1. 1 Analysis of Cost and Savings Values for Revised Energy Star Freezers and Refrigerators June 6, 2006

2. 2 Issue Summary Energy Star efficiency minimums increased from 10% to 15% in 2004 Existing deemed savings and cost based for Energy Star refrigerators not updated since 2002 No prior RTF analysis of deemed savings and cost-effectiveness for Energy Star Freezers due to few qualifying models

3. 3 Analytical Approach Data Sources – Retail Price –Oregon Residential Tax Credit Data for 2005 for Refrigerators Retail Prices paid - (including “in store” rebates/discounts) –Web survey of major online retailers (Sears, Lowes, AJ Madison) Data Source – Energy Savings –Use DOE Test Procedure –Use FTC Energy Guide Model Listings

4. 4 Side-by-Side Refrigerators Cost Data 2005 Tax Year –Retail Price data on 1500 units –Minimum 20% above federal standard Web Survey –Retail Price Data on 184 units –Federal standard and above efficiency

5. 5 Top and Bottom Mount Refrigerators Top Mount Freezer Refrigerators –Web Survey Retail Price Data on 131 units Federal standard and above efficiency Bottom Mount Freezer Refrigerators –Web Survey Retail Price Data on 92 units Federal standard and above efficiency

6. 6 Freezers Upright –Web Survey Retail Price Data on 72 units Federal standard and above efficiency Chest –Web Survey Retail Price Data on 35 units Federal standard and above efficiency

7. 7 Cost vs Efficiency Analysis Energy Use is a function of configuration and capacity Regressions performed on cost and capacity data for each configuration to derive relationship between energy use and retail price Data set was constrained to find “minimum price” to achieve a each level of energy use

8. Upright Freezer Regression Results

9. Chest Freezer Regression Results

10. Top-Mount Refrigerator Freezer Regression Results

11. Bottom-Mount Refrigerator Freezer Regression Results

12. Side-by-Side Refrigerator Freezer Regression Results

13. Freezer Results Measure NameIncremental Capital Cost ($/unit) Annual Savings @ Site (kwh/yr) Benefit / Cost Ratio Energy Star Upright-Manual Defrost Freezer$19481.87 Energy Star Upright-Auto Defrost Freezer$37941.87 Energy Star Chest Freezer$12342.01 Energy Star Freezer - Any Type & Capacity$18481.98

14. Refrigerator Results Measure NameIncremental Capital Cost ($/unit) Annual Savings @ Site (kwh/yr) Benefit / Cost Ratio Energy Star Refrigerator with Bottom Freezer - No Ice$121016.22 Energy Star Refrigerator with Bottom Freezer - Ice$181566.22 Energy Star Refrigerator with Top Freezer - Ice$27862.28 Energy Star Refrigerator with Top Freezer - No Ice$27842.28 Energy Star Refrigerator - Any Configuration$68730.78 Energy Star Refrigerator with Side-by-Side - No Ice$1991100.4 Energy Star Refrigerator with Side-by-Side - Ice$2171200.4

15. 15 Issue Side-by-Side Refrigerators are represent a growing share of the market –Incremental cost data derived from both Tax Credit and online retailers appear to indicate that Energy Star cost for this configuration are 9-10 times higher than other configurations Can this be true????