Ceiling Fan Light Kit (CFLK) Energy Conservation Standard (ECS) Preliminary Analysis - April 11, 2022

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Ceiling Fan Light Kit (CFLK) Energy Conservation Standard (ECS) Preliminary Analysis - April 11, 2022
Ceiling Fan Light Kit (CFLK) Energy Conservation Standard
(ECS) Preliminary Analysis
April 11, 2022
ApplianceStandardsQuestions@ee.doe.gov

1 | Energy Efficiency and Renewable Energy eere.energy.gov
Ceiling Fan Light Kit (CFLK) Energy Conservation Standard (ECS) Preliminary Analysis - April 11, 2022
Welcome

 • Introductions
 • Role of the Facilitator
 • Ground Rules
 – Participants should “raise your hand” to be recognized to speak.
 – Say your name for the record – there will be a complete transcript of
 this meeting.
 – Be concise – share the ‘air-time’.
 • Housekeeping Items
 • Agenda Review
 • Opening Remarks

2
Ceiling Fan Light Kit (CFLK) Energy Conservation Standard (ECS) Preliminary Analysis - April 11, 2022
Issues for Discussion

 Issue Box: The U.S. Department of Energy (DOE) welcomes
 comments, data, and information concerning its proposal for CFLKs.
 Issues that correspond to those raised in DOE’s published material
 will be numbered in accordance with that material. Whether invited
 by an issue box or not, comments are welcome on any part of DOE’s
 analysis.

 Issue box numbering is in the order that issues on which DOE seeks
 comment are listed in the executive summary of the preliminary analysis
 technical support document (TSD), available at regulations.gov, under
 docket number EERE-2019-BT-STD-0040, at
 www.regulations.gov/document/EERE-2019-BT-STD-0040-0006.

 The deadline for submitting comments is May 6, 2022.

3
Ceiling Fan Light Kit (CFLK) Energy Conservation Standard (ECS) Preliminary Analysis - April 11, 2022
How to Submit Written Comments for CFLKs

 • In all correspondence, please refer to the rulemaking by:
 – Energy Conservation Standards for Ceiling Fan Light Kits;
 – Docket Number EERE-2019-BT-STD-0040; and
 – Regulatory Identification Number 1904-AE52.

 • Email: CFLK2019STD0040@ee.doe.gov

 • In light of the ongoing Covid-19 pandemic, DOE is currently suspending receipt
 of public comments via postal mail and hand delivery/courier. If a commenter
 finds that this change poses an undue hardship, please contact Appliance
 Standards Program staff at (202) 586-1445 to discuss the need for alternative
 arrangements. Once the Covid-19 pandemic health emergency is resolved,
 DOE anticipates resuming all of its regular options for public comment
 submission, including postal mail and hand delivery/courier.

 Comment Period closes: May 6, 2022 11:59 PM EDT

4
Opening Remarks

 Meeting participants are invited to provide opening
 remarks or statements at this time.

5
CFLK Preliminary Analysis Presentation Overview

 1 Overview, Schedule, Scope of Coverage

 2 Market & Technology; Screening

 3 Engineering Analysis
 4 Energy Use Analysis
 Life-Cycle Cost and Payback Period
 5
 Analysis
 6 Shipments; National Impact Analysis
 7 Preliminary MIA
 8 NOPR Analyses

 9 Closing Remarks

6
Overview: Regulatory History
 • The Energy Policy Act of 2005 amended the Energy Policy and Conservation
 Act of 1975 (EPCA) by adding CFLKs as covered products. (42 U.S.C. 6295(ff))
 – EPCA established standards for CFLKs that were codified in two separate final
 rule technical amendments published October 18, 2005 and January 11, 2007.
 70 FR 60407, 60413; 72 FR 1270.
 • On January 6, 2016, DOE published a final rule amending CFLK standards and
 establishing a minimum efficacy requirement for all CFLKs. 81 FR 580.
 • On May 16, 2018, DOE published a final rule, changing the compliance date
 from January 7, 2019 to January 21, 2020, to align with the changes to the
 compliance date in the Ceiling Fan Energy Conservation Harmonization Act.
 83 FR 22587.
 • DOE must review CFLK standards at least once every six years and publish
 either a Notice of Proposed Rulemaking (NOPR) to propose new standards
 or a notice of determination that the existing standards do not need to be
 amended.
 • DOE initiated the review of CFLK standards on June 4, 2021, by publishing a
 Request for Information (RFI). 86 FR 29954.
7
CFLKs ECS Rulemaking Schedule

