DOE Appliance and Equipment Standards Reform and Consumer Protection Act
Bill: H.R.8402 | Sponsor: Rep. Lesko, Debbie (R-AZ)
Policy area: Energy

Summary:
DOE Appliance and Equipment Standards Reform and Consumer Protection Act
This bill modifies the process by which the Department of Energy amends, revokes, or implements energy conservation standards for certain consumer products (other than automobiles), such as household appliances.

To amend the Energy Policy and Conservation Act to prohibit the 
    Secretary of Energy from prescribing any new or amended energy 
    conservation standard for a product that is not technologically 
      feasible and economically justified, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``DOE Appliance and Equipment 
Standards Reform and Consumer Protection Act''.

SEC. 2. PRESCRIBING NEW OR AMENDED ENERGY CONSERVATION STANDARDS.

    (a) Petition for Amended Standard.--Section 325(n) of the Energy 
Policy and Conservation Act (42 U.S.C. 6295(n)) is amended--
            (1) in paragraph (1), by inserting ``or revoked'' after 
        ``should be amended'';
            (2) by amending paragraph (2) to read as follows:
            ``(2) The Secretary shall grant a petition to determine if 
        energy conservation standards for a covered product should be 
        amended or revoked if the Secretary finds that such petition 
        contains evidence, assuming no other evidence were considered, 
        that such standards--
                    ``(A) result in additional costs to consumers;
                    ``(B) do not result in significant conservation of 
                energy or water;
                    ``(C) are not technologically feasible; and
                    ``(D) result in such covered product not being 
                commercially available in the United States to all 
                consumers.''; and
            (3) in paragraph (4)--
                    (A) by striking ``New or amended standards.'' and 
                inserting ``New, amended, or revoked standards.'';
                    (B) by redesignating subparagraphs (A) and (B) as 
                clauses (i) and (ii), respectively;
                    (C) by striking ``Not later than 3 years'' and 
                inserting ``(A) Not later than 3 years''; and
                    (D) by adding at the end the following:
            ``(B) Not later than 180 days after the date of granting a 
        petition to revoke standards, the Secretary shall publish in 
        the Federal Register--
                    ``(i) a final rule revoking the standards; or
                    ``(ii) a determination that it is not necessary to 
                revoke the standards.
            ``(C) The grant of a petition by the Secretary under this 
        subsection creates no presumption with respect to the 
        Secretary's determination of any of the criteria in a 
        rulemaking under this section.''.
    (b) Criteria.--Paragraphs (2) and (3) of section 325(o) of the 
Energy Policy and Conservation Act (42 U.S.C. 6295(o)) are amended to 
read as follows:
            ``(2) Requirements.--
                    ``(A) Design.--Any new or amended energy 
                conservation standard prescribed by the Secretary under 
                this section for any type (or class) of covered product 
                shall be designed to achieve the maximum improvement in 
                energy efficiency, or, in the case of showerheads, 
                faucets, water closets, or urinals, water efficiency, 
                which the Secretary determines is technologically 
                feasible and economically justified.
                    ``(B) Test procedures.--The Secretary may not 
                prescribe a new or amended energy conservation standard 
                under this section for a type (or class) of covered 
                product if a test procedure has not been prescribed 
                pursuant to section 323 with respect to that type (or 
                class) of product.
                    ``(C) Significant conservation.--The Secretary may 
                not prescribe a new or amended energy conservation 
                standard under this section for a type (or class) of 
                covered product if the Secretary determines that the 
                establishment and imposition of such energy 
                conservation standard will not result in significant 
                conservation of--
                            ``(i) energy; or
                            ``(ii) in the case of showerheads, faucets, 
                        water closets, or urinals, water.
                    ``(D) Technologically feasible and economically 
                justified.--
                            ``(i) In general.--The Secretary may not 
                        prescribe a new or amended energy conservation 
                        standard under this section for a type (or 
                        class) of covered product unless the Secretary 
                        determines that the establishment and 
                        imposition of such energy conservation standard 
                        is technologically feasible and economically 
                        justified.
                            ``(ii) Effect.--For purposes of section 
                        327, a determination under clause (i) with 
                        respect to any type (or class) of covered 
                        products shall have the same effect as would a 
                        standard prescribed for such type (or class).
            ``(3) Factors for determination.--
                    ``(A) Economic analysis.--Prior to prescribing any 
                new or amended energy conservation standard under this 
                section for any type (or class) of covered product, the 
                Secretary shall conduct a quantitative economic impact 
                analysis of imposition of the energy conservation 
                standard that determines the predicted--
                            ``(i) effects of imposition of the energy 
                        conservation standard on costs to consumers of 
                        the products subject to such energy 
                        conservation standard, including--
                                    ``(I) costs to low-income 
                                households; and
                                    ``(II) variations in costs to 
                                consumers based on differences in 
                                regions, including climatic 
                                differences;
                            ``(ii) effects of imposition of the energy 
                        conservation standard on employment; and
                            ``(iii) lifecycle costs for the covered 
                        product, including costs associated with the 
                        purchase, installation, maintenance, disposal, 
                        and replacement of the covered product.
                    ``(B) Prohibition on additional costs to the 
                consumer.--The Secretary may not determine that 
                imposition of an energy conservation standard is 
                economically justified unless the Secretary, based on 
                an economic analysis under subparagraph (A) determines 
                that--
                            ``(i) imposition of such energy 
                        conservation standard is not likely to result 
                        in additional net costs to the consumer, 
                        including any increase in net costs associated 
                        with the purchase, installation, maintenance, 
                        disposal, and replacement of the covered 
                        product; and
                            ``(ii) any additional cost to the consumer 
                        of purchasing and installing a covered product 
