule. DOE has also 

concluded that reconsidering the 

microwave oven final rule would not 

result in any change to the standard 

ultimately adopted by DOE. As a result 

of the above analysis, and in 

consideration of LLF’s petition and the 

comments received thereon, DOE denies 

the petition. 

Issued in Washington, DC, on December 

24, 2013. 

Kathleen B. Hogan, 

Deputy Assistant Secretary for Energy 

Efficiency, Energy Efficiency and Renewable 

Energy. 

[FR Doc. 2013–31273 Filed 12–30–13; 8:45 am] 

BILLING CODE 6450–01–P 

DEPARTMENT OF ENERGY 

10 CFR Part 430 

[Docket No. EERE–2010–BT–DET–0040] 

RIN 1904–AC52 

Energy Conservation Program: 

Proposed Determination of Set-Top 

Boxes and Network Equipment as a 

Covered Consumer Product 

AGENCY: Office of Energy Efficiency and 

Renewable Energy, Department of 

Energy. 

ACTION: Proposed determination; 

withdrawal. 

SUMMARY: The U.S. Department of 

Energy (DOE) withdraws a proposed 

determination published June 15, 2011 

that set-top boxes (STBs) and network 

equipment qualify as a covered product 

under Part A of Title III of the Energy 

Policy and Conservation Act (EPCA), as 

amended. DOE is taking this action in 

light of a consensus agreement entered 

by a broadly representative group that 

DOE believes has the potential to 

achieve significant energy savings in 

STBs. 

DATES: The proposed determination is 

withdrawn December 31, 2013. 

FOR FURTHER INFORMATION CONTACT: 

Mr. Jeremy Dommu, U.S. Department 

of Energy, Office of Energy Efficiency 

and Renewable Energy, Building 

Technologies Program, EE–2J, 1000 

Independence Avenue SW., 

Washington, DC 20585–0121. 

Telephone: (202) 586–9870. Email: 

Jeremy.Dommu@ee.doe.gov. 

Ms. Celia Sher, U.S. Department of 

Energy, Office of the General Counsel, 

GC–71, 1000 Independence Avenue 

SW., Washington, DC 20585–0121. 

Telephone: (202) 287–6122. Email: 

Celia.Sher@hq.doe.gov. 

SUPPLEMENTARY INFORMATION: 

I. Authority 

Title III of EPCA (42 U.S.C. 6291, et 

seq.) sets forth a variety of provisions 

designed to improve energy efficiency. 

Part A of Title III of EPCA (42 U.S.C. 

6291–6309) established the ‘‘Energy 

Conservation Program for Consumer 

Products Other Than Automobiles,’’ 

which covers consumer products and 


emcdonald on DSK67QTVN1PROD with PROPOSALS
79650 Federal Register / Vol. 78, No. 251 / Tuesday, December 31, 2013 / Proposed Rules 

1For editorial reasons, upon codification in the 

U.S. code, Part B was re-designated Part A. 

2http://www.ncta.com/energyagreement. 

certain commercial products (hereafter 

referred to as ‘‘covered products’’).1 In 

addition to specifying a list of covered 

residential and commercial products, 

EPCA contains provisions that enable 

the Secretary of Energy to classify 

additional types of consumer products 

as covered products. (42 U.S.C. 

6292(a)(20)) DOE may prescribe test 

procedures for any product it classifies 

as a ‘‘covered product.’’ (42 U.S.C. 

6293(b)) 

II. Background 

On June 15, 2011, DOE published a 

notice of proposed determination that 

tentatively determined that STBs and 

network equipment qualify as a covered 

product. 76 FR 34914. Subsequently, 

DOE initiated the rulemaking process to 

establish a test procedure for STBs. 

First, DOE issued a request for 

information document on December 16, 

2011, requesting stakeholders to provide 

technical information regarding various 

test procedures used by industry to 

measure the energy consumption of 

STBs and network equipment. 76 FR 

78174. DOE then published a notice of 

proposed rulemaking (NOPR) on 

January 23, 2013 to establish a new test 

procedure focused exclusively on STBs. 

78 FR 5076. DOE held a public meeting 

and requested stakeholder comments on 

all aspects of the NOPR. 

III. Discussion 

In September, 2013 a broadly 

representative group of Pay-TV, 

consumer electronics industries and 

energy advocates announced a 

Voluntary Agreement for Ongoing 

Improvement to the Energy Efficiency of 

Set-Top Boxes (Agreement).2 The 

Agreement established a five-year 

written commitment to continue 

improvements in the energy efficiency 

of STBs used in the distribution of 

digital video signals. Under the terms of 

the Agreement, it is predicted that 

consumers will realize significant 

annual residential electricity savings. 

