News Watch: DOE Rules on Furnace Standards
January 2, 2008
The U.S. Department of Energy increased the energy
efficiency standards for residential furnaces and boilers. The ruling was
derided by environment groups and applauded by industry. For
its part, the DOE estimates that the new standard will save the equivalent of
the total amount of energy consumed by 2.5 million American households in a
year or approximately 0.25 quadrillion (10x15) (BTUs) of energy over a period
from 2015 to 2038. The revised standards will become
effective in 2015 and concern residential non-weatherized and weatherized gas
furnaces, mobile home gas furnaces, oil-fired furnaces, and gas-fired and
oil-fired boilers. The standard replaces requirements that were issued in 1987
and went into effect in 1992. The new standard includes:
- An 80 percent AFUE standard for indoor gas
furnaces, which is up from 78 percent.
- An 81 percent AFUE standard for
outdoor gas furnaces.
- An 82 percent AFUE for gas boilers, which is up
from 80 percent.
Last year, the DOE had proposed to adopt an 83 percent
AFUE for outdoor gas furnaces and an 84 percent AFUE for gas boilers, but was
dissuaded by industry arguments that those levels present serious condensation
and corrosion risks for those products, says GAMA Vice President and General
Counsel Joseph Mattingly. “It was a relief to us that they backed off on those
standards,” he says. “Had they not, we would have had to challenge the Final
Rule.” A coalition of consumer, energy, and environmental
groups criticized the DOE’s ruling, saying that it changed little from the
original levels set 20 years ago. Energy efficiency advocates had been calling
for a 90 percent AFUE standard, which about a third of the gas furnaces sold already
meet, or for regional standards with more stringent requirement in cold weather
areas. The DOE rejected both arguments. It says that the
new standards are technically feasible and take into account the risks that
higher efficiency units may run. The agency also stated that it had no
authority to issue regional standards. The ruling was part
of the DOE’s court-mandated plan to eliminate a 30-year backlog on appliance
standards. The agency plans to implement standards for 18 appliances over the
next five years. DOE Assistant Secretary of Energy for
Energy Efficiency and Renewable Energy Andy Karsner said that the agency
intends to maintain, and, where possible, “accelerate the extraordinary
progress we have made over the last two years.”
ANSI NOD TO AHAM.The
Association of Home Appliance Manufacturers’ performance evaluation procedure
for household refrigerators, refrigerator-freezers and freezers has gained
approval from the American National Standards Institute (ANSI) as an American
National Standard. The standard, ANSI/AHAM HRF-1-2007, Energy, Performance and
Capacity of Household Refrigerators, Refrigerator-Freezers and Freezers,
supersedes the 2004 edition. It contains methods for computing total volume, volume
of special features and shelf area; energy consumption and energy factor of
household refrigerators, household wine chillers and household freezers;
performance test procedures and recommended levels of performance; durability
and condensate test procedures; and safety of household refrigerators,
household wine chillers and household freezers. Results of tests in accordance
with this standard may be publicly stated.
The revised standard contains an insertion that clarifies how the test
method is intended to provide an accurate energy calculation. It specifies that
conditions that occur in a typical home should be simulated during the energy
test. AHAM has requested that the U.S. Department of Energy incorporate the
AHAM language into its refrigerator and freezer test procedures as a
clarification of how these products’ energy use should be measured.
A second AHAM standard, which oversees the compatibility
between appliances, has been reaffirmed by ANSI as a national standard. The
standard, which was originally released in 2003, will be known as the ANSI/AHAM
CHA-1-2003 (R 2007), Connected Home Appliances-Object Modeling. The standard
describes generic appliance models, objects and high-level messages. The models
define standardized elements of appliances that are accessible and controllable
remotely by users, service providers, and other devices independently of the
underlying communications network. GREENER
SOONER.Whirlpool Corp-oration of Benton Harbor, Mich., plans to
increase its commitment to environmentally-sound business practices by reducing
total greenhouse gas emissions by 6.6 percent by 2012. The company will make
these global, voluntary reductions while at the same time increasing production
by 17 percent. Whirlpool plans to bring an “across the board” focus to energy
and water conservation, from design to manufacturing and distribution to end of
product lifecycle. In 2003, Whirlpool targeted a reduction of greenhouse gas
emissions by 3 percent from 1998 levels through 2008, while at the same time
increasing production by 40 percent. The company says it is on track to meet
this target. WHIRLPOOL WINS
AWARD. The Consumer Electronics Association named the Whirlpool
brand refrigerator with the centralpark connection as an Innovations 2008
Design and Engineering Award Honoree in the Home Appliances product category.
