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State Regulation of Electric Lamps

Threatens National Energy Efficiency Standards

To Be Established under the Energy Policy Act of 1992

National Electrical Manufacturers Association

July 20, 1993

Background of the National Energy Policy Act of 1992

In the Energy Policy Act of 1992, Congress made new types

of products subject to federal energy efficiency standards,

labeling rules, and test procedures. Congress recognized the

need for a uniform federal policy that would establish energy

efficiency standards that are technologically feasible,

economically justified, and that would result in significant

national energy savings. To ensure federal uniformity and to

prevent undue burdens on interstate commerce, the Energy Policy

Act built on predecessor laws to preempt new State regulations of

products subject to federal regulatory authority.

General Service Incandescent Lamps

The Energy Policy Act brought all general service

incandescent and fluorescent lamps under federal regulatory

jurisdiction. However, the applicability of standards and

labeling rules varies with different products. General service

fluorescent and incandescent reflector lamps are subject to

statutorily prescribed efficiency standards (which go into'effect

after prescribed interim periods) and to FTC labeling rules, (to

be issued by April 1994). Non-reflector, general service

incandescent lamps, including common household A-line'lamps, are

to be subject to a DOE rulemaking proceeding, to be initiated no

later than April 1997, which will determine whether efficiency

standards would be extended to some or all general service

incandescent lamps. Non-reflector incandescent lamps, like

general service fluorescent and reflector lamps, are subject to

FTC labeling rules to be adopted by April 1994.

Effects of Diverse State Regulation of Incandescent Lamps

Several states have recently considered adopting

efficiency standards and labeling rules applicable to

non-reflector incandescent lamps. A Minnesota state agency has

distributed draft regulations setting efficiency standards for

non-reflector incandescent lamps. A California legislative

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committee recently considered, but did not approve, a bill that

would have established energy efficiency standards for many

non-reflector, incandescent lamps. During congressional

consideration of the Energy Policy Act, proposed legislation was

introduced in Massachusetts to impose efficiency regulations on

general service incandescent lamps. To date, this state

legislation has not been enacted. In Vermont, legislation was

passed in 1992 that states that if federal standards for

incandescent lamps (plus other types) are not in effect by July

1995, the State will proceed with adoption of standards.

States such as Minnesota seem to believe that the

preemption rules in the federal law do not apply to state

regulation of non-reflector incandescent lamps. If one state,

such as Minnesota, persists in adopting its own efficiency

standards or labeling rules for general service incandescent

lamps, the floodgates may open for other states to impose diverse

and conflicting standards. Any state standards would disrupt

national uniformity and would impose substantial burdens on

manufacturers, consumers, and interstate commerce.

The reason Congress did not immediately prescribe

efficiency standards for general service incandescent lamps and,

instead, gave DOE regulatory authority to make a future

determination of whether to impose such standards is to give the

labeling requirements the opportunity to move lighting users

toward more efficient lamps. Moreover, Congress recognized that

only marginal efficiency improvements could be made on mature

technologies, such as non-reflector incandescent lamps, but that

significant energy savings exist for newer types of technologies,

such as compact fluorescent lamps.

DOE must make a cost benefit study of the technological

feasibility and economic justification of imposing standards on

household incandescent lamps. Diverse and potentially

conflicting state regulations will, in the interim four years (at

most), cause great disruption to markets for these lamps.

Manufacturers will incur substantial costs to comply with rules

of individual states and will not be able to maintain a uniform

product line or marketing strategy. Consumers everywhere may pay

for efficiency objectives of only one or a few states.

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Steps DOE Might Take to Forestall State Regulation of Lamps

1. DOE might publicize to the 50 states its obligation

and intent to make a determination prior to April

1997 on applying specific standards to general

service incandescent lamps.

2. DOE might publicly espouse the federal interest in

uniformity of lamp regulation and its concern with

burdens on interstate commerce imposed by diverse

state regulations.

3. DOE might adopt regulations that more explicitly

apply statutory preemption provisions to all new

state regulations of general service incandescent

lamps, effective prior to DOE's 1997 determination

to set standards for such lamps.

4. DOE might clarify that , come 1997, a determination

to apply standards to some or all general service

incandescent lamps absolutely triggers preemption of

preexisting State regulations , even as to lamps for

which no federal standards are adopted.

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