                        complying with such energy conservation 
                        standard will be less than 3 times the value of 
                        the energy, and as applicable, water, savings 
                        during the first year that the consumer will 
                        receive as a result of the standard, as 
                        calculated under the applicable test procedure.
                    ``(C) Required energy or water savings.--The 
                Secretary may not determine that imposition of an 
                energy conservation standard is economically justified 
                unless the Secretary determines that compliance with 
                such energy conservation standard will result in--
                            ``(i) a reduction of at least 0.3 quads of 
                        site energy over 30 years; or
                            ``(ii) at least a 10 percent reduction in 
                        energy or water use of the covered product.
                    ``(D) Criteria related to performance.--The 
                Secretary may not determine that imposition of an 
                energy conservation standard is economically justified 
                unless the Secretary determines that imposition of such 
                energy conservation standard will not result in any 
                lessening of the utility or the performance of the 
                applicable covered product, taking into consideration 
                the effects of such energy conservation standard on--
                            ``(i) the compatibility of the covered 
                        product with existing systems;
                            ``(ii) the life span of the covered 
                        product;
                            ``(iii) the operating conditions of the 
                        covered product;
                            ``(iv) the duty cycle, charging time, and 
                        run time of the covered product, as applicable;
                            ``(v) the maintenance requirements of the 
                        covered product; and
                            ``(vi) the replacement and disposal 
                        requirements for the covered product.
                    ``(E) Criteria related to market competition and 
                price discrimination.--The Secretary may not determine 
                that imposition of an energy conservation standard is 
                economically justified unless the Secretary determines 
                that imposition of the energy conservation standard is 
                not likely to result in--
                            ``(i) any lessening of market competition; 
                        or
                            ``(ii) price discrimination.
                    ``(F) Technological innovation.--The Secretary may 
                not determine that imposition of an energy conservation 
                standard is economically justified unless the Secretary 
                determines that imposition of such energy conservation 
                standard is not likely to result in the unavailability 
                in the United States of a type (or class) of products 
                based on what type of fuel the product consumes.
                    ``(G) Other considerations.--In determining whether 
                imposition of an energy conservation standard is 
                economically justified, the Secretary--
                            ``(i) shall prioritize the interests of 
                        consumers;
                            ``(ii) may not consider estimates of the 
                        social costs or social benefits associated with 
                        incremental greenhouse gas emissions; and
                            ``(iii) shall consider--
                                    ``(I) the economic impact of the 
                                standard on the manufacturers and on 
                                the consumers of the products subject 
                                to such standard;
                                    ``(II) the savings in operating 
                                costs throughout the estimated average 
                                life of the covered product in the type 
                                (or class) compared to any increase in 
                                the price of, or in the initial charges 
                                for, or maintenance expenses of, the 
                                covered products which are likely to 
                                result from the imposition of the 
                                standard;
                                    ``(III) the total projected amount 
                                of energy, or as applicable, water, 
                                savings likely to result directly from 
                                the imposition of the standard;
                                    ``(IV) the need for national energy 
                                and water conservation; and
                                    ``(V) other factors the Secretary 
                                considers relevant.
            ``(H) Regulatory review.--
                    ``(i) Evaluation.--Not later than 2 years after the 
                issuance of any final rule prescribing a new or amended 
                energy conservation standard under this section for any 
                type (or class) of covered product, the Secretary shall 
                evaluate the rule to determine whether such energy 
                conservation standard is technologically feasible and 
                economically justified and whether the regulatory 
                impact analysis for such rule remains accurate.
                    ``(ii) Effect.--Notwithstanding any other provision 
                of this part, if the Secretary determines, based on an 
                evaluation under clause (i), that an energy 
                conservation standard is not technologically feasible 
                or economically justified--
                            ``(I) the Secretary shall publish such 
                        determination and such energy conservation 
                        standard shall have no force or effect; and
                            ``(II) the Secretary may publish a final 
                        rule amending the energy conservation standard 
                        for the type (or class) of covered product to 
                        be technologically feasible and economically 
                        justified in accordance with this subsection, 
                        which amendment shall apply to such a product 
                        that is manufactured after the date that is 2 
                        years after publication of such final rule.''.

SEC. 3. CONFORMING AMENDMENTS.

    (a) Amendment of Standards.--Section 325(m)(1)(A) of the Energy 
Policy and Conservation Act (42 U.S.C. 6295(m)(1)(A)) is amended by 
striking ``, based on the criteria established under subsection 
(n)(2)''.
    (b) Regional Standards.--Section 325(o)(6)(D)(i)(II) of the Energy 
Policy and Conservation Act (42 U.S.C. 6295(o)(6)(D)(i)(II)) is amended 
by striking ``this paragraph'' and inserting ``this subsection''.
    (c) Procedure for Prescribing New or Amended Standards.--Section 
325(p)(2)(A) of the Energy Policy and Conservation Act (42 U.S.C. 
6295(p)(2)(A)) is amended by striking ``taking into account those 
factors which the Secretary must consider under subsection (o)(2)'' and 
inserting ``as determined in accordance with subsection (o)''.
    (d) Energy Conservation Standards for High-Intensity Discharge 
Lamps, Distribution Transformers, and Small Electric Motors.--Section 
346 of the Energy Policy and Conservation Act (42 U.S.C. 6317) is 
amended by striking subsection (c).
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