 2021 2022 2023

 Milestone Date
 CFLK ECS RFI Publication June 4, 2021
 CFLK Preliminary Analysis March 7, 2022

8
Scope of Coverage
 • The scope of coverage includes all CFLKs that meet the definition of a CFLK.

 Ceiling Fan Light Kit means equipment designed to provide light from a ceiling fan
 that can be
 − Integral, such that the equipment is attached to the ceiling fan prior to the
 time of retail sale; or
 − Attachable, such that at the time of retail sale the equipment is not physically
 attached to the ceiling fan, but may be included inside the ceiling fan at the
 time of sale or sold separately for subsequent attachment to the fan.

 10 CFR 430.2; 42 U.S.C. 6291(50)

9
Scope of Coverage
 • DOE energy conservation standards for CFLKs require a minimum efficacy for
 each basic model of lamp and basic model of integrated solid-state lighting
 (SSL) packaged with the basic model of CFLK.
 – CFLKs with medium screw base sockets packaged with compact
 fluorescent lamps must also comply with a minimum lumen
 maintenance, rapid cycle stress test, and lifetime requirement. 10 CFR
 430.32 (s)(6)(i)
 – CFLKs with pin-based sockets for fluorescent lamps must use an
 electronic ballast. 10 CFR 430.32 (s)(6)(ii)
 • The minimum efficacy requirement is measured in initial lamp light output
 (lumens) divided by the power in watts (W).
 • As of January 21, 2020, all CFLKs less than 120 lumens must have a minimum
 efficacy of 50 lumens per watt (lm/W). All CFLKs equal to or greater than 120
 lumens must meet the requirements based on the equation below:
 Efficacy = 74.0 - 29.42 × 0.9983 lumens

10
CFLK Preliminary Analysis Presentation Overview

 1 Overview, Schedule, Scope of Coverage

 2 Market & Technology; Screening

 3 Engineering Analysis
 4 Energy Use Analysis
 Life-Cycle Cost and Payback Period
 5
 Analysis
 6 Shipments; National Impact Analysis
 7 Preliminary MIA
 8 NOPR Analyses

 9 Closing Remarks

11
Purpose of MTA and Screening Analysis
 • Market and Technology Assessment (MTA)
 − Determine product classes
 − Identify technology options
 • Screening Analysis
 − Screen out technology options that DOE will not consider in the
 engineering analysis based on:
 • Technological feasibility;
 • Practicability to manufacture, install, and service;
 • Adverse impacts on product utility or product availability;
 • Adverse impacts on health or safety; and
 • Unique-pathway proprietary technologies.

12
Technology Options
 • DOE identified the following technology options that can improve the
 efficacy of CFLKs.

 CFL Technology Options SSL Technology Options
 • Higher Emissive Electrode Coatings • Efficient Down Converters
 • Higher Efficiency Lamp Fill Gas • Improved Package Architectures
 • Improved Emitter Materials
 Composition
 • Alternative Substrate Materials
 • Higher Efficiency Phosphors • Improved Thermal Interface Materials
 • Glass Coatings (TIMs)
 • Multi-Photon Phosphors • Improved LED Device Architectures
 • Cold Spot Optimization • Optimized Heat Sink Design
 • Improved Ballast Components • Active Thermal Management Systems
 • Improved Ballast Circuit Design • Improved Primary Optics
 • Change to SSL • Improved Secondary Optics
 • Improved Driver Design
 • AC LEDs
 • Reduced Current Density

13
Screening Analysis
 • DOE is considering screening out the following technology options based on the
 associated screening criteria.
 Technology Technology Option Screening Criteria
 CFL Multi-Photon Phosphors Technological feasibility

 Quantum Dot Phosphors Technological feasibility
 LED
 Improved Emitter Materials Technological feasibility

 Issue 5: DOE requests comment on the technology options considered in this
 preliminary analysis and on other technology options DOE should consider for this
 rulemaking.

 Issue 6: DOE requests comment on design options considered in this preliminary
 analysis.

14
Product Classes
 • DOE divides covered products into classes by the type of energy used;
 capacity of the product; or other performance-related features that justify
 different standard levels, such as features affecting consumer utility.
 • DOE analyzed several product class setting factors for CFLKs. DOE did not
 identify any factor that uses a different type of energy, offers a different
 capacity of the product, or provides unique performance-related features to
 consumers, and thereby warrants a separate product class.
 • DOE is considering maintaining the existing single product class for all CFLKs
 for this analysis.