The refrigerator with the centralpark connection incorporates an interface that
acts as a hub for a variety of consumer electronics devices.
SMART PROCESSOR. Philips
Electronics India, a subsidiary of Dutch electronics maker Royal Philips
Electronics, has launched a hands-free intelligent food processor for the India
market. The device features an Intelli-arm and Intellicontrol that enables
unsupervised and hands-free operation. It has a 750 W motor, and a reverse
quadra flow for improved grinding. The company says that the launch is in line
with Philips’ objective to transform itself into a lifestyle and healthcare
company using innovation as a key driver.
RURAL COMPUTING. Chip-maker
Intel has teamed with appliance manufacturer Haier, to develop inexpensive PCs
and laptops for rural markets in China. The two companies have agreed to a
three-year plan to develop and market the devices. According to published
reports, the deal is a response to Intel’s competitors who are entering China’s
rural market with their own products. LEAVING
JAPAN. Samsung Electronics Co. has stopped selling flat panel
televisions and other consumer products in Japan, citing poor profitability.
The South Korean electronics manufacturer could not penetrate the Japanese
consumer market, home to rivals such as Matsushita Electric Industrial Co.,
Sony Corp. and Sharp Corp. Last year, Samsung’s sales of consumer electronics
in Japan came to less than 1 percent of the company’s total sales. Samsung sold
LCD TVs, DVD players, MP3 music players and other items in Japan via the
Internet, but stopped at the end of October. It had ceased sales in retail
outlets in August last year. Samsung will continue to sell flat screen computer
monitors and components directly to businesses and will also keep supplying
mobile phone handsets to the Japanese telecommunications company Softbank
Corp. ENGINEERS REBOUND. A
company started by Maytag design engineers, who lost their jobs after Whirlpool
Corp. bought the company and closed Maytag operations in Iowa, has signed a
contract with Whirlpool. The company, Springboard Engineering, expects to be
operational this month in a 40,000-square-foot building. Most of the Newton,
Iowa-based Maytag design staff will be employed by Springboard Engineering.
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Encore gas pump with Applause media system.
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PUMP POINTS WAY.
Lost drivers soon will be able to Google for help at the gas pump. Google plans
to dispense driving directions at thousands of gasoline pumps across the U.S.
The pumps are made by Gilbarco Veeder-Root, Greensboro, N.C., and feature the
company’s Encore dispensers with color screens and the Applause media system
that includes an Internet connection. Motorists will be able to scroll through
several categories to find local landmarks, hotels, restaurants and hospitals
selected by the gas station’s owner. After the driver selects a destination,
the pump will print out directions on the receipt printer.
F&P PLANS NEW PLANT. New
Zealand-based Fisher & Paykel Appliances plans to build a factory in North
America for its DishDrawer product. The plant is expected to be completed by
late next year and will distribute a new DishDrawer model that is manufactured
specially for the North American market. Production is expected to begin in
early 2009. The plant is estimated to cost the company $15 million, however,
due to the close proximity of the plant to its North America market, working
capital requirements will be relatively low, according to the company.
HVAC SALES HEAT UP. Demand in
the U.S. for HVAC equipment is expected to increase 3.2 percent per year to
$16.8 billion by 2011. Advances will be driven by gains in new non-residential
construction, along with ongoing growth in the residential replacement market.
Nearly 75 percent of HVAC demand is attributable to replacements. That market
segment is expected to be spurred by increased interest in energy efficient
building systems and rebates and tax incentives. In 2006, heat pumps surpassed
warm air furnaces to account for the largest share of heating equipment demand
and will account for 47 percent in 2011. Heat pumps are expected to post the
strongest gains through 2011. Unitary air conditioners will remain the largest
segment in the cooling equipment industry, accounting for more than 70 percent
of total demand in 2011. Absorptive liquid chilling systems are expected to
post the strongest gains through 2011, as industrial and commercial
construction rebounds over the forecast period. OUTDOOR
SALES SLOW. The Outdoor Power Equipment Institute (OPEI) is
predicting slower sales of certain outdoor power equipment due to a slumping
economy, slow housing sales, and existing weather patterns. It is expected that
2007 will show a weakness in shipments of hand held outdoor equipment products.
In most cases, it is expected that an increase in shipments will now not occur
until the end of 2008 or beginning of 2009. Hand-held blower shipments are now
forecast to decrease by 1.7 percent in 2007 although the July 2007 forecast
estimated a 1.9 percent increase in shipments. The forecast for backpack
blowers reflects a smaller increase (1.5 percent) in shipments than indicated
in July 2007 (4.8 percent). The percentage increase in trimmer shipments is
also forecast to be lower than estimated in July 2007 with shipments expected
to increase by 0.8 percent rather than the predicted 4.3 percent. Chain saw
shipments are expected to decrease by 5.5 percent, moving the forecast lower
than July 2007’s forecast of a 4.3 percent decrease in chain saw shipments.
