by Council on Wage and Price Stability on September 16, 1980
by Council on Wage and Price Stability

The Council on Wage and Price Stability today released a report from the Regulatory Analysis Review Group (RARG) on the Department of Energy’s proposed minimum energy-efficiency standards for consumer appliances. The standards would affect refrigerators, freezers, ranges, ovens, central air conditioners and furnaces.  The report concludes that DOE has not made a persuasive case for mandatory standards. The new requirements could make appliances more costly to consumers and could alter the competitive structure of the appliance industry substantially, the report said.  Small appliance manufacturers in particular would feel the impact of these standards and, according to DOE’s analysis, many such firms could fail.  The report points out that considerable energy conservation will be achieved without mandatory standards. The new energy efficiency labelling program is making consumers aware of appliances that save energy, and manufacturers are introducing more energy-efficient products. RARG expects these trends to continue and urges DOE to reevaluate its proposed standards in light of the changes taking place in the market.  A copy of the RARG report is attached.

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