 Issue 1: DOE requests comment on the product classes considered in this preliminary
 analysis.

15
CFLK Preliminary Analysis Presentation Overview

 1 Overview, Schedule, Scope of Coverage

 2 Market & Technology; Screening

 3 Engineering Analysis
 4 Energy Use Analysis
 Life-Cycle Cost and Payback Period
 5
 Analysis
 6 Shipments; National Impact Analysis
 7 Preliminary MIA
 8 NOPR Analyses

 9 Closing Remarks

16
Engineering Analysis Methodology
 Select
 Representative
  Select certain product classes to be analyzed as
 Product Classes representative in the engineering analysis..

  Select baseline light sources in each representative
 Select Baseline product class to serve as reference points from which to
 Light Sources assess changes due to energy conservation standards.

 Identify More  Identify more efficacious substitutes for each baseline
 Efficacious model based on design options.
 Substitutes

  Develop candidate standard levels (CSLs) that span the
 Determine CSLs range of efficacy from the baseline to the maximum
 technologically feasible level.

 Scale Results  Scale results to product classes not analyzed.

17
Representative Product Classes
 Select
 Representative • DOE is considering maintaining the existing single product class
 Product Classes
 for CFLKs: All CFLKs.
 • DOE analyzed the All CFLKs product class as representative in
 Select Baseline
 this analysis.
 Light Sources

 Identify More
 Efficacious
 Substitutes

 Determine CSLs

 Scale Results

18
Baseline Light Source
 Select • The baseline light source typically represents the most
 Representative common, least efficacious light source in a CFLK that meets
 Product Classes
 existing energy conservation standards.
 • In this analysis, DOE reviewed manufacturer catalogs and
 Select Baseline retailer sites and tentatively determined that ANSI base lamps
 Light Sources are the most common light source used in CFLKs.
 • DOE selected a baseline lamp representative of the most
 Identify More common, least efficacious lamp packaged with CFLKs that
 Efficacious meets existing CFLK standards and has common attributes
 Substitutes
 such as lumen output range, wattage, shape, lifetime, CCT,
 and CRI.
 Determine CSLs
 Nominal Initial Rated
 Representative Lifetime Lamp Base Lamp CCT
 Wattage Lumens Efficacy CRI
 Product Class (hr) Shape Type Type (K)
 (W) (lm) (lm/W)

 All CFLKs 10,000 Spiral E26 CFL 13 900 69.2 2700 83
 Scale Results

19
Baseline Light Source
 Select
 Issue 7: DOE requests comment on the selection of a lamp as the most
 Representative
 Product Classes
 common light source packaged with CFLKs. DOE requests comment on
 the baseline lamp selected in this preliminary analysis.

 Select Baseline
 Light Sources

 Identify More
 Efficacious
 Substitutes

 Determine CSLs

 Scale Results

20
More Efficacious Substitutes
 Select • DOE selected more-efficacious replacement lamps that
 Representative — both save energy and maintain light output within ten percent of the
 Product Classes baseline lamp lumens, when possible, and
 — have similar attributes as the baseline lamp when possible (e.g., base
 type, CCT, CRI, and lifetime).
 Select Baseline Product
 CSL
 Lifetime Lamp Base Lamp
 Nominal
 Wattage
 Initial
 Lumens
 Rated
 Efficacy A-Value
 CCT
 CRI
 Light Sources Class (hr) Shape Type Type
 (W) (lm) (lm/W)
 (K)

 Baseline 10,000 Spiral E26 CFL 13 900 69.2 -30.8 2700 83
 15,000 A19 E26 LED 10 800 80.0 -18.5 2700 80
 Identify More CSL 1
 25,000 A19 E26 LED 10 800 80.0 -18.5 2700 80
 Efficacious 15,000 A19 E26 LED 9 800 88.9 -9.6 2700 80
 All
 Substitutes CFLKs
 CSL 2
 25,000 A19 E26 LED 9 800 88.9 -9.6 2700 80
 CSL3 15,000 A19 E26 LED 8 800 100.0 1.5 2700 80
 CSL 4 15,000 A19 E26 LED 7 800 114.3 15.8 2700 80
 Determine CSLs
 CSL 5 15,000 A19 E26 LED 6.5 810 124.6 25.9 2700 80

 Issue 8: DOE requests comment on the more efficacious substitutes
 Scale Results analyzed for All CFLKs.

21
Candidate Standard Levels (CSLs)
 Select • DOE conducted regression analyses to identify the equation
 Representative form that best fit lamp data of commercially available lamps
 Product Classes
 commonly used in CFLKs.
 • Based on these analyses, DOE developed the following new
 Select Baseline equation to determine efficacy based on lumen output.
 Light Sources 
 = + 
 . + − . ( − )

 Identify More Lumens: measured lumen output
 Efficacious
 Substitutes
 A: an adjustment variable (the “A-value”)

 Determine CSLs Issue 9: DOE requests comment on the new equation form.

 Scale Results

22
Candidate Standard Levels (CSLs)
 Select
 • Based on the more-efficacious lamps selected for analysis, DOE
 developed CSLs for the representative product class.
 Representative
 Product Classes — To prevent backsliding (decreasing the existing minimum required energy
 efficiency), the current standard equation is maintained for certain CSLs in
 certain lumen ranges.
 — These CSLs are based on ANSI base lamps (replaceable). DOE’s research
 indicates that CFLKs with non-consumer-replaceable light sources (i.e.,
 Select Baseline integrated SSL circuitry, which are tested as luminaires)can also meet these
 Light Sources CSLs.
 Representative
 Level Efficacy Lumen Range
 Product Class
 50 < 120
 Identify More CSL 1 74 ─ 29.42×0.9983Lumens 120 ≤ Lumens < 388
 Efficacious 123/(1.2+e (-0.005×(Lumens-200))) ─ 18.5 ≥ 388
 Substitutes 50 < 120
 CSL 2 74 ─ 29.42×0.9983Lumens 120 ≤ Lumens < 276
 123/(1.2+e (-0.005×(Lumens-200))) ─ 9.6 ≥ 276
 All CFLKs
 50 < 120
 Determine CSLs CSL 3 74 ─ 29.42×0.9983Lumens 120 ≤ Lumens < 153
 123/(1.2+e (-0.005×(Lumens-200))) + 1.5 ≥ 153
 50 < 26
 CSL 4
 123/(1.2+e (-0.005×(Lumens-200))) + 15.8 ≥26
 CSL 5 123/(1.2+e (-0.005×(Lumens-200))) + 25.9 All Lumens
 Scale Results
 Issue 10: DOE requests comment on its assessment on the differences in
 efficacy between CFLKs with non-consumer-replaceable light sources
23
 and CFLKs with replaceable light sources.
Scaling
 Select • In general, DOE scales CSLs to product classes not directly
 Representative analyzed.
 Product Classes
 • Because DOE chose to analyze all product classes as
 representative, no scaling was required.
 Select Baseline
 Light Sources

 Identify More
 Efficacious
 Substitutes

 Determine CSLs

 Scale Results

24
Cost Analysis
 • Because the metric for CFLKs is the efficiency of the light source with which
 it is packaged, DOE developed consumer prices for the representative lamp
 unit sold in a CFLK.
 ‒ DOE first determined the consumer price of a ceiling fan sold with a CFLK.
 ‒ DOE then determined the portion of the ceiling fan price attributable to just
 the CFLK.
 ‒ DOE lastly determined the portion of the CFLK price attributable to just the
 lamp.
 • Based on manufacturer feedback, DOE determined that a basic light kit
 fixture comprises an estimated 20% of the consumer price of a ceiling fan
 sold with a CFLK and an LED light source component in a CFLK comprises
 an estimated 15% of the CFLK consumer price.

25
Cost Analysis
 • DOE developed a weighted average consumer price for a lamp by using
 estimated shipments through each distribution channel.
 • The large consumer-based distribution channel includes home centers and
 mass merchant ecommerce.
 • The small consumer-based distribution channel includes electrical
 wholesalers and showrooms.

 81% Large Consumer-
 Based Distributors
 Weighted Average
 Lamp Consumer
 Price
 Small Consumer-
 19%
 Based Distributors

 • To develop a consumer price for all other representative lamp units when
 sold in CFLKs, DOE applied a ratio based on the retail cost of the lamps,
 when sold individually at other levels relative to the retail cost of the 10 W
 A19 LED lamp.
26
Cost Analysis
 • The table below presents the consumer prices for all CFLKs. The prices
 presented do not include sales tax.
 Lamp Consumer Price 2020$
 Nominal Rated Total
 Base Bulb Initial Efficacy Single
 CSL Technology Wattage Lifetime Lamp Remaining
 Type Shape Lumens (lm/W) Lamp Total CFLK
 (W) (hours) Price in Price of
 Price in Price
 CFLK CFLK
 CFLK
 (2 Lamps)
 Baseline CFL 13.0 E26 Spiral 900 10,000 69.2 $2.10 $4.19 $31.74 $35.93
 LED 10.0 E26 A19 800 15,000 80.0 $2.06 $4.12 $31.74 $35.86
 CSL 1
 LED 10.0 E26 A19 800 25,000 80.0 $2.80 $5.60 $31.74 $37.34
 LED 9.0 E26 A19 800 15,000 88.9 $2.52 $5.04 $31.74 $36.78
 CSL 2
 LED 9.0 E26 A19 800 25,000 88.9 $3.43 $6.86 $31.74 $38.59
 CSL 3 LED 8.0 E26 A19 800 15,000 100.0 $2.98 $5.96 $31.74 $37.70
 CSL 4 LED 7.0 E26 A19 800 15,000 114.3 $3.44 $6.89 $31.74 $38.63
 CSL 5 LED 6.5 E26 A19 810 15,000 124.6 $3.67 $7.35 $31.74 $39.09

27
Cost Analysis
 Issue 11: DOE requests comment on the percentage of the consumer price of a ceiling
 fan with a light kit that is attributable to just the light kit and the percentage of the
 CFLK that is attributable to just the light source component.

 Issue 12: DOE requests comment on the shipment weightings used for the Large
 Consumer-Based Distributors channel and Small Consumer-Based Distributors channel.

 Issue 13: DOE requests comment on the overall methodology and results of the CFLK
 cost analysis.

28
CFLK Preliminary Analysis Presentation Overview

 1 Overview, Schedule, Scope of Coverage

 2 Market & Technology; Screening

 3 Engineering Analysis
 4 Energy Use Analysis
 Life-Cycle Cost and Payback Period
 5
 Analysis
 6 Shipments; National Impact Analysis
 7 Preliminary MIA
 8 NOPR Analyses

 9 Closing Remarks

29
Energy Use Analysis: Overview
 • Purpose:
 • Develop annual energy use estimates for each available CFLK CSL.
 • Annual energy use is the site energy use associated with operating the product.
 • These distributions are used in the life-cycle cost (LCC) and payback period (PBP)
 analysis to calculate annual operating costs.

 • Method:
 • Developed using representative lamps described in engineering analysis.
 • DOE considered residential and commercial consumer samples.
 • Annual energy use (kWh) = annual operating hours × system input power

30
Energy Use Analysis: Details
 • Operating Hours:
 Sector National Average Daily Operating Hours
 Commercial 11.5 hours
 Residential 2.0 hours

 • Controls:
 • DOE considered the impact of dimmer lighting controls.
 • 30% energy use reduction for 11% of CFLKs

 • Efficacy Trend:
 • DOE applied an efficacy trend to reduce the wattages of LED replacement
 lamps over time.
 • The efficacy trend is based on the market-average efficacy projections
 provided in the 2019 Energy Savings Forecast of Solid-State Lighting in General
 Illumination Applicationsreport.

31
Energy Use Analysis: Average Results

 Residential Sector Commercial Sector
 CSL Annual Energy Use Savings relative to CSL 0 Annual Energy Use Savings relative to CSL 0
 (kWh/yr) (kWh/yr) (kWh/yr) (kWh/yr)
 0 18.3 -- 104.5 --
 1 14.1 4.2 80.4 24.1
 2 12.7 5.6 72.3 32.1
 3 11.3 7.0 64.3 40.2
 4 9.9 8.4 56.3 48.2
 5 9.1 9.1 52.2 52.2

32
Energy Use Analysis: Issues for Discussion
 Issue 14: DOE requests comment and data on recent sources and methods for
 calculating operating hours for CFLKs.

 Issue 15: DOE requests comment and data on the fraction of CFLKs used with dimmers
 in the residential and commercial sectors, as well as the associated energy reduction
 estimate of 30 percent.

33
CFLK Preliminary Analysis Presentation Overview

 1 Overview, Schedule, Scope of Coverage

 2 Market & Technology; Screening

 3 Engineering Analysis
 4 Energy Use Analysis
 Life-Cycle Cost and Payback Period
 5
 Analysis
 6 Shipments; National Impact Analysis
 7 Preliminary MIA
 8 NOPR Analyses

 9 Closing Remarks

34
Life-Cycle Cost and Payback Period Analysis: Overview
 • Purpose
 • Provide an economic evaluation from the end-user’s perspective in the first
 year of compliance (assumed to be 2027).
 • LCC is the total consumer cost over the product lifetime.
 • PBP is the time required to recover the increased purchase price of a more
 efficient product through reduced operating costs.