The OPEI also states that shipments from September 2006 to
August 2007 will end on a down note for most consumer and commercial turf
products with the exception of zero-turn riders. Total shipments will fall 11.6
percent to 1.5 million units. Walk-behind mowers will fall 5.7 percent, front
engine law tractors 12.9 percent and riding garden tractors by 44.9 percent.
WARRANTIES EXTENDED. Carrier
Corp., Farmington, Conn., a unit of United Technologies Corp., is enhancing the
warranties on its 90 percent or greater efficient gas furnaces. Carrier will
provide a 20-year parts and labor warranty for the secondary heat exchanger.
According to the company, the warranty enhancement is a response to a
class-action lawsuit filed by a small number of U.S. and Canadian consumers
claiming premature failure on the secondary heat exchanger found in Carrier,
Bryant, Payne and Day & Night high-efficiency condensing gas furnaces that
are 90 percent AFUE or greater and were produced after Jan. 1, 1989. (Day &
Night furnaces sold after January 2007 are not affected.) Carrier denies these
claims. To resolve the issue, Carrier has agreed to a proposed settlement that
provides enhanced warranty coverage regarding the secondary heat exchangers on
its 90 percent AFUE or greater high-efficiency gas furnace.
DAEWOO, PART TWO. Creditors
have put Daewoo Electronics up for sale again. This comes after the collapse of
a $750 million deal to sell one of South Korea’s largest home appliance and
television makers to a consortium led by India’s Videocon Industries. Creditors
own about 98 percent of the company and expect to receive letters of intent
from potential buyers in the near term. Videocon and RHJ International, part of
Ripplewood Holdings, a U.S. private equity fund, agreed to pay $754 million for
Daewoo. The consortium subsequently asked for a 13 percent discount and
installment payments over 10 years, but the creditors rejected the deal.
COOL GREEN. Makers
of commercial refrigeration equipment and chemical refrigerants, along with a
group of supermarkets, have joined with the EPA and launched the GreenChill
Advanced Refrigeration Partnership. It is a voluntary program to promote green
technologies, strategies, and practices that protect the stratospheric ozone
layer, reduce greenhouse gases, and save money. The 10 GreenChill founding
partners are: Whole Foods Market; Food Lion, LLC; Giant Eagle Inc.; Hannaford
Bros. Co.; Harris Teeter; Hill Phoenix; Honeywell International; Kysor//Warren;
Publix Super Markets Inc.; and DuPont. These partners, as well as those
expected to join in the future, must pledge to go beyond regulatory
requirements by establishing an inventory of current refrigerant emissions that
may affect climate change and the stratospheric ozone layer, and then set
reduction targets for these emissions. Partners will also participate in an
industry/government research initiative to assess the performance of cutting
edge technologies in terms of energy efficiency, reduction of ozone-depleting
refrigerant charges, and minimization of refrigerant leaks. The EPA estimates
that widespread adoption of advanced refrigeration technologies, best
practices, and improved equipment design and service, could reduce refrigerant
emissions by 1 million metric tons of carbon equivalent per year.
MOTORS FROM NEW ZEALAND. Hill
Phoenix, one of the founding members of the GreenChill Advanced Refrigeration
Partnership, has placed an order for 70,000 high-efficiency motors from
Wellington Drive Technologies Ltd. of New Zealand. The motors will be used in
Hill Phoenix’s refrigerated display case products sold to major retail chains,
principally in the U.S. Wellington Drive Technologies also
says it has signed a memorandum of understanding to supply its energy-efficient
motors to a major North American manufacturer of air conditioning and
refrigeration equipment. The current contract value is $500,000.
TWENTY-TWO SKIDDOO. In a
survey of contractors and distributors, St. Louis-based Emerson Climate
Technologies found that 100 percent of those surveyed said they were aware of
the 2010 phase-out of new R-22 equipment. However, only 13 percent reported
that they are exclusively quoting R-410A, 69 percent reported that they
currently quote both R-410A and R-22, and 11 percent are not even offering
R-410A. Forty percent admitted that they would wait until 2010 to convert their
sales to R-410A equipment. The higher costs for R-410A systems were cited as
the primary reason for the delay. More than half of the contractors reported
that their technicians and staff were trained to support R-410A, and the vast
majority stated that they could easily find R-410A equipment. Also, 11 percent
of those surveyed said their customers were already asking specifically for
R-410A equipment. BASELL ACQUIRES SOLVAY.
Basell, The Netherlands-based manufacturer of advanced polyolefins, has signed
a definitive agreement to acquire Solvay Engineered Polymers, Inc., a supplier
of polypropylene compounds in North America. The transaction is subject to
relevant regulatory approvals and is expected to close in early 2008.
GET BRAZING. Milwaukee-based
Lucas-Milhaupt Inc. has aquired Omni Technologies Corp. of Danville, N.H.,
which specializes in the manufacture and distribution of aluminum-based brazing
and soldering materials. Lucas-Milhaupt is a supplier of brazing and soldering
materials and a member of the Handy & Harman Precious Metals Group of
companies. Omni Technologies is a manufacturer of products for specialized
brazing and soldering applications. INTERTEK
ACQUIRES PTLI. Intertek’s Oil, Chemical and Agri Group, Houston,
Texas, has acquired Plastics Technology Laboratories., of Pittsfield, Mass.
PTLI is an A2LA accredited laboratory specializing in polymer testing. It
provides services to producers and end-users of plastics, elastomers,
composites, packaging and films. BUNDY BUYS
THERMO KÄLTE. Bundy Refrigeration, Troy, Mich., is acquiring
Thermo Kälte, GmbH, a manufacturer of plate-on-tube and wire-on-tube condensers
for the household refrigeration industry with operations in Germany. The
acquisition is expected to close after final regulatory approval. Terms of the
sale were not disclosed. Bundy Refrigeration is a manufacturer of evaporators,
condensers and other cooling system components.
FLYING FUEL CELLS. Medis
Technologies Ltd. of New York has received a special permit from the U.S.
Department of Transportation that authorizes aircraft passengers and crew members
to carry up to three 24/7 Power Pack micro fuel cell devices for personal use
aboard an aircraft. The fuel cells can be brought onboard in carry-on baggage
without being subjected to the Hazardous Materials Regulations (HMR). The
device is the first fuel cell to be allowed on passenger carrying aircraft by
the DOT as well as the first consumer fuel cell to be listed by the
Underwriters’ Laboratories (UL), the company says. NEW
BOILER IS SUPER. Results of the first field test of the new
Super Boiler conducted in Birmingham, Ala., indicate the new boiler technology
could “revolutionize the energy efficiency of industrial steam generation
leading to billions of dollars in energy savings for U.S. companies.” The Super
Boiler is the culmination of more than seven years of research and development
by the U.S. Department of Energy, the Gas Technology Institute of Des Plaines,
Ill., and Cleaver-Brooks, of Milwaukee. The first U.S. test site for the
ultra-high efficiency Super Boiler was Specification Rubber Products based in Alabaster, Ala. The plant
manufactures parts for the water works industry. In July 2006, GTI and
Cleaver-Brooks installed a 300 HP high-pressure steam Super Boiler that has
been running 24 hours a day, five days a week. After more than 6,000 hours of
operation, fuel-to-steam efficiency has been consistently in the 93-94 percent
range, and NOx levels have been less than 9 ppm. Annual gas savings have
averaged nearly 13 percent.
Meetings
FEBRUARY
2008
NAFEM Annual Meeting & Management Workshop
Feb. 8-11, San Diego, Calif.
Contact: 312/673-4772
Email: info@nafem.org
Website: www.thenafemshow.org
International Builders’ Show Feb 13-16, Orlando, Fla.
Contact: 202/266-8111
Website: www.buildersshow.com
Motor & Drive & Automation Systems
Conference
Feb. 14-15, Atlanta, Ga.
Contact: 720/528-3770
Email: jessicad@infowebcom.com
Website: www.e-driveonline.com/motors_conf08_index.htm
Domotechnica 2008
Feb 18-21, Cologne, Germany
Contact: 773/326-9923
Email: c.peteherych@koelnmessenafta.com
Website: www.domotechnica.com
ISH China - China International Trade Fair for Sanitation,
Heating & Air-Conditioning
Feb. 19-22, Shanghai, CHINA
Website: www.messefrankfurt.com.hk
APEC 2008: 23rd Annual Applied Power Electronics Conference
and Exposition
Feb 24-28, Austin, Texas
Contact:
202/973-8664
Email: apec@courtesyassoc.com
Website: www.apec-conf.org
Hearth, Patio and Barbecue Expo
Feb. 28–March 1, Atlanta, Ga.
Contact: 703/522-0086
Email: pratt@hpba.org
Website: www.hpbexpo.com
MARCH
International Home & Housewares Show
March 16-18, Chicago, Ill.
Contact: 847/292-4200
Website: www.housewares.org
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