DOE encourages the development of 

market-based solutions, such as the 

Agreement. DOE also recognizes that 

there are multiple paths forward to 

ensure that the maximum economic 

benefits and energy savings occur 

through increasing the efficiency of 

STBs. DOE believes that the Agreement 

has the potential to achieve significant 

energy savings in STBs. Thus, in light 

of the newly adopted Agreement, DOE 

withdraws its proposed rule to 

determine STBs and network equipment 

as a covered product. DOE notes that it 

will continue to monitor the STB market 

closely and would consider reinitiating 

the rulemaking if it was found that the 

energy efficiency gains for STBs and 

consumer savings envisioned in the 

Agreement were not being realized. 

By separate action published 

elsewhere in today’s Federal Register, 

DOE is withdrawing its proposed rule to 

establish a test procedure for STBs. 

IV. Approval of the Office of the 

Secretary 

The Secretary of Energy has approved 

publication of this withdrawal. 

List of Subjects in 10 CFR Part 430 

Administrative practice and 

procedure, Confidential business 

information, Energy conservation, 

Household appliances, Imports, 

Intergovernmental relations, Small 

businesses. 

Issued in Washington, DC, on December 

20, 2013. 

Kathleen B. Hogan, 

Deputy Assistant Secretary of Energy 

Efficiency, Energy Efficiency and Renewable 

Energy. 

[FR Doc. 2013–31275 Filed 12–30–13; 8:45 am] 

BILLING CODE 6450–01–P 

DEPARTMENT OF THE TREASURY 

Internal Revenue Service 

26 CFR Part 1 

[REG–140974–11] 

RIN 1545–BK66 

Definitions and Reporting 

Requirements for Shareholders of 

Passive Foreign Investment 

Companies 

AGENCY: Internal Revenue Service (IRS), 

Treasury. 

ACTION: Notice of proposed rulemaking 

by cross-reference to temporary 

regulations. 

SUMMARY: In the Rules and Regulations 

section of this issue of the Federal 

Register, the IRS and the Department of 

the Treasury (Treasury Department) are 

issuing temporary regulations that 

provide guidance on determining the 

ownership of a passive foreign 

investment company (PFIC), the annual 

filing requirements for shareholders of 

PFICs, and an exclusion from certain 

filing requirement for shareholders that 

constructively own interests in certain 

foreign corporations. The temporary 

regulations primarily affect shareholders 

of PFICs that do not currently file Form 

8621, ‘‘Information Return by a 

Shareholder of a Passive Foreign 

Investment Company or Qualified 

Electing Fund’’, with respect to their 

PFIC interests. The temporary 

regulations also affect certain 

shareholders that rely on a constructive 

ownership exception to the requirement 

to file Form 5471, ‘‘Information Return 

of U.S. Persons with Respect to Certain 

Foreign Corporations.’’ The text of those 

temporary regulations published in this 

issue of the Federal Register also serves 

as the text of these proposed 

regulations. 

DATES: Comments and requests for a 

public hearing must be received by 

March 31, 2014. 

ADDRESSES: Send submissions to: 

CC:PA:LPD:PR (REG–140974–11), Room 

5205, Internal Revenue Service, P.O. 

Box 7604, Ben Franklin Station, 

Washington, DC 20044. Submissions 

may be hand-delivered Monday through 

Friday between the hours of 8 a.m. and 

4 p.m. to CC:PA:LPD:PR (REG–140974– 

11), Courier’s Desk, Internal Revenue 

Service, 1111 Constitution Avenue NW., 

Washington, DC, or sent electronically 

via the Federal eRulemaking Portal at 

http://www.regulations.gov (IRS REG– 

140974–11). 

FOR FURTHER INFORMATION CONTACT: 

Concerning the proposed regulations, 

Susan E. Massey or Barbara E. Rasch, 

(202) 317–6934; concerning submissions 

of comments or requests for a public 

hearing, Oluwafunmilayo Taylor, (202) 

317–6901 (not toll-free numbers). 

SUPPLEMENTARY INFORMATION: 

Background and Explanation of 

Provisions 

The temporary regulations in the 

Rules and Regulations section of this 

issue of the Federal Register amend the 

Income Tax Regulations (26 CFR part 1) 

under sections 1291 and 1298 of the 

Internal Revenue Code (Code). The text 

of the temporary regulations also serves 

as the text of these proposed 

regulations. The preamble to the 

temporary regulations explains the 

temporary regulations and these 

proposed regulations. 

Special Analyses 

It has been determined that this notice 

of proposed rulemaking is not a 

significant regulatory action as defined 

in Executive Order 12866, as 

supplemented by Executive Order 

13653. Accordingly, a regulatory 

assessment is not required. 

It is hereby certified that the 

collection of information in this 

regulation will not have a significant 

economic impact on a substantial 


emcdonald on DSK67QTVN1PROD with PROPOSALS