 • Method
 • Use consumer samples developed in the energy use analysis.
 • Calculate LCC for each CSL by adding installed cost and lifetime operating cost.
 • Calculate PBP by dividing average increase in installed cost by average
 decrease in first-year operating cost relative to baseline unit.
 • LCC savings are calculated with respect to the efficiency of the product a
 consumer would purchase in the absence of a new standard.

35
Life-Cycle Cost and Payback Period Analysis: Key Inputs
 Input Description
 The pre-tax cost attributable to just the lamps of the CFLK. Assume 2
 Pre-tax Consumer Cost
 lamps per CFLK.
 The sales tax associated with converting the pre-tax consumer cost
 Total Installed Cost Sales Tax
 to a consumer product cost.

 Installation Cost Not included: assumed to be constant across CSLs.

 Product Energy The product energy consumption is the site energy use associated
 Consumption with operating the product.
 Energy Prices and Price The prices consumers pay for energy (i.e., electricity) and annual
 Trends rates of change projected for electricity prices from AEO 2021.
 Maintenance costs include replacement lamp purchases over the
 Maintenance Costs
 lifetime of the ceiling fan.
 The cost of disposing the lamps in their year of retirement. Assumed
 Operating Cost Disposal Cost
 $0.70 per CFL lamp for 35% of commercial CFLK purchases.
 Represents the remaining dollar value of surviving lamps at the end
 Residual Value
 of the CFLK lifetime. Applied as a “credit” to the LCC.

 Lifetime Age at which the ceiling fan is retired from service. Mean: 13.8 years.

 DOE implemented a price trend for LED CFLK lamps, which is based
 Lamp Price Learning
 on an analysis of A-line LED GSLs.

36
Life-Cycle Cost and Payback Period Analysis: Inputs
 Market Efficacy Distribution
 • DOE modeled two scenarios in order to capture a range of lighting market
 dynamics:
 • Reference: Due to LED efficacy improvements, DOE assumes the 10 W LED at
 CSL 1 will be as efficient as the CSL 2 LED lamp by 2027. Therefore, the least-
 efficacious LED option available in 2027 is CSL 2.
 • Alternative: LED efficacy does not begin improving until 2027; therefore, the
 CSL 1 LED option is available in 2027.

 No-New-Standards Case Efficacy Distribution
 for All CFLKs in 2027
 Market Share
 CSL Lamp Description
 Reference Alternative
 0 13 W CFL 2.4% 2.4%
 1 10 W LED 0.0% 97.6%
 2 9 W LED 97.6% 0.0%
 3 8 W LED 0.0% 0.0%
 4 7 W LED 0.0% 0.0%
 5 6.5 W LED 0.0% 0.0%
37
Life-Cycle Cost and Payback Period Analysis: Results

 Average LCC and PBP Results for Residential CFLKs
 Average Costs (2020$)
 Lamp Simple Payback Average Lifetime
 CSL Installed First Year’s Lifetime Life-Cycle
 Option Period (years) (years)
 Cost Operating Cost Operating Cost Cost

 0 0 4.50 2.61 22.18 26.68 -- 13.8
 1 3.73 2.01 20.40 24.13 0.0 13.8
 1
 2 5.07 2.01 20.33 25.40 0.9 13.8
 3 4.56 1.81 18.96 23.53 0.1 13.8
 2
 4 6.21 1.81 18.57 24.78 2.1 13.8
 5 3 5.40 1.61 17.52 22.92 0.9 13.8
 6 4 6.23 1.41 16.07 22.30 1.4 13.8
 7 5 6.65 1.31 15.34 21.99 1.6 13.8

38
Life-Cycle Cost and Payback Period Analysis: Results

 Average LCC and PBP Results for Commercial CFLKs
 Average Costs (2020$)
 Lamp Simple Payback Average Lifetime
 CSL Installed First Year’s Lifetime Life-Cycle
 Option Period (years) (years)
 Cost Operating Cost Operating Cost Cost

 0 0 4.50 9.90 71.62 76.53 -- 13.8
 1 3.73 7.62 66.97 70.69 0.0 13.8
 1
 2 5.07 7.62 67.51 72.58 0.2 13.8
 3 4.56 6.86 64.56 69.12 0.0 13.8
 2
 4 6.21 6.86 63.79 70.00 0.6 13.8
 5 3 5.40 6.09 62.10 67.49 0.2 13.8
 6 4 6.23 5.33 59.71 65.94 0.4 13.8
 7 5 6.65 4.95 58.51 65.16 0.4 13.8

39
Life-Cycle Cost and Payback Period Analysis: Results

 Average LCC Savings Results for All CFLKs
 Residential Commercial
 CSL Average LCC % of Purchasers that Average LCC % of Purchasers that
 Savings (2020$) Experience a Net Cost Savings (2020$) Experience a Net Cost
 1 3.58 0.1 7.99 0.0
 2 3.58 0.1 7.99 0.0
 3 0.69 42.4 1.78 16.7
 4 1.32 41.2 3.39 9.5
 5 1.62 41.0 4.19 8.3

40
LCC and PBP Analysis: Issues for Discussion

 Issue 16: DOE requests comment and data on the efficacy distribution of CFLKs in the
 assumed compliance year, as well as the two scenarios DOE analyzed to capture the
 effect of the efficacy trend for LED lamps.

 Issue 17: DOE requests comment and data on the disposal cost assumptions for CFLKs.

 Issue 18: DOE requests comment on the ceiling fan and CFLK lamp lifetime
 distributions used in this preliminary analysis.

 Issue 19: DOE requests comment on the overall methodology and results of the life-
 cycle cost and payback period analysis.

41
CFLK Preliminary Analysis Presentation Overview

 1 Overview, Schedule, Scope of Coverage

 2 Market & Technology; Screening

 3 Engineering Analysis
 4 Energy Use Analysis
 Life-Cycle Cost and Payback Period
 5
 Analysis
 6 Shipments; National Impact Analysis
 7 Preliminary MIA
 8 NOPR Analyses

 9 Closing Remarks

42
Shipments Analysis: Overview
 • Purpose
 • To compute the shipments and efficiency composition projections of CFLKs
 over the analysis period (2027-2056).

 • Method
 • Shipments are estimated using no-new-standards-case ceiling fan shipments
 derived for the ECS preliminary analysis, assuming a fixed penetration of CFLKs
 per unit of ceiling fan shipped.
 • DOE applies an elasticity effect to reduce demand at higher CSLs in the
 presence of higher priced CFLKs.
 • DOE assumes that only a small fraction of CFLKs in the no-new-standards-case
 are shipped with CFLs, and the remainder are the least costly LEDs available.
 • At higher CSLs, DOE assumes shipments are all at the least costly available
 lamp option.

43
Shipments Analysis: Standards Case Projections
 • DOE applied an elasticity effect in the standards cases, which reduces
 shipments volume in the presence of fans with higher priced CFLKs.
 • Because the incremental cost of more efficient CFLKs is small compared
 to the overall cost of a ceiling fan, shipments are only slightly reduced at
 higher standards.

 Click to add text

44
National Impact Analysis: Overview
 • Purpose
 • Determine the projected national energy savings (NES) and consumer
 national net present value (NPV) of a potential standard.
 • Method
 • Develop annual series of national energy and economic impacts.
 • Use the shipments model to estimate the total stock of CFLKs in
 service each year.
 Click to add text
 • Aggregate the costs and energy use per unit in any given year.
 • Report estimates for economic impact as change in discounted
 consumer NPV (in constant year dollars).
 • Account for the time-value of money through defined discount rates.

45
National Impact Analysis: Inputs

 Input Description
 Annual shipments from shipments model, broken out by efficiency level at each
 Shipments
 CSL in each scenario, from 2027-2056.
 Annual weighted-average per-unit values as a function of efficiency distribution
 Total Installed Cost per Unit
 taken from LCC analysis.
 Annual weighted-average per-unit values as a function of CFLK CSL, taken from
 Annual Unit Energy Consumption
 LCC analysis.
 Replacement Lamp Purchase
 Average cost of replacement lamps, as a function of year.
 Price
 Replacement Purchase Rate Average number of replacement lamp purchases per CFLK socket at a given age.
 Based on the DOE Energy Information Agency’s Annual Energy Outlook 2021
 Trend in Energy Prices
 Reference case.
 A time-series conversion factor that accounts for energy used to generate
 Energy Site-to-Primary Factor
 electricity.
 Multiplier developed to include the energy consumed in extracting, processing,
 Full Fuel Cycle Factor
 and transporting or distributing primary fuels used by CFLKs.
 7 percent and 3 percent discount rate from Office of Management and Budget’s
 Discount Rate
 Regulatory Analysis Guideline A-4.
 Present Year Future expenses are discounted to the year 2021.
 Analysis Period 30 years from compliance year (2027) and through 2086 (after shipments period
 concludes)

46
National Impact Analysis: Results

 NES and NPV at 3% and 7% discount rate for the 30-year analysis period, for all CSLs
 CSL 1 CSL 2 CSL 3 CSL 4 CSL 5
 NES Primary (quads) 0.01 0.01 0.09 0.18 0.22
 NES Full Fuel Cycle (FFC) (quads) 0.01 0.01 0.10 0.19 0.23
 NPV 3% Discount Rate (billions 2020$) 0.07 0.07 0.44 0.90 1.09
 NPV 7% Discount Rate (billions 2020$) 0.03 0.03 0.17 0.35 0.42

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Shipments & NIA: Issues for Discussion

 Issue 20: DOE requests comment and data on the prevalence of integrated LED CFLKs
 in the market, and information on their lifetime and replaceability that could improve
 shipments modeling.

 DOE requests comment and data that could inform the size or application of the price
 elasticity effect for ceiling fans as applied for CFLKs.

 Additionally, DOE requests comment on the overall methodology and results of the
 shipments and national impacts analysis.

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CFLK Preliminary Analysis Presentation Overview

 1 Overview, Schedule, Scope of Coverage

 2 Market & Technology; Screening

 3 Engineering Analysis
 4 Energy Use Analysis
 Life-Cycle Cost and Payback Period
 5
 Analysis
 6 Shipments; National Impact Analysis
 7 Preliminary MIA
 8 NOPR Analyses

 9 Closing Remarks

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Preliminary MIA
 • Purpose
 – The manufacturer impact analysis (MIA) identifies the impacts of
 energy conservation standards on manufacturers.
 • Phase 1
 – DOE creates an industry profile to characterize the industry and
 identify important issues that require consideration.
 • Phase 2
 – DOE prepares an industry cash-flow model and an interview
 questionnaire to guide subsequent discussions.
 • Phase 3
 – DOE interviews manufacturers and assesses the impacts of standards
 both quantitatively (using the Government Regulatory Impact Model)
 and qualitatively (impacts on competition, manufacturing capacity,
 employment, and regulatory burden).

50
CFLK Preliminary Analysis Presentation Overview

 1 Overview, Schedule, Scope of Coverage

 2 Market & Technology; Screening

 3 Engineering Analysis
 4 Energy Use Analysis
 Life-Cycle Cost and Payback Period
 5
 Analysis
 6 Shipments; National Impact Analysis
 7 Preliminary MIA
 8 NOPR Analyses

 9 Closing Remarks

51
Analyses for Notice of Proposed Rulemaking (NOPR)

 Framework Prelim Final
 NOPR
 Document Analysis Rule

 Life-Cycle Monetization
 Revise Manufacturer Employment Utility Regulatory
 Preliminary
 Cost Emissions of Emission
 Impact Impact Impact Impact
 Subgroup Analysis Reductions
 Analysis Analysis Analysis Analysis Analysis
 Analysis Benefits

52
CFLK Preliminary Analysis Presentation Overview

 1 Overview, Schedule, Scope of Coverage

 2 Market & Technology; Screening

 3 Engineering Analysis
 4 Energy Use Analysis
 Life-Cycle Cost and Payback Period
 5
 Analysis
 6 Shipments; National Impact Analysis
 7 Preliminary MIA
 8 NOPR Analyses

 9 Closing Remarks

53
Closing Remarks/Questions

54
How to Submit Written Comments for CFLKs

 • In all correspondence, please refer to the rulemaking by:
 – Energy Conservation Standards for Ceiling Fan Light Kits;
 – Docket Number EERE-2019-BT-STD-0040; and
 – Regulatory Identification Number 1904-AE52.

 • Email: CFLK2019STD0040@ee.doe.gov

 • In light of the ongoing Covid-19 pandemic, DOE is currently suspending receipt
 of public comments via postal mail and hand delivery/courier. If a commenter
 finds that this change poses an undue hardship, please contact Appliance
 Standards Program staff at (202) 586-1445 to discuss the need for alternative
 arrangements. Once the Covid-19 pandemic health emergency is resolved,
 DOE anticipates resuming all of its regular options for public comment
 submission, including postal mail and hand delivery/courier.

 Comment Period closes: May 6, 2022 11:59 PM